We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
IDACORP (IDA) Announces Quarterly Dividend Hike of 6.8%
Read MoreHide Full Article
IDACORP Inc. (IDA - Free Report) recently announced that the board of directors approved a 6.8% quarterly cash dividend increase to 63 cents per share on its common stock.
On issuance of the new rate, the annualized dividend will be $2.52 per share, reflecting a dividend yield of 2.54%, better than the Zacks Composite S&P 500’s 1.77%.
Regular Dividend Hikes
IDACORP has been raising its cash dividend per share every year since 2012. Cumulatively, the company increased its quarterly dividend by 110% over the aforesaid period.
IDACORP has a stable dividend payment history. The company increased its quarterly dividend rate to 59 cents from 55 cents in 2017. At the end of the first six months of 2018, cash flow from operating activities was $196.4 million, which is well enough to accommodate the increase in dividend.
In the first six months of 2018, IDACORP paid dividend worth $59.9 million to its shareholders. The company continues to target a dividend payout ratio in the range of 50-60% of its adjusted earnings per share.
Factors Supporting Regular Dividend Hikes
The ongoing economic improvements in its service territories have helped IDACORP to expand its customer base. During the first half of 2018, customer growth in its service area led to an increase in operating income by $4.2 million on a year-over-year basis.
Unemployment rate is presently 2.8% in its service area compared with the national average of 4.0%. Additionally, the number of Idaho Power customers grew 2.2% in a year’s time, driving the demand for its utility services.
The company has completed a significant part of the outdoor construction season and projects capital expenditure of $1.5 billion within the 2018-2022 time period. Owing to its systematic investments toward strengthening the generation portfolio, Idaho Power Hydroelectric Generation will be able to cater to the rising demand of its expanding customer base.
These factors will ensure a steady performance of the company and we expect that IDACORP will sustain its performance over the long term.
Price Movement
Shares of the company have gained 15.8% in the past six months, outperforming the industry’s growth of 3.7%.
The Zacks Consensus Estimate for 2018 earnings for Consolidated Edison, CMS Energy and UNITIL has moved up 0.2%, 0.4% and 0.9% in the past 60 days.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
Image: Bigstock
IDACORP (IDA) Announces Quarterly Dividend Hike of 6.8%
IDACORP Inc. (IDA - Free Report) recently announced that the board of directors approved a 6.8% quarterly cash dividend increase to 63 cents per share on its common stock.
On issuance of the new rate, the annualized dividend will be $2.52 per share, reflecting a dividend yield of 2.54%, better than the Zacks Composite S&P 500’s 1.77%.
Regular Dividend Hikes
IDACORP has been raising its cash dividend per share every year since 2012. Cumulatively, the company increased its quarterly dividend by 110% over the aforesaid period.
IDACORP has a stable dividend payment history. The company increased its quarterly dividend rate to 59 cents from 55 cents in 2017. At the end of the first six months of 2018, cash flow from operating activities was $196.4 million, which is well enough to accommodate the increase in dividend.
In the first six months of 2018, IDACORP paid dividend worth $59.9 million to its shareholders. The company continues to target a dividend payout ratio in the range of 50-60% of its adjusted earnings per share.
Factors Supporting Regular Dividend Hikes
The ongoing economic improvements in its service territories have helped IDACORP to expand its customer base. During the first half of 2018, customer growth in its service area led to an increase in operating income by $4.2 million on a year-over-year basis.
Unemployment rate is presently 2.8% in its service area compared with the national average of 4.0%. Additionally, the number of Idaho Power customers grew 2.2% in a year’s time, driving the demand for its utility services.
The company has completed a significant part of the outdoor construction season and projects capital expenditure of $1.5 billion within the 2018-2022 time period. Owing to its systematic investments toward strengthening the generation portfolio, Idaho Power Hydroelectric Generation will be able to cater to the rising demand of its expanding customer base.
These factors will ensure a steady performance of the company and we expect that IDACORP will sustain its performance over the long term.
Price Movement
Shares of the company have gained 15.8% in the past six months, outperforming the industry’s growth of 3.7%.
Zacks Rank & Other Key Picks
IDACORP currently carries a Zacks Rank #2 (Buy). Other top-ranked stocks in the same space include Consolidated Edison Inc. (ED - Free Report) , CMS Energy Corporation (CMS - Free Report) and UNITIL Corporation (UTL - Free Report) , each holding the same rank as IDACORP and carrying an impressive VGM Score of B. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for 2018 earnings for Consolidated Edison, CMS Energy and UNITIL has moved up 0.2%, 0.4% and 0.9% in the past 60 days.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>