JPMorgan analyst Christopher Turnure downgraded Black Hills to Neutral and lowered his price target for the shares to $52 from $56. The analyst feels the stock is now fairly valued given the reset of management earnings expectations late last year as well as the earnings and balance sheet pressure from tax reform. Turnure thinks it will take the company time to execute on the new rate case plan and provide more earnings visibility beyond 2018.

Scotiabank analyst Andrew Weisel lowered the firm's price target on Black Hills to $54 from $58 and keeps a Sector Perform rating on the shares. Interest rates remain stubbornly high, which has weighed on the sector's valuation, the analyst tells investors. The firm views both Canadian and North American utility stocks as undervalued but sees upside for Canadian utility stocks following their steady underperformance compared to its U.S. peers. Fundamentally, Scotiabank remains bullish on the group's long-term earnings outlook given the tailwinds driving its strong rate base growth.