Black Hills Q3 adjusted EPS rises on new rates and rider recovery
Overview
US utility operator's Q3 revenue rose yr/yr, adjusted EPS increased to $0.57
Company reaffirmed 2026 adjusted EPS guidance range of $4.25 to $4.45
Black Hills awaits final regulatory approval to close merger with NorthWestern Energy
Outlook
Black Hills reaffirms 2026 adjusted EPS guidance of $4.25 to $4.45, excluding merger costs
Company expects earnings from Google data center agreements to begin in mid-2027
Black Hills anticipates delivering in upper half of 4%-6% long-term EPS growth target for 2026-2030
Result Drivers
NEW RATES AND RIDER RECOVERY - Co said higher Q3 adjusted EPS was driven by new rates and rider recovery, particularly from South Dakota Electric and Wyoming Electric projects
FAVORABLE WEATHER - Co said weather conditions contributed $0.06 per share to Q3 adjusted EPS
HIGHER OPERATING EXPENSES - Co noted that increased operating, financing, and depreciation costs from capital investment and new assets partially offset earnings gains
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 EPS | $0.54 |
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the multiline utilities peer group is "buy."
Wall Street's median 12-month price target for Black Hills Corp is $89.00, about 5.7% above its November 4 closing price of $84.19
The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 16 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)