WallStSmart

Black Hills Corporation (BKH)vsMDU Resources Group Inc (MDU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Black Hills Corporation generates 23% more annual revenue ($2.31B vs $1.88B). BKH leads profitability with a 12.6% profit margin vs 10.2%. BKH appears more attractively valued with a PEG of 2.73. MDU earns a higher WallStSmart Score of 61/100 (C+).

BKH

Buy

57

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 5.3Quality: 3.8
Piotroski: 4/9Altman Z: 0.92

MDU

Buy

61

out of 100

Grade: C+

Growth: 5.3Profit: 5.5Value: 3.3Quality: 3.3
Piotroski: 3/9Altman Z: 0.99
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BKHUndervalued (+16.7%)

Margin of Safety

+16.7%

Fair Value

$87.12

Current Price

$74.31

$12.81 discount

UndervaluedFair: $87.12Overvalued
MDUSignificantly Overvalued (-47.1%)

Margin of Safety

-47.1%

Fair Value

$13.95

Current Price

$22.53

$8.58 premium

UndervaluedFair: $13.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BKH2 strengths · Avg: 9.0/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
26.2%8/10

Strong operational efficiency at 26.2%

MDU3 strengths · Avg: 8.0/10
Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Operating MarginProfitability
20.2%8/10

Strong operational efficiency at 20.2%

EPS GrowthGrowth
39.4%8/10

Earnings expanding 39.4% YoY

Areas to Watch

BKH4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.9%4/10

0.9% earnings growth

PEG RatioValuation
2.732/10

Expensive relative to growth rate

Free Cash FlowQuality
$-101.50M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.922/10

Distress zone — elevated risk

MDU4 concerns · Avg: 2.5/10
Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.832/10

Expensive relative to growth rate

Revenue GrowthGrowth
-0.3%2/10

Revenue declined 0.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : BKH

The strongest argument for BKH centers on Price/Book, Operating Margin.

Bull Case : MDU

The strongest argument for MDU centers on Price/Book, Operating Margin, EPS Growth.

Bear Case : BKH

The primary concerns for BKH are EPS Growth, PEG Ratio, Free Cash Flow.

Bear Case : MDU

The primary concerns for MDU are Return on Equity, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

BKH profiles as a value stock while MDU is a declining play — different risk/reward profiles.

BKH carries more volatility with a beta of 0.71 — expect wider price swings.

BKH is growing revenue faster at 6.4% — sustainability is the question.

BKH generates stronger free cash flow (-102M), providing more financial flexibility.

Bottom Line

MDU scores higher overall (61/100 vs 57/100). BKH offers better value entry with a 16.7% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Black Hills Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

Black Hills Corporation is a natural gas and electric utility company in the United States. The company is headquartered in Rapid City, South Dakota.

MDU Resources Group Inc

UTILITIES · UTILITIES - REGULATED GAS · USA

MDU Resources Group, Inc. is involved in the regulated power supply and construction materials and services businesses in the United States. The company is headquartered in Bismarck, North Dakota.

Want to dig deeper into these stocks?