Scotiabank raises Black Hills stock price target on data center growth
Scotiabank raised its price target on Black Hills Corp (BKH) to $95 from $84, citing data center growth opportunities. The company's stock trades at $84.63 with a $6.45B market cap. Black Hills reported Q3 2026 EPS of $0.57, beating estimates, and expects $150M net income from a Google contract by 2030. The company also plans additional data center opportunities beyond its current projects.
How this was made
The 30-second read
Why it matters
The upgrade may attract buying interest, especially from investors seeking exposure to utility‑backed data‑center capacity.
Market read
Analyst upgrade and contract news provide a fresh catalyst for BKH, likely prompting short‑term buying pressure.
What to watch
Potential regulatory or environmental hurdles for new data‑center builds could delay revenue.
Background
Scotiabank’s research note raises BKH’s target amid a strong earnings beat and a new Google contract, emphasizing data‑center growth opportunities.
Ticker impact
Scotiabank raised its price target on Black Hills Corp (BKH) to $95 and highlighted a new Google data‑center contract driving $150 M of net income by 2030.
likely upward pressure as the market prices in higher earnings outlook and the Google deal.
The price‑target increase and sizable contract are fresh, material facts that can move the stock in the near term.
Market effects
Strengthens the utility/data‑center niche and may lift peers with similar exposure.
Positive for U.S. utility and infrastructure stocks.
Highlights growing demand for data‑center power, relevant to global tech infrastructure investors.
Counterpoint
If the capital plan overruns, the earnings boost could be offset by higher costs.
Key entities
- companyBlack Hills Corp
U.S. utility with data‑center power assets.
- companyGoogle
Customer for a new data‑center power contract.
