Black Hills (NYSE:BKH) Hits New 12-Month High on Strong Earnings

Black Hills Corporation (NYSE:BKH)’s share price hit a new 52-week high during trading on Wednesday following a stronger than expected earnings report. The company traded as high as $74.99 and last traded at $74.4130, with a volume of 26412 shares changing hands. The stock had previously closed at $74.04.

The utilities provider reported $1.41 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.37 by $0.04. Black Hills had a net margin of 12.62% and a return on equity of 7.99%. The business had revenue of $635.50 million during the quarter, compared to analysts’ expectations of $809.88 million. During the same quarter in the prior year, the business posted $1.37 EPS. The company’s revenue for the quarter was up 6.4% on a year-over-year basis. Black Hills has set its FY 2026 guidance at 4.250-4.450 EPS.

Black Hills Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Sunday, March 1st. Shareholders of record on Tuesday, February 17th will be given a dividend of $0.703 per share. This represents a $2.81 annualized dividend and a yield of 3.9%. This is a positive change from Black Hills’s previous quarterly dividend of $0.68. The ex-dividend date of this dividend is Tuesday, February 17th. Black Hills’s dividend payout ratio is presently 67.84%.

Wall Street Analysts Forecast Growth

BKH has been the topic of several recent analyst reports. BMO Capital Markets boosted their target price on Black Hills from $70.00 to $82.00 and gave the stock an “outperform” rating in a research report on Tuesday, January 27th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Black Hills in a report on Monday, December 29th. Finally, Scotiabank raised Black Hills from a “sector perform” rating to a “sector outperform” rating and raised their target price for the company from $66.00 to $81.00 in a report on Friday, November 7th. Three investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $75.67.

Insiders Place Their Bets

In related news, CFO Kimberly F. Nooney sold 14,500 shares of the stock in a transaction dated Monday, November 10th. The stock was sold at an average price of $70.70, for a total transaction of $1,025,150.00. Following the transaction, the chief financial officer directly owned 34,621 shares in the company, valued at approximately $2,447,704.70. This represents a 29.52% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 0.63% of the company’s stock.

Hedge Funds Weigh In On Black Hills

Hedge funds and other institutional investors have recently modified their holdings of the company. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Black Hills by 7.3% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 42,798 shares of the utilities provider’s stock valued at $2,596,000 after acquiring an additional 2,906 shares in the last quarter. NewEdge Advisors LLC grew its stake in shares of Black Hills by 83.2% in the first quarter. NewEdge Advisors LLC now owns 3,345 shares of the utilities provider’s stock valued at $203,000 after buying an additional 1,519 shares in the last quarter. Jones Financial Companies Lllp raised its holdings in shares of Black Hills by 37.8% during the 1st quarter. Jones Financial Companies Lllp now owns 3,040 shares of the utilities provider’s stock valued at $184,000 after buying an additional 834 shares during the period. United Services Automobile Association purchased a new stake in shares of Black Hills during the 1st quarter valued at about $255,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in Black Hills by 5.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 134,673 shares of the utilities provider’s stock worth $8,168,000 after acquiring an additional 7,332 shares in the last quarter. 86.71% of the stock is owned by institutional investors and hedge funds.

Black Hills Stock Performance

The company has a debt-to-equity ratio of 1.10, a quick ratio of 0.67 and a current ratio of 0.91. The stock has a fifty day simple moving average of $71.24 and a two-hundred day simple moving average of $65.49. The stock has a market cap of $5.28 billion, a PE ratio of 18.20, a PEG ratio of 3.27 and a beta of 0.75.

About Black Hills

Black Hills Corporation is a diversified energy company based in Rapid City, South Dakota, that provides electricity and natural gas distribution services to residential, commercial and industrial customers. Through its regulated utility subsidiaries—Black Hills Power, Cheyenne Light & Power, and Black Hills Energy—the company delivers reliable energy across Colorado, Kansas, Montana, Nebraska, South Dakota and Wyoming.

In addition to its distribution operations, Black Hills owns and operates a generation portfolio that includes natural gas–fired plants, coal-fired units, hydroelectric facilities and wind projects.