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Why Is IdaCorp (IDA) Up 5.9% Since Last Earnings Report?

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A month has gone by since the last earnings report for IdaCorp (IDA - Free Report) . Shares have added about 5.9% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is IdaCorp due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.

IDACORP Misses Q2 Earnings Estimates, Ups 2019 View

IDACORP, Inc.  reported second-quarter 2019 operating earnings of $1.05 per share, which lagged the Zacks Consensus Estimate of $1.17 by 10.2%. The reported earnings also declined 14.6% from the year-ago figure of $1.23 per share.

The year-over-year decline in earnings was due to unfavorable weather, which largely affected demand. This was marginally offset by customer growth and proper management of operating expenses.

Highlights of the release

Customer growth led to a year-over-year increase in IDACORP’s operating income by $4.2 million, as the number of Idaho Power customers grew 2.5% during the 12 months ended Jun 30.

Net income in the quarter under review was $53.2 million, reflecting a decline from $62.3 million recorded in the year-ago period.

Guidance

IDACORP revised its 2019 earnings guidance to the range of $4.35-$4.50 from earlier expectation of $4.30-$4.45. The mid-point of the revised guidance is $4.425, which is lower than the current Zacks Consensus Estimate of $4.46.

The company reiterated its view for 2019 operating and maintenance expenses associated with Idaho Power in the range of $350-$360 million.
 

How Have Estimates Been Moving Since Then?

Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.

VGM Scores

Currently, IdaCorp has a subpar Growth Score of D, however its Momentum Score is doing a bit better with a C. Following the exact same course, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been trending


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