Black Hills (NYSE:BKH) Hits New 1-Year High on Earnings Beat

Key Points

• Black Hills hit a new 52-week high after reporting quarterly EPS of $0.57, beating the $0.47 analyst estimate; revenue grew 8.3% year over year but came in below expectations.
• The company declared a quarterly dividend of $0.703 per share, equivalent to an annualized $2.81 and a 3.3% yield.
• Analysts maintain a consensus Buy rating, with a $83.25 average price target; several firms recently raised their targets.

Black Hills Corporation (NYSE:BKH - Get Free Report)'s stock price reached a new 52-week high during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $86.49 and last traded at $86.1420, with a volume of 135,348 shares changing hands. The stock had previously closed at $84.19.

The utilities provider reported $0.57 earnings per share for the quarter, beating the consensus estimate of $0.47 by $0.10. The business had revenue of $466.10 million for the quarter, compared to analysts' expectations of $483.04 million. Black Hills had a net margin of 13.01% and a return on equity of 7.98%. The firm's revenue for the quarter was up 8.3% compared to the same quarter last year. During the same quarter last year, the firm earned $0.45 EPS.

Black Hills Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 1st. Stockholders of record on Tuesday, November 17th will be issued a $0.7030 dividend. This represents a $2.81 dividend on an annualized basis and a dividend yield of 3.3%. The ex-dividend date is Tuesday, November 17th. Black Hills's dividend payout ratio (DPR) is currently 70.96%.

Analyst Ratings Changes

A number of equities research analysts recently commented on the company. BMO Capital Markets increased their price target on Black Hills from $83.00 to $86.00 and gave the company an "outperform" rating in a research report on Thursday, October 8th. Bank of America upped their target price on shares of Black Hills from $87.00 to $97.00 and gave the stock a "buy" rating in a research note on Monday, September 21st. Wall Street Zen upgraded shares of Black Hills from a "sell" rating to a "hold" rating in a report on Saturday, August 8th. Freedom Broker raised shares of Black Hills from a "hold" rating to a "buy" rating and raised their price target for the company from $69.00 to $78.00 in a research report on Wednesday, October 7th. Finally, Weiss Ratings restated a "buy (b)" rating on shares of Black Hills in a report on Thursday, October 22nd. One equities research analyst has rated the stock with a Strong Buy rating and seven have given a Buy rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Buy" and a consensus target price of $83.25.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of BKH. Clearstead Trust LLC bought a new position in shares of Black Hills in the second quarter worth $34,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of Black Hills during the 2nd quarter valued at $34,000. GK Wealth Management LLC bought a new stake in shares of Black Hills during the 3rd quarter valued at $44,000. Pathway Financial Advisers LLC purchased a new stake in Black Hills during the 3rd quarter worth about $45,000. Finally, Global Retirement Partners LLC purchased a new stake in Black Hills during the 2nd quarter worth about $56,000. Institutional investors own 86.71% of the company's stock.

Black Hills Price Performance

The business has a fifty day moving average of $74.64 and a 200-day moving average of $73.50. The company has a current ratio of 0.52, a quick ratio of 0.41 and a debt-to-equity ratio of 0.99. The firm has a market cap of $6.55 billion, a PE ratio of 21.69, a PEG ratio of 3.26 and a beta of 0.64.

Black Hills Company Profile

Black Hills Corporation NYSE: BKH is an energy company headquartered in Rapid City, South Dakota. Through its Black Hills Energy businesses, the company provides regulated electric and natural gas utility services to residential, commercial and industrial customers.

Black Hills operates electric utilities and natural gas distribution systems across parts of Colorado, Iowa, Kansas, Montana, Nebraska, South Dakota and Wyoming. Its activities include generating and purchasing electricity, transmitting and distributing power, distributing natural gas, and developing and maintaining the infrastructure needed to serve its utility customers.

The company traces its history to the Black Hills region and has expanded through the development and acquisition of utility operations in the central and western United States.

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