Black Hills
Market Cap
US$4.0b
Last Updated
2020/11/27 01:13 UTC
Data Sources
Company Financials +
Executive Summary
Black Hills Corporation, through its subsidiaries, operates as an electric and natural gas utility company in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer and fair value.
Similar Companies
Share Price & News
How has Black Hills's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BKH is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: BKH's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
3.2%
BKH
1.8%
US Integrated Utilities
2.1%
US Market
1 Year Return
-16.0%
BKH
-1.9%
US Integrated Utilities
19.8%
US Market
Return vs Industry: BKH underperformed the US Integrated Utilities industry which returned -1.9% over the past year.
Return vs Market: BKH underperformed the US Market which returned 19.8% over the past year.
Shareholder returns
| BKH | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.2% | 1.8% | 2.1% |
| 30 Day | 9.0% | -0.3% | 8.1% |
| 90 Day | 14.0% | 8.0% | 6.0% |
| 1 Year | -13.1%-16.0% | 1.6%-1.9% | 22.5%19.8% |
| 3 Year | 21.3%10.3% | 18.4%6.4% | 46.5%36.8% |
| 5 Year | 83.0%57.1% | 78.9%49.8% | 96.9%75.3% |
Long-Term Price Volatility Vs. Market
How volatile is Black Hills's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Is Black Hills Corporation's (NYSE:BKH) 9.0% ROE Strong Compared To Its Industry?2 weeks ago | Simply Wall St
What Is The Ownership Structure Like For Black Hills Corporation (NYSE:BKH)?1 month ago | Simply Wall St
Is Black Hills Corporation (NYSE:BKH) Worth US$58.9 Based On Its Intrinsic Value?Valuation
Is Black Hills undervalued compared to its fair value and its price relative to the market?
18.23x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: BKH ($64.53) is trading above our estimate of fair value ($47.87)
Significantly Below Fair Value: BKH is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BKH is good value based on its PE Ratio (18.2x) compared to the US Integrated Utilities industry average (20.4x).
PE vs Market: BKH is good value based on its PE Ratio (18.2x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: BKH is poor value based on its PEG Ratio (2.7x)
Price to Book Ratio
PB vs Industry: BKH is good value based on its PB Ratio (1.6x) compared to the US Integrated Utilities industry average (2x).
Next Steps
Future Growth
How is Black Hills forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
6.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BKH's forecast earnings growth (6.7% per year) is above the savings rate (2.2%).
Earnings vs Market: BKH's earnings (6.7% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: BKH's earnings are forecast to grow, but not significantly.
Revenue vs Market: BKH's revenue (6.3% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: BKH's revenue (6.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BKH's Return on Equity is forecast to be low in 3 years time (9%).
Next Steps
Past Performance
How has Black Hills performed over the past 5 years?
22.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BKH has high quality earnings.
Growing Profit Margin: BKH's current net profit margins (13%) are higher than last year (12.4%).
Past Earnings Growth Analysis
Earnings Trend: BKH's earnings have grown significantly by 22.6% per year over the past 5 years.
Accelerating Growth: BKH's earnings growth over the past year (0.8%) is below its 5-year average (22.6% per year).
Earnings vs Industry: BKH earnings growth over the past year (0.8%) underperformed the Integrated Utilities industry 5.9%.
Return on Equity
High ROE: BKH's Return on Equity (9%) is considered low.
Next Steps
Financial Health
How is Black Hills's financial position?
Financial Position Analysis
Short Term Liabilities: BKH's short term assets ($403.7M) do not cover its short term liabilities ($513.9M).
Long Term Liabilities: BKH's short term assets ($403.7M) do not cover its long term liabilities ($4.7B).
Debt to Equity History and Analysis
Debt Level: BKH's debt to equity ratio (138%) is considered high.
Reducing Debt: BKH's debt to equity ratio has increased from 131.3% to 138% over the past 5 years.
Debt Coverage: BKH's debt is not well covered by operating cash flow (14.9%).
Interest Coverage: BKH's interest payments on its debt are not well covered by EBIT (2.9x coverage).
Balance Sheet
Next Steps
Dividend
What is Black Hills's current dividend yield, its reliability and sustainability?
3.50%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: BKH's dividend (3.5%) is higher than the bottom 25% of dividend payers in the US market (1.47%).
High Dividend: BKH's dividend (3.5%) is low compared to the top 25% of dividend payers in the US market (4.05%).
Stability and Growth of Payments
Stable Dividend: BKH's dividends per share have been stable in the past 10 years.
Growing Dividend: BKH's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (60.5%), BKH's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BKH's dividends in 3 years are forecast to be covered by earnings (60% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.2yrs
Average management tenure
CEO
Linn Evans (57 yo)
1.83yrs
Tenure
US$3,639,302
Compensation
Mr. Linden R. Evans, also known as Linn, has been a Chief Executive Officer and Chairman at Black Hills Power Inc. since January 1, 2019. Mr. Evans served as Chief Operating Officer at Black Hills Power In...
CEO Compensation Analysis
Compensation vs Market: Linn's total compensation ($USD3.64M) is about average for companies of similar size in the US market ($USD5.14M).
Compensation vs Earnings: Linn's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.83yrs | US$3.64m | 0.19% $ 7.8m | |
| Senior VP & CFO | 5.83yrs | US$1.55m | 0.072% $ 2.9m | |
| Senior VP & Chief Information Officer | 12.33yrs | US$1.66m | 0.064% $ 2.6m | |
| Senior VP | 4.58yrs | US$1.20m | 0.046% $ 1.9m | |
| Director of Investor Relations | no data | no data | no data | |
| Senior VP & Chief HR Officer | 3.75yrs | no data | 0.020% $ 823.6k | |
| Chief Risk Officer & VP | 17.33yrs | no data | no data | |
| Senior Vice President of Utility Operations | 1.25yrs | no data | 0.037% $ 1.5m | |
| Senior Vice President of Growth & Strategy | 1.25yrs | no data | 0.010% $ 422.3k | |
| VP & Corporate Controller | 5.83yrs | no data | no data | |
| VP & Treasurer | 5.83yrs | no data | no data | |
| VP of Governance | no data | no data | no data |
5.2yrs
Average Tenure
57yo
Average Age
Experienced Management: BKH's management team is seasoned and experienced (5.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.83yrs | US$3.64m | 0.19% $ 7.8m | |
| Independent Chairman | 0.58yr | US$221.67k | 0.029% $ 1.2m | |
| Independent Director | 5.17yrs | US$205.00k | 0.0064% $ 259.5k | |
| Independent Director | 15.83yrs | US$210.83k | 0.018% $ 713.0k | |
| Independent Director | 0.083yr | no data | 0.00019% $ 7.7k | |
| Independent Director | 1yr | US$30.83k | 0.010% $ 416.6k | |
| Independent Director | 8.5yrs | US$210.00k | 0.025% $ 1.0m | |
| Independent Director | 0.083yr | no data | 0.00019% $ 7.7k | |
| Independent Director | 4.17yrs | US$192.50k | 0.0036% $ 145.8k | |
| Independent Director | 9.5yrs | US$207.50k | 0.0075% $ 305.3k | |
| Independent Director | 1yr | US$30.83k | 0.0044% $ 178.6k | |
| Independent Director | 3.83yrs | US$195.00k | 0.0044% $ 177.3k |
2.9yrs
Average Tenure
60yo
Average Age
Experienced Board: BKH's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: BKH insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.1%.
Top Shareholders
Company Information
Black Hills Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Black Hills Corporation
- Ticker: BKH
- Exchange: NYSE
- Founded: 1941
- Industry: Multi-Utilities
- Sector: Utilities
- Market Cap: US$4.049b
- Shares outstanding: 62.75m
- Website: https://www.blackhillscorp.com
Number of Employees
Location
- Black Hills Corporation
- 7001 Mount Rushmore Road
- Rapid City
- South Dakota
- 57702
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BKH | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1969 |
| BHI | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1969 |
Biography
Black Hills Corporation, through its subsidiaries, operates as an electric and natural gas utility company in the United States. It operates through Electric Utilities, Gas Utilities, Power Generation, and...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/11/27 01:13 |
| End of Day Share Price | 2020/11/25 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.