Is IDACORP, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for IDACORP, Inc. moved from very expensive to expensive, indicating a shift in perception regarding its valuation. The company appears to be overvalued, with a P/E ratio of 21, which is higher than the industry average, and an EV to EBITDA ratio of 13.64. Additionally, the PEG ratio stands at 1.84, suggesting that the stock may not be justified at its current price given its growth prospects.
In comparison to peers, IDACORP's P/E ratio of 21.71 is lower than Pinnacle West Capital Corp.'s 24.26 but higher than OGE Energy Corp.'s 17.83. The AES Corp. stands out as very attractive with a P/E of 25.28, further highlighting IDACORP's relative overvaluation. While IDACORP has outperformed the S&P 500 with a year-to-date return of 24.33% compared to 13.30%, its long-term performance over three and five years lags significantly behind the index, suggesting that the current valuation may not be sustainable.