olivLaw · US equity research
Black Hills Corporation BKH
Electric Services · SIC 4911 · Vertical: Electric Services (SIC 4911)
Black Hills Corporation is a US utility that generates, transmits and distributes electricity and natural gas across several states in the Rocky Mountains and Midwest. The company is nearing completion of its merger with NorthWestern Energy, and rising power demand in Wyoming driven by data centers makes it a case of interest.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Black Hills Corporation (BKH) stock was 84.19 USD (+2.42% on the day), with market capitalisation 6.4 bn USD, P/E 21.3 on diluted EPS of 3.96 USD over the last 12 months, dividend yield 3.28%, beta 0.23, 52-week range 64.75–84.19 USD. Latest reported quarter (Q2 2026): revenue of 452.8 m USD (+3.1% YoY), net income of 38.2 m USD (+38.9% YoY), diluted EPS 0.50 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 77.8
- overbought (≥ 70)
- Bollinger (20, 2)
- 73.91 – 84.23
- in the upper half of the band · %B 1.00 · band width 13.0%
- SMA 50 / 200
- 74.62 / 73.53
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 2.56 / 2.20
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +19.5% | −1.1% | +20.5 pp | — |
| 3 months | +17.4% | −0.5% | +17.8 pp | — |
| 6 months | +13.9% | +4.4% | +9.5 pp | — |
| Year to date | +21.3% | +12.3% | +9.0 pp | — |
| 1 year | +30.3% | +13.5% | +16.7 pp | −2.5% |
| 3 years | +63.4% | +76.4% | −13.0 pp | +40.8% |
| 5 years | +27.4% | +63.7% | −36.3 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 30 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 401.6 m | 597.1 m | 805.2 m | 439.0 m | 430.2 m | 635.5 m | 780.7 m | 452.8 m |
| Operating income | 75.8 m | 163.3 m | 205.0 m | 82.5 m | 78.7 m | 171.4 m | 201.9 m | 97.0 m |
| Depreciation & amortisation | 69.3 m | 68.3 m | 69.2 m | 69.8 m | 71.5 m | 73.3 m | 74.8 m | 75.3 m |
| Interest expense | 45.2 m | 49.8 m | 51.3 m | 48.9 m | 49.4 m | 50.5 m | 51.9 m | 51.6 m |
| Pre-tax income | 29.3 m | 113.8 m | 154.5 m | 33.2 m | 29.9 m | 125.9 m | 150.7 m | 45.6 m |
| Income tax | 2.9 m | 12.7 m | 18.1 m | 4.4 m | 4.0 m | 17.2 m | 17.6 m | 5.2 m |
| Net income | 24.4 m | 98.1 m | 134.3 m | 27.5 m | 24.9 m | 105.0 m | 131.0 m | 38.2 m |
| Diluted EPS | 0.35 | 1.37 ≈ | 1.87 | 0.38 | 0.34 | 1.39 ≈ | 1.73 | 0.50 |
| Operating cash flow | 102.1 m ≈ | 153.2 m | 227.8 m | 188.6 m ≈ | 88.9 m ≈ | 168.1 m | 176.2 m | 195.1 m ≈ |
| Capex | 188.1 m ≈ | 213.7 m | 152.9 m | 218.9 m ≈ | 178.4 m ≈ | 269.6 m | 267.4 m | 218.1 m ≈ |
| Dividends paid | 46.5 m ≈ | 46.5 m | 48.6 m | 49.0 m ≈ | 49.2 m ≈ | 51.1 m | 53.1 m | 53.5 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 87 percentile of its own 39-quarter history (min 12.7, median 17.5, max 44.8; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.8 bn | 1.7 bn | 1.7 bn | 1.9 bn | 2.6 bn | 2.3 bn | 2.1 bn | 2.3 bn |
| Revenue YoY | +4.4% | −1.1% | −2.2% | +14.9% | +30.9% | −8.6% | −8.7% | +8.6% |
| Net income | 258.4 m | 199.3 m | 227.6 m | 236.7 m | 258.4 m | 262.2 m | 273.1 m | 291.6 m |
| Net income YoY | +46.0% | −22.9% | +14.2% | +4.0% | +9.2% | +1.5% | +4.2% | +6.8% |
| Diluted EPS | 4.66 | 3.28 | 3.65 | 3.74 | 3.97 | 3.91 | 3.91 | 3.98 |
| Diluted EPS YoY | +45.2% | −29.6% | +11.3% | +2.5% | +6.1% | −1.5% | 0.0% | +1.8% |
| net % | 14.7% | 11.5% | 13.4% | 12.1% | 10.1% | 11.2% | 12.8% | 12.6% |
| Free cash flow | 31.3 m | -312.9 m | -225.5 m | -742.1 m | -19.6 m | 388.8 m | -24.9 m | -146.4 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 182.8 m USD
- Financial debt
- 4.7 bn USD
- Net debt
- 4.5 bn USD
- Equity
- 3.9 bn USD
- Total assets
- 10.9 bn USD
- Debt / equity
- 1.20x
- Current ratio
- 1.35x
- ROE
- 7.8%
- ROA
- 2.8%
- FCF margin
- -6.3%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 1.7 bn | 1.9 bn | 2.6 bn | 2.3 bn | 2.1 bn | 2.3 bn | SEC (XBRL)· 11 Feb 2026verified |
| Operating income | 428.3 m | 409.4 m | 455.2 m | 472.7 m | 503.1 m | 537.5 m | SEC (XBRL)· 11 Feb 2026verified |
| Depreciation & amortisation | 224.5 m | 236.0 m | 250.9 m | 256.8 m | 270.1 m | 283.8 m | SEC (XBRL)· 11 Feb 2026verified |
| EBITDA | 652.8 m ≈ | 645.4 m ≈ | 706.1 m ≈ | 729.5 m ≈ | 773.2 m ≈ | 821.3 m ≈ | SEC (XBRL)· 11 Feb 2026derived |
| Interest expense | 143.5 m | 152.4 m | 161.0 m | 167.9 m | 181.7 m | 200.1 m | SEC (XBRL)· 11 Feb 2026verified |
| Pre-tax income | 275.7 m | 258.4 m | 296.0 m | 301.6 m | 320.0 m | 343.5 m | SEC (XBRL)· 11 Feb 2026verified |
| Income tax | 32.9 m | 7.2 m | 25.2 m | 25.6 m | 36.3 m | 43.7 m | SEC (XBRL)· 11 Feb 2026verified |
| Net income | 227.6 m | 236.7 m | 258.4 m | 262.2 m | 273.1 m | 291.6 m | SEC (XBRL)· 11 Feb 2026verified |
| Diluted EPS | 3.65 | 3.74 | 3.97 | 3.91 | 3.91 | 3.98 | SEC (XBRL)· 11 Feb 2026verified |
| Weighted average diluted shares | 62.4 m | 63.3 m | 73.2 m | 67.1 m | 69.9 m | 73.2 m | SEC (XBRL)· 11 Feb 2026verified |
| Dividend per share | 2.17 | 2.29 | 2.41 | 2.50 | 2.60 | 2.70 | SEC (XBRL)· 11 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 6.4 m | 8.9 m | 21.4 m | 86.6 m | 16.1 m | 182.8 m | SEC (XBRL)· 11 Feb 2026verified |
| Receivables | 266.0 m | 321.7 m | 508.2 m | 350.3 m | 351.2 m | 389.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Inventories | 117.4 m | 151.0 m | 207.4 m | 160.9 m | 153.9 m | 172.4 m | SEC (XBRL)· 11 Feb 2026verified |
| Current assets | 493.3 m | 808.1 m | 1.1 bn | 826.6 m | 742.3 m | 995.9 m | SEC (XBRL)· 11 Feb 2026verified |
| Property, plant & equipment, net | 6.0 bn | 6.4 bn | 6.8 bn | 7.1 bn | 7.6 bn | 8.2 bn | SEC (XBRL)· 11 Feb 2026verified |
| Goodwill | 1.3 bn | 1.3 bn | 1.3 bn | 1.3 bn | 1.3 bn | 1.3 bn | SEC (XBRL)· 11 Feb 2026verified |
| Intangibles (excl. goodwill) | 11.9 m | 10.8 m | 9.6 m | 8.4 m | 7.6 m | 6.4 m | SEC (XBRL)· 11 Feb 2026verified |
| Total assets | 8.1 bn | 9.1 bn | 9.6 bn | 9.6 bn | 10.0 bn | 10.9 bn | SEC (XBRL)· 11 Feb 2026verified |
| Accounts payable | 183.3 m | 217.8 m | 310.0 m | 186.4 m | 229.1 m | 311.7 m | SEC (XBRL)· 11 Feb 2026verified |
| Short-term debt | 234.0 m | 420.2 m | 535.6 m | 0 | 133.8 m | 0 | SEC (XBRL)· 11 Feb 2026verified |
| Long-term debt | 3.5 bn | 4.1 bn | 3.6 bn | 3.8 bn | 4.3 bn | 4.7 bn | SEC (XBRL)· 11 Feb 2026verified |
| Current liabilities | 696.5 m | 901.7 m | 1.7 bn | 1.2 bn | 763.4 m | 740.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Equity | 2.7 bn | 2.9 bn | 3.1 bn | 3.3 bn | 3.6 bn | 3.9 bn | SEC (XBRL)· 11 Feb 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 541.9 m | -64.6 m | 584.8 m | 944.4 m | 719.3 m | 673.4 m | SEC (XBRL)· 11 Feb 2026verified |
| Capex | 767.4 m | 677.5 m | 604.4 m | 555.6 m | 744.2 m | 819.8 m | SEC (XBRL)· 11 Feb 2026verified |
| Free cash flow | -225.5 m ≈ | -742.1 m ≈ | -19.6 m ≈ | 388.8 m ≈ | -24.9 m ≈ | -146.4 m ≈ | SEC (XBRL)· 11 Feb 2026derived |
| Investing cash flow | -761.7 m | -664.2 m | -603.9 m | -536.7 m | -746.0 m | -828.2 m | SEC (XBRL)· 11 Feb 2026verified |
| Financing cash flow | 216.9 m | 731.9 m | 32.3 m | -341.7 m | -42.9 m | 321.8 m | SEC (XBRL)· 11 Feb 2026verified |
| Dividends paid | 135.4 m | 145.0 m | 156.7 m | 168.1 m | 182.3 m | 197.9 m | SEC (XBRL)· 11 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
3 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 42 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 6.4 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation52
- Returns57
- Quality60
- Balance sheet37
- Growth0
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 35.53 – 99.51 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · the base of the ratio is not positive
- Dividend discount (DDM)35.53 – 47.79 (Mid 40.76)
- Peers: EV/EBITDA50.84 – 99.51 (Mid 77.94)23 companies used · median multiple 11.8x · quartiles 9.3x – 13.7xAEP, AQN, CEG, CNP, CWEN, D, EIX, ELLO, ENLT, ES, ETR, HE, IDA, NEE, NRG, OTTR, PNW, POR, SO, SPRU, TVC, TXNM, VST
- Peers: P/E78.62 – 94.86 (Mid 86.40)17 companies used · median multiple 21.8x · quartiles 19.9x – 24.0xAEP, AQN, CEG, CNP, D, ES, ETR, FE, IDA, NEE, NRG, OTTR, PNW, POR, PPL, SO, VST
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 42/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 6.1% | 57 (vs peers) | 6% |
| Net margin · Quality | 13.0% | 63 (vs peers) | 6% |
| Revenue CAGR 3Y · Growth | -3.3% | 0 (on a fixed band) | 6% |
| EPS CAGR 3Y · Growth | 0.1% | 1 (on a fixed band) | 9% |
| Net debt / EBITDA · Balance sheet | 4.8x | 52 (vs peers) | 13% |
| Interest coverage · Balance sheet | 2.7x | 34 (on a fixed band) | 11% |
| Current ratio · Balance sheet | 0.5x | 0 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 21.3x | 57 (vs peers) | 13% |
| EV/EBITDA · Valuation | 12.4x | 46 (vs peers) | 11% |
| Dividend yield · Returns | 3.3% | 52 (vs peers) | 15% |
| Payout ratio (EPS) · Returns | 69.7% | 67 (on a fixed band) | 6% |
Score groups
- Balance sheet37/100 · 3/3 factors with a value
- Growth0/100 · 2/2 factors with a value
- Quality60/100 · 2/2 factors with a value
- Returns57/100 · 2/2 factors with a value
- Valuation52/100 · 2/2 factors with a value
Memo
Black Hills Corporation (BKH). Latest full fiscal year: 2025; data up to 2026-06-30.
Figures computed from the financial statements: revenue 2.3 bn USD in 2025; YoY growth 8.6%; net margin 13.0%; ROE 7.9%; net debt/EBITDA 4.8x.
The estimated value range is 50.84–94.86 USD per share (median of 3 methods, agreement: medium); assumptions are illustrative. Against the central value of 77.94 USD, the price of 84.19 USD leaves a potential of -7.4% (value / price − 1) and a margin of safety of -8.0% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 42/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.
What contradicts it
- Revenue CAGR 3Y: -3.3%
- EPS CAGR 3Y: 0.1%
- Current ratio: 0.5x
Versus the vertical median
Electric Services (SIC 4911) · same industry (4-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| NEENextera Energy Inc | 184.4 bn | 22.5 | 15.6% | 31.5% | +9.8% | +3% / +51% |
| SOSouthern Co | 105.0 bn | 23.9 | 11.3% | 14.5% | +10.6% | +2% / +31% |
| PAMPampa Energy Inc. | 88.2 bn | 141.0 | 21.8% | 33.0% | +8.3% | −28% / +38% |
| CEGConstellation Energy Corporation | 87.1 bn | 24.0 | 15.3% | 11.1% | +8.3% | −33% / +103% |
| AEPAmerican Electric Power Company, Inc. | 70.3 bn | 19.0 | 12.8% | 16.9% | +10.9% | +4% / +62% |
| DDominion Energy, Inc | 61.3 bn | 20.6 | 10.5% | 16.9% | +14.2% | +11% / +54% |
| ETREntergy Corp | 51.2 bn | 28.4 | 11.1% | 13.6% | +9.0% | +15% / +121% |
| VSTVistra Operations Company LLC | 40.4 bn | 19.9 | 43.1% | 11.6% | +3.0% | −33% / +240% |
| FEFirstenergy Corp | 27.3 bn | 25.7 | 8.4% | 6.9% | +12.0% | −1% / +28% |
| PPLPPL Corp | 26.9 bn | 21.8 | 8.3% | 13.1% | +6.9% | −3% / +37% |
| CNPCenterpoint Energy Inc | 26.8 bn | 25.2 | 9.6% | 11.4% | +8.3% | +3% / +45% |
| ESEversource Energy | 26.5 bn | 18.2 | 9.1% | 10.4% | +13.8% | +5% / +19% |
| EIXEdison International | 23.7 bn | 6.5 | 20.8% | 19.6% | +9.8% | +4% / −8% |
| NRGNRG Energy, Inc | 17.5 bn | 21.6 | 23.8% | 2.6% | +9.2% | −51% / +74% |
| TLNTalen Energy Corporation | 14.2 bn | — | -16.7% | -6.4% | +22.0% | −17% / +470% |
| PNWPinnacle West Capital Corporation | 12.8 bn | 19.8 | 9.1% | 11.7% | +4.2% | +16% / +41% |
| ENLTEnlight Renewable Energy Ltd. | 8.9 bn | 67.7 | 9.2% | 27.0% | +29.3% | +69% / +293% |
| IDAIDACORP, Inc. | 8.7 bn | 23.2 | 9.9% | 20.5% | −1.2% | +12% / +53% |
| BEPBrookfield Renewable Partners L.P. | 8.5 bn | — | -1.9% | -1.1% | +9.0% | +8% / +25% |
| CWENClearway Energy, Inc. | 7.3 bn | 72.6 | 1.8% | 6.4% | +4.2% | −2% / +43% |
| TXNMTXNM Energy, Inc. | 6.5 bn | 41.1 | 5.5% | 7.5% | +9.9% | +0% / +41% |
| BKHBlack Hills Corporation | 6.4 bn | 21.3 | 7.9% | 13.0% | +8.6% | +30% / +63% |
| PORPortland General Electric Company | 5.5 bn | 19.7 | 6.6% | 7.7% | +4.0% | −9% / +12% |
| OKLOOklo Inc. | 4.1 bn | — | -7.7% | — | unavailable | −76% / +114% |
| OTTROtter Tail Corporation | 3.5 bn | 20.0 | 9.4% | 13.6% | −2.3% | +2% / +10% |
1- and 3-year price returns: for BKH from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 45.45 Total return -44% · Per year -44% | 80.68 Total return -1% · Per year -1% | 121.98 Total return 49% · Per year 49% |
| 3 years | 37.50 Total return -49% · Per year -20% | 75.50 Total return -1% · Per year -0% | 126.25 Total return 62% · Per year 17% |
| 5 years | 30.93 Total return -53% · Per year -14% | 70.65 Total return -1% · Per year -0% | 130.67 Total return 75% · Per year 12% |
- Exit P/E± 18.88
- Net margin± 13.21
- Annual revenue growth± 11.72
- Annual dilution± 1.11
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 06 Aug 2026; since then the company filed 8-K (04 Nov 2026 · results).
In brief
Black Hills Corporation is a US utility that generates, transmits and distributes electricity and natural gas across several states in the Rocky Mountains and Midwest. The company is nearing completion of its merger with NorthWestern Energy, and rising power demand in Wyoming driven by data centers makes it a case of interest 12.
SWOT
Strengths
- The company has a stable, regulated customer base with predictable revenue and cost recovery mechanisms that narrow the regulatory lag 1.
- Its own coal mine secures fuel for the Gillette plants at competitive cost, supporting operational stability 1.
- A long record of dividend increases points to a consistent financial policy and investor confidence in payout capacity 3.
Weaknesses
- Power purchase costs have risen and purchases now make up a large share of supply, which exposes the company to market prices 1.
- Merger-related corporate costs have weighed on quarterly results and could continue until the transaction closes 23.
- Higher financing and depreciation costs from capital investment have limited earnings growth in some periods 13.
Opportunities
- Data center demand in Wyoming could add revenue if definitive agreements are signed 23.
- Investment in new generation and battery storage could support compliance plans and grow the regulated asset base 12.
- If the NorthWestern merger closes, a wider geographic footprint could create a company with a broader customer base 13.
Risks
- Completion of the NorthWestern mergerhigh
The transaction depends on final approval in Montana and other closing conditions. If approval is delayed or not obtained, costs already incurred may not yield the expected benefit 23.
- Regulatory decisionshigh
Rate requests across several states depend on commission approvals. Delays or lower authorized returns could affect earnings 12.
- Execution of capital investmentsmedium
Large projects such as Lange II depend on permits, qualified personnel and material costs. Cost overruns or delays could affect returns on investment 12.
- Wildfire and liabilitymedium
Assets in rural areas can create wildfire liability. Protection laws in Wyoming and South Dakota reduce exposure only if mitigation plans are followed 12.
- Cybersecurity and tax policylow
Attacks on operational systems could interrupt service and cause data losses. Tax changes and limits on credit transfers could also reduce results 1.
Investment thesis
What would need to be true (bull case)
- Wyoming demand driven by data centers could open a path to revenue growth above the current plan if definitive agreements are completed 23.
- The regulated structure and cost recovery mechanisms can support earnings stability even when weather is unfavourable 13.
- The 2026 guidance was reaffirmed, and progress on generation projects and rate filings points to consistent execution of the plan 3.
What would break the thesis
- If merger approval is delayed or the transaction does not close, costs and uncertainty could weigh on investor confidence 23.
- Rate requests and large capacity investments increase exposure to regulatory decisions, which could be stricter than expected 12.
- Reliance on large contracts with customers such as data centers creates concentration risk if agreements fail or change 2.
What to watch
- Final approval of the merger by the Montana Public Service Commissionby year-end 2026
- Definitive agreements for the 1.8 GW data center project in Wyoming2026
- Commissioning of the Lange II plant and the SDPUC decision on the recovery riderQ4 2026
- New rates for Colorado Electric, South Dakota Electric and Arkansas GasQ1 2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 06 Aug 2026; since then the company filed 8-K (04 Nov 2026 · results).
The business
Integrated assets include the WRDC coal mine in the Powder River Basin, which supplies low-sulfur coal to power plants in the Gillette complex, as well as non-regulated generation assets that support the Electric Utilities 1. Gas supply and non-regulated services such as the Choice Gas Program complete the portfolio 1.
Strategically, management organizes its priorities around people and culture, operational excellence, transformation and growth, and the capital plan includes projects such as Lange II and the Colorado Clean Energy Plan 1. The all-stock merger with NorthWestern Energy, announced in August 2025, is in its final approval stage 13.
Segments
Market context
The utility market in which Black Hills operates is largely regulated, with rates set by state and federal commissions, and direct competition for distribution is limited 1. Rising power demand in Wyoming tied to data centers opens a growth opportunity, but it depends on definitive agreements still under negotiation 23.
The generation market is more open, because some states require competitive bidding for new resources, giving independent power producers a route into the market 1. For gas, competition comes mainly from independent marketers serving industrial and commercial customers 1.
Trends
- Data center driven power demandtailwind
Large customers such as data centers are raising load in Wyoming and justify new investment in generation and transmission. If the agreements are completed, the growth could support long-term revenue 23.
- Rate recovery of investmentsmixed
Rate requests in Colorado, South Dakota, Arkansas and other states aim to recover completed investments. Timely approvals could support earnings, while delays or rate cuts could weigh on them 12.
- Climate and environmental pressureheadwind
Emissions rules and electrification could raise compliance costs and change demand for natural gas. The company reports progress in cutting emissions intensity, but regulatory uncertainty remains 12.
- Weather and seasonalityheadwind
Weather directly affects electricity and gas demand. In the first half of 2026 mild weather reduced per-share earnings by about 0.18 dollars, showing how sensitive results are 3.
Competitive position
Direct competition for electricity and gas distribution in the company's service areas is limited, since it operates as a regulated monopoly 1. Competition does appear in generation, where utilities and independent power producers (IPPs) compete for capacity contracts in Colorado and Wyoming 1.
In natural gas, competition comes from independent suppliers for industrial and commercial customers, and electrification could weigh on long-term demand 1. The merger with NorthWestern Energy would change the competitive structure of the region if completed 13.
- NorthWestern EnergyNWE
Merger partner in the all-stock deal announced in August 2025; the combined company would serve customers across eight states if the transaction is completed 13.
- Independent power producers (IPPs)
Non-affiliated companies that compete for power and capacity supply contracts when resource plans call for additional capacity in Colorado and Wyoming 1.
- Independent gas suppliers
Marketers that compete to sell gas to industrial and commercial customers; the company still collects transport fees when it is displaced as the seller 1.
- Other regulated utilities in the region
Neighbouring utilities compete mainly in resource procurement and capacity planning, which affects new contracts 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Black Hills plans $1.8 billion investment to power Google's data centerCNA (Channel NewsAsia) · 06 Oct 2026 · EN
- Black Hills (BKH) Posts Higher Profit While Wall Street Stays SkepticalYahoo Finance — News · 04 Sept 2026 · EN
The latest news item in our archive is from 06 Oct 2026; the newest SEC filing is from 04 Nov 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Current report04 Nov 2026Results of operations · Financial statements and exhibits
- Current report23 Oct 2026Regulation FD disclosure · Financial statements and exhibits
- Current report06 Oct 2026Regulation FD disclosure · Financial statements and exhibits
- Current report17 Aug 2026Other events · Financial statements and exhibits
- Quarterly report06 Aug 2026
- Current report05 Aug 2026Results of operations · Financial statements and exhibits
- Current report15 May 2026Other events · Financial statements and exhibits
- Quarterly report07 May 2026
- Current report06 May 2026Results of operations · Financial statements and exhibits
- Current report01 May 2026Shareholder vote
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Black Hills Corporation · 11 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Black Hills Corporation · 06 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Black Hills Corporation · 05 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.