Black Hills Corporation (BKH)vsEssential Utilities Inc (WTRG)
BKH
Black Hills Corporation
$74.31
-1.24%
UTILITIES · Cap: $5.65B
WTRG
Essential Utilities Inc
$39.49
-0.35%
UTILITIES · Cap: $11.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Essential Utilities Inc generates 7% more annual revenue ($2.47B vs $2.31B). WTRG leads profitability with a 24.9% profit margin vs 12.6%. BKH appears more attractively valued with a PEG of 2.73. WTRG earns a higher WallStSmart Score of 60/100 (C+).
BKH
Buy57
out of 100
Grade: C
WTRG
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+16.7%
Fair Value
$87.12
Current Price
$74.31
$12.81 discount
Margin of Safety
+47.6%
Fair Value
$71.49
Current Price
$39.49
$32.00 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 26.2%
Strong operational efficiency at 32.4%
Keeps 25 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
15.7% revenue growth
Areas to Watch
0.9% earnings growth
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Weak financial health signals
Expensive relative to growth rate
Earnings declined 30.0%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : BKH
The strongest argument for BKH centers on Price/Book, Operating Margin.
Bull Case : WTRG
The strongest argument for WTRG centers on Operating Margin, Profit Margin, P/E Ratio. Profitability is solid with margins at 24.9% and operating margin at 32.4%. Revenue growth of 15.7% demonstrates continued momentum.
Bear Case : BKH
The primary concerns for BKH are EPS Growth, PEG Ratio, Free Cash Flow.
Bear Case : WTRG
The primary concerns for WTRG are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
BKH profiles as a value stock while WTRG is a growth play — different risk/reward profiles.
WTRG carries more volatility with a beta of 0.77 — expect wider price swings.
WTRG is growing revenue faster at 15.7% — sustainability is the question.
BKH generates stronger free cash flow (-102M), providing more financial flexibility.
Bottom Line
WTRG scores higher overall (60/100 vs 57/100), backed by strong 24.9% margins and 15.7% revenue growth. 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.
Essential Utilities Inc
UTILITIES · UTILITIES - REGULATED WATER · USA
Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.
Visit Website →Compare with Other UTILITIES - REGULATED GAS Stocks
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