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EVRG or IDA: Which Is the Better Value Stock Right Now?

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Investors interested in Utility - Electric Power stocks are likely familiar with Evergy Inc (EVRG - Free Report) and IdaCorp (IDA - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.

Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.

Both Evergy Inc and IdaCorp have a Zacks Rank of # 2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. But this is just one piece of the puzzle for value investors.

Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.

The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.

EVRG currently has a forward P/E ratio of 16.12, while IDA has a forward P/E of 19.14. We also note that EVRG has a PEG ratio of 2.75. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. IDA currently has a PEG ratio of 3.46.

Another notable valuation metric for EVRG is its P/B ratio of 1.46. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, IDA has a P/B of 1.72.

Based on these metrics and many more, EVRG holds a Value grade of B, while IDA has a Value grade of C.

Both EVRG and IDA are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that EVRG is the superior value option right now.


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