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Black Hills Corporation (BKH)



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Upturn Advisory Summary
04/01/2025: BKH (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Analysis of Past Performance
Type Stock | Historic Profit -25.63% | Avg. Invested days 36 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 4.39B USD | Price to earnings Ratio 15.57 | 1Y Target Price 65 |
Price to earnings Ratio 15.57 | 1Y Target Price 65 | ||
Volume (30-day avg) 517143 | Beta 0.67 | 52 Weeks Range 48.52 - 64.85 | Updated Date 04/1/2025 |
52 Weeks Range 48.52 - 64.85 | Updated Date 04/1/2025 | ||
Dividends yield (FY) 4.46% | Basic EPS (TTM) 3.91 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 12.84% | Operating Margin (TTM) 26.68% |
Management Effectiveness
Return on Assets (TTM) 3.18% | Return on Equity (TTM) 8.23% |
Valuation
Trailing PE 15.57 | Forward PE 14.62 | Enterprise Value 8739944587 | Price to Sales(TTM) 2.06 |
Enterprise Value 8739944587 | Price to Sales(TTM) 2.06 | ||
Enterprise Value to Revenue 4.11 | Enterprise Value to EBITDA 11.13 | Shares Outstanding 72086496 | Shares Floating 71220013 |
Shares Outstanding 72086496 | Shares Floating 71220013 | ||
Percent Insiders 0.49 | Percent Institutions 86.63 |
Analyst Ratings
Rating 3.17 | Target Price 64.17 | Buy - | Strong Buy 1 |
Buy - | Strong Buy 1 | ||
Hold 4 | Sell 1 | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Black Hills Corporation

Company Overview
History and Background
Black Hills Corporation, founded in 1941, began as Black Hills Power and Light Company. It has grown through acquisitions and organic development to become a diversified energy company serving customers in the central United States.
Core Business Areas
- Electric Utilities: Generates and distributes electricity to customers in South Dakota, Wyoming, Colorado, and Montana.
- Gas Utilities: Distributes natural gas to customers in South Dakota, Nebraska, Wyoming, Colorado, and Iowa.
- Power Generation: Owns and operates power generation facilities.
Leadership and Structure
The company is led by a board of directors and an executive leadership team. The organizational structure is divided by business segment and functional areas.
Top Products and Market Share
Key Offerings
- Electricity Distribution: Provides electricity to residential, commercial, and industrial customers. Market share varies by region; generally operates within a regulated monopoly context in its service territories. Competitors are other regional electric utilities and alternative energy providers.
- Market Share (%): 25
- Market Share (%): 10
- Natural Gas Distribution: Provides natural gas to residential, commercial, and industrial customers. Market share varies by region; generally operates within a regulated monopoly context in its service territories. Competitors are other regional gas utilities and alternative fuel sources.
- Electric Generation: Generating and providing electricity for the grid
- Market Share (%): 5
Market Dynamics
Industry Overview
The utility industry is undergoing a transformation, with increasing focus on renewable energy, grid modernization, and decarbonization. Regulatory changes and technological advancements are key drivers.
Positioning
Black Hills Corporation is positioned as a diversified utility company with a growing renewable energy portfolio. Its regulated business model provides a stable revenue stream. It has been actively pursuing strategic acquisitions to expand its geographic footprint and service offerings.
Total Addressable Market (TAM)
The total addressable market for utilities is in the hundreds of billions annually. BKH has a small but significant portion, focused on the central US. They are well positioned to capitalize on growth in their markets.
Upturn SWOT Analysis
Strengths
- Regulated utility operations
- Diversified energy portfolio
- Strong regional presence
- Experienced management team
- Reliable revenue streams
Weaknesses
- Exposure to commodity price fluctuations
- Regulatory risks
- Capital-intensive business model
- Limited geographic diversity
Opportunities
- Investments in renewable energy projects
- Expansion through acquisitions
- Grid modernization initiatives
- Growing demand for energy in its service territories
Threats
- Increasing competition from alternative energy sources
- Changes in regulatory policies
- Economic downturns
- Environmental regulations
Competitors and Market Share
Key Competitors
- Xcel Energy (XEL)
- Alliant Energy (LNT)
- NorthWestern Energy (NWE)
Competitive Landscape
Black Hills Corporation competes with other regional utility companies. Its strengths include its strong regional presence and diversified energy portfolio. Its weaknesses include its exposure to commodity price fluctuations and regulatory risks.
Major Acquisitions
SourceGas Holdings
- Year: 2016
- Acquisition Price (USD millions): 940
- Strategic Rationale: Expanded Black Hills Corporation's natural gas operations and geographic footprint.
Growth Trajectory and Initiatives
Historical Growth: Black Hills Corporation has grown through acquisitions and organic investments in its utility businesses.
Future Projections: Analysts project steady growth in earnings driven by increased demand and investments in renewable energy. Long-term growth is estimated around 4-6%.
Recent Initiatives: Recent initiatives include expanding its renewable energy portfolio, upgrading its grid infrastructure, and acquiring other utility companies.
Summary
Black Hills Corporation is a fairly robust utility company with growing operations. Its strengths include a regulated business model, diversified energy portfolio, and a consistent dividend payout. The company must continue to invest in infrastructure upgrades and renewable energy sources. The company will need to navigate regulatory changes and competition from alternative energy sources.
Similar Companies

LNT

Alliant Energy Corp



LNT

Alliant Energy Corp

NWE

NorthWestern Corporation



NWE

NorthWestern Corporation

XEL

Xcel Energy Inc



XEL

Xcel Energy Inc
Sources and Disclaimers
Data Sources:
- Company Filings (10-K, 10-Q)
- Investor Presentations
- Analyst Reports
- Company Website
Disclaimers:
This analysis is for informational purposes only and should not be considered financial advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Black Hills Corporation
Exchange NYSE | Headquaters Rapid City, SD, United States | ||
IPO Launch date 1984-09-07 | President, CEO & Director Mr. Linden R. Evans J.D. | ||
Sector Utilities | Industry Utilities - Regulated Gas | Full time employees 2841 | Website https://www.blackhillscorp.com |
Full time employees 2841 | Website https://www.blackhillscorp.com |
Black Hills Corporation, through its subsidiaries, operates as an electric and natural gas utility company in the United States. The company operates in two segments: Electric Utilities and Gas Utilities. The Electric Utilities segment generates, transmits, and distributes electricity to approximately 225,000 electric utility customers in Colorado, Montana, South Dakota, and Wyoming; and owns and operates 1,394 megawatts of generation capacity and 9,106 miles of electric transmission and distribution lines. The Gas Utilities segment distributes natural gas to approximately 1,128,000 natural gas utility customers in Arkansas, Colorado, Iowa, Kansas, Nebraska, and Wyoming; owns and operates 4,648 miles of intrastate gas transmission pipelines; 44,524 miles of gas distribution mains and service lines; seven natural gas storage sites; and approximately 50,000 horsepower of compression and 516 miles of gathering lines. It also constructs and maintains customer owned gas infrastructure facilities for gas transportation customers; and provides appliance repair services to residential utility customers, as well as electrical system construction services to large industrial customers. In addition, the company produces electric power through wind, natural gas, and coal-fired generating plants; and coal at its coal mine located near Gillette, Wyoming. Black Hills Corporation was incorporated in 1941 and is headquartered in Rapid City, South Dakota.
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