NorthWestern Energy upgraded at Wells Fargo as merger creates more diversified utility (NWE:NASDAQ)

Wells Fargo upgraded NorthWestern Energy to Overweight and raised its price target to $90 from $70. The utility is pursuing a merger with Black Hills, valued at $15.4 billion, expected to complete in late 2026 or early 2027. The deal aims to combine operations across eight states, serving 2.1 million customers.

Wells Fargo upgraded Northwestern Corp. (NASDAQ:NWE) to Overweight, raising its price target to $90. The stock is up 24% year-to-date. The upgrade follows a draft order reducing merger closing risk, expected to boost earnings per share by 8.5%. The merger is projected to improve shareholder economics, with higher EPS and dividends. Northwestern reported mixed Q2 2026 results, missing earnings estimates but beating revenue forecasts. Analysts remain bullish on the merger's benefits.

Black Hills Corp. (BKH) and NorthWestern Energy (NWE) announced the merged company will be named Bright Horizon Energy, trading as HZN on NYSE if approved. The merger awaits final Montana regulatory approval. Both companies' shares continue trading under current tickers during the process. The merger has received shareholder and other regulatory approvals.

BLACK HILLS CORP /SD/ (BKH) filed an SEC Form 8-K — Regulation FD Disclosure. Subject to Receipt of Satisfactory Final Regulatory Approval and Completion of Proposed Merger, Black Hills Corp. to be Renamed Bright Horizon Energy Corporation with Ticker Symbol “HZN” • The Montana Public Service Commission is expected to consider the merger prior to November

Black Hills Corp. (BKH) and NorthWestern Energy (NWE) plan to merge, with the new entity named Bright Horizon Energy and trading under 'HZN' on the NYSE, pending regulatory approval. The merger, expected by Nov. 12, 2026, requires final approval from the Montana Public Service Commission. Both companies have already received shareholder and other regulatory approvals.

Black Hills (BKH) shares rose 7.2% after announcing a deal with Alphabet's (GOOGL) Google to serve a data center in Wyoming. The agreement benefits both Black Hills and its merger partner, NorthWestern Energy Group (NWE).