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MDU Resources Group Inc (MDU)



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Upturn Advisory Summary
04/01/2025: MDU (4-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit 26.65% | Avg. Invested days 43 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 3.48B USD | Price to earnings Ratio 19.36 | 1Y Target Price 19.75 |
Price to earnings Ratio 19.36 | 1Y Target Price 19.75 | ||
Volume (30-day avg) 1850111 | Beta 0.59 | 52 Weeks Range 12.61 - 20.10 | Updated Date 04/2/2025 |
52 Weeks Range 12.61 - 20.10 | Updated Date 04/2/2025 | ||
Dividends yield (FY) 3.07% | Basic EPS (TTM) 0.88 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 15.99% | Operating Margin (TTM) 3.21% |
Management Effectiveness
Return on Assets (TTM) 2.27% | Return on Equity (TTM) 6.47% |
Valuation
Trailing PE 19.36 | Forward PE 17.27 | Enterprise Value 5701732708 | Price to Sales(TTM) 1.98 |
Enterprise Value 5701732708 | Price to Sales(TTM) 1.98 | ||
Enterprise Value to Revenue 3.24 | Enterprise Value to EBITDA 11.24 | Shares Outstanding 204331008 | Shares Floating 202128480 |
Shares Outstanding 204331008 | Shares Floating 202128480 | ||
Percent Insiders 0.62 | Percent Institutions 81.48 |
Analyst Ratings
Rating 4.2 | Target Price 20.25 | Buy - | Strong Buy 3 |
Buy - | Strong Buy 3 | ||
Hold 2 | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
MDU Resources Group Inc

Company Overview
History and Background
MDU Resources Group Inc. was founded in 1924 as Montana-Dakota Utilities Co. It has evolved from a utility company into a diversified natural resource enterprise, with expansions into construction materials and contracting businesses.
Core Business Areas
- Utilities: This segment includes regulated electric and natural gas distribution. They provide essential services to residential, commercial, and industrial customers primarily in the Upper Midwest and Mountain West regions.
- Construction Materials and Contracting: This segment produces and supplies construction materials, including aggregates, asphalt, and ready-mix concrete. It also provides construction services, such as road building and site development.
- Pipeline: This segment focuses on the transmission of natural gas through pipelines in the Upper Midwest.
Leadership and Structure
The leadership team is headed by the CEO, with various vice presidents overseeing different business segments and corporate functions. The organizational structure is hierarchical, with distinct divisions for each business area.
Top Products and Market Share
Key Offerings
- Electricity Distribution: MDU provides regulated electricity distribution services. Market share varies by region; however, they are often the primary utility in their service areas. Competitors include other regional utilities like Black Hills Corporation (BKH) and Xcel Energy (XEL).
- Natural Gas Distribution: MDU provides regulated natural gas distribution services. Similar to electricity, market share varies geographically. Competitors include other regional utilities like ONE Gas (OGS) and Northwest Natural Holding Company (NWN).
- Construction Aggregates: MDU produces and sells aggregates such as gravel and crushed stone used for construction projects. Market share is regional and dependent on local demand. Competitors include Vulcan Materials Company (VMC) and Martin Marietta Materials (MLM).
Market Dynamics
Industry Overview
The utility industry is generally stable but faces increasing pressure from renewable energy mandates and aging infrastructure. The construction materials industry is cyclical, influenced by economic growth and government spending on infrastructure. The pipeline industry is affected by regulations and the demand for natural gas.
Positioning
MDU Resources is a diversified company, which reduces risk compared to pure-play utilities or construction materials companies. Its competitive advantages lie in its regional presence and integrated operations.
Total Addressable Market (TAM)
TAM for utilities: trillions USD, TAM for construction materials: hundreds of billions USD. MDU is positioned well in their regional service areas but must compete on price and service.
Upturn SWOT Analysis
Strengths
- Diversified business model
- Regulated utility operations provide stable cash flow
- Strong regional presence
- Vertical integration in construction materials
Weaknesses
- Exposure to cyclical construction materials market
- Regulatory risk in utility operations
- Capital intensive operations
- Reliance on regional economies
Opportunities
- Infrastructure spending bill
- Expansion of renewable energy infrastructure
- Acquisitions in fragmented construction materials market
- Growth in natural gas demand
Threats
- Rising interest rates
- Increasing competition in construction materials
- Environmental regulations
- Economic downturn
Competitors and Market Share
Key Competitors
- BKH
- XEL
- VMC
- MLM
Competitive Landscape
MDU competes effectively in its regional markets due to its integrated operations and diversified business model. However, it faces competition from larger, more specialized companies.
Major Acquisitions
Knife River Corporation
- Year: 2023
- Acquisition Price (USD millions): 0
- Strategic Rationale: Spun off Knife River Corporation to operate as an independent, publicly traded company.
Growth Trajectory and Initiatives
Historical Growth: Historical growth information not available. Please manually input numerical data here and remove this text.
Future Projections: Future projections information not available. Please manually input numerical data here and remove this text.
Recent Initiatives: Recent initiatives information not available. Please manually input numerical data here and remove this text.
Summary
MDU Resources is a diversified company with stable utility operations and exposure to the cyclical construction materials market. The company's regional focus and integrated operations provide competitive advantages. However, MDU faces risks related to regulation, economic cycles, and increasing competition. Continued focus on operational efficiency and strategic acquisitions will be important for future growth.
Similar Companies

BKH

Black Hills Corporation



BKH

Black Hills Corporation

MLM

Martin Marietta Materials Inc



MLM

Martin Marietta Materials Inc

NWN

Northwest Natural Gas Co



NWN

Northwest Natural Gas Co

OGS

One Gas Inc



OGS

One Gas Inc

VMC

Vulcan Materials Company



VMC

Vulcan Materials Company

XEL

Xcel Energy Inc



XEL

Xcel Energy Inc
Sources and Disclaimers
Data Sources:
- Company Filings
- Industry Reports
- Financial News Outlets
Disclaimers:
The data provided is for informational purposes only and should not be considered financial advice. Market share data is estimated and may not be precise.
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 MDU Resources Group Inc
Exchange NYSE | Headquaters Bismarck, ND, United States | ||
IPO Launch date 1987-11-05 | President, CEO & Director Ms. Nicole A. Kivisto | ||
Sector Industrials | Industry Conglomerates | Full time employees 2052 | Website https://www.mdu.com |
Full time employees 2052 | Website https://www.mdu.com |
MDU Resources Group, Inc. engages in the regulated energy delivery businesses in the United States. The company operates through three segments: Electric, Natural Gas Distribution, and Pipeline. It generates, transmits, and distributes electricity in Montana, North Dakota, South Dakota, and Wyoming. The company also distributes natural gas in Idaho, Minnesota, Montana, North Dakota, Oregon, South Dakota, Washington, and Wyoming; and supplies related value-added services. In addition, it provides natural gas transportation and underground storage services through a regulated pipeline system primarily in the Rocky Mountain and northern Great Plains regions; and cathodic protection non-regulated energy-related services. Further, the company offers transportation and storage services. MDU Resources Group, Inc. was incorporated in 1924 and is headquartered in Bismarck, North Dakota.
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