Black Hills Corp: Watt’s the Q2’26 number for BKH?

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Black Hills Corp: Watt’s the Q2’26 number for BKH?

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Black Hills Corp

Watt’s the Q2’26 number for BKH?

Reiterate Rating: BUY | PO: 87.00 USD | Price: 73.28 USD

Q2’26E: $0.50, modest growth driven by new rates 10 July 2026

We estimate Black Hills (BKH) will report Q2’26 adjusted EPS of $0.50 vs a weather-and Equity

outage-normalized $0.46 in Q2’25. New rates in KS & NE, Ready Wyoming, and

favorable O&M against an outage-inflated comp (+$0.13 combined) are partially offset

Key Changesby depreciation, interest, and dilution (-$0.09 combined). We reiterate our Buy rating.

(US$) Previous Current

Price Obj. 78.00 87.00Merger on track for 2H’26 close; five rate cases

Regulatory risk to the BKH/NWE merger continues to decline: HSR cleared on April 20,

FERC approved June 1, NE and SD have approved, and a partial settlement is filed in Ross Fowler, CFA

Research Analyst

Montana with an MPSC decision expected Sept-Oct. Beyond the merger we track five BofAS

rate cases (AR Gas, KS Gas, SD Electric, WY Electric, and CO Electric). +1 646 855 1506 ross.fowler@bofa.com

Wyoming DC: at least 3.2 GW pipeline is not in plan F.ResearchPaul ColeAnalyst

Beyond Meta and the existing Microsoft campus, we count ~3.2 GW of announced BofAS paul.cole2@bofa.com

development in BKH’s territory within the next 5-6 years (Related Digital, Vantage, Nicolas Woods

Project Tembo/Google) that is not in guidance. Counting projects with a clearer path Research Analyst

(69% of pipeline MWs) and applying WY’s LPCS construction would produce $1.76 of BofAS+1 646 556 4179

discounted 2028 EPS, which at the group multiple would be worth ~$20/sh. nicolas.woods_barron@bofa.com

Rinny Singh

Research AnalystRaising PO to $87 from $78; reiterate Buy BofAS