Black Hills Price To Earning vs. Return On Asset
| BKH Stock | USD 55.46 0.88 1.56% |
For Black Hills profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Black Hills to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Black Hills utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Black Hills's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Black Hills over time as well as its relative position and ranking within its peers.
Black |
Is Multi-Utilities space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Black Hills. If investors know Black will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Black Hills listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.082 | Dividend Share 2.525 | Earnings Share 4.05 | Revenue Per Share 31.628 | Quarterly Revenue Growth (0.21) |
The market value of Black Hills is measured differently than its book value, which is the value of Black that is recorded on the company's balance sheet. Investors also form their own opinion of Black Hills' value that differs from its market value or its book value, called intrinsic value, which is Black Hills' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Black Hills' market value can be influenced by many factors that don't directly affect Black Hills' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Black Hills' value and its price as these two are different measures arrived at by different means. Investors typically determine if Black Hills is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Black Hills' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Black Hills Return On Asset vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Black Hills's current stock value. Our valuation model uses many indicators to compare Black Hills value to that of its competitors to determine the firm's financial worth. Black Hills is rated fourth in price to earning category among its peers. It is rated second in return on asset category among its peers . The ratio of Price To Earning to Return On Asset for Black Hills is about 609.43 . The Black Hills' current Return On Assets is estimated to increase to 0.04. Comparative valuation analysis is a catch-all model that can be used if you cannot value Black Hills by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Black Hills' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Black Return On Asset vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Black Hills |
| = | 19.38 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Black Hills |
| = | 0.0318 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Black Return On Asset Comparison
Black Hills is currently under evaluation in return on asset category among its peers.
Black Hills Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Black Hills, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Black Hills will eventually generate negative long term returns. The profitability progress is the general direction of Black Hills' change in net profit over the period of time. It can combine multiple indicators of Black Hills, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -14.8 M | -15.5 M | |
| Operating Income | 479.9 M | 503.9 M | |
| Net Income | 262.2 M | 275.3 M | |
| Income Tax Expense | 25.6 M | 14.8 M | |
| Income Before Tax | 301.6 M | 316.7 M | |
| Total Other Income Expense Net | -178.3 M | -169.4 M | |
| Net Income Applicable To Common Shares | 297.2 M | 312 M | |
| Net Income From Continuing Ops | 268.7 M | 175.4 M | |
| Non Operating Income Net Other | 3 M | 4.3 M | |
| Interest Income | 6.3 M | 5.9 M | |
| Net Interest Income | -169.7 M | -178.2 M | |
| Change To Netincome | 31.4 M | 57.4 M | |
| Net Income Per Share | 3.91 | 4.11 | |
| Income Quality | 3.60 | 2.21 | |
| Net Income Per E B T | 0.87 | 0.53 |
Black Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Black Hills. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Black Hills position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Black Hills' important profitability drivers and their relationship over time.
Use Black Hills in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Black Hills position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Black Hills will appreciate offsetting losses from the drop in the long position's value.Black Hills Pair Trading
Black Hills Pair Trading Analysis
The ability to find closely correlated positions to Black Hills could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Black Hills when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Black Hills - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Black Hills to buy it.
The correlation of Black Hills is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Black Hills moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Black Hills moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Black Hills can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Black Hills position
In addition to having Black Hills in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Adviser Favorites Thematic Idea Now
Adviser Favorites
Financial advisors frequently recommend that individuals diversify their investment portfolios with a mix of different types of stocks. These can include blue-chip stocks, growth stocks, and dividend stocks. The Adviser Favorites theme has 17 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Adviser Favorites Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Black Stock
When determining whether Black Hills offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Black Hills' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Black Hills Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Black Hills Stock:Check out Trending Equities. For more detail on how to invest in Black Stock please use our How to Invest in Black Hills guide.You can also try the Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
To fully project Black Hills' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Black Hills at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Black Hills' income statement, its balance sheet, and the statement of cash flows.