Flicka has a nasty fall after being spooked by a hunter's errant shot which results in a serious head wound and blindness. Ken's parents want to put Flicka down, but Ken desperately requests assistance from a famous veterinarian to restore his horse's sight.
Retired Sergeant O'Gara's horse is accidentally sold to a buyer of old cavalry horses to be sent to a glue factory. When O'Gara can't produce his bill of sale, he is forced to steal the animal to save its life.
Ken falls off his horse when Flicka is startled by a vicious white dog and the saddle cinch parts. Flicka then runs away chased by the dog. Rob thinks Ken is protecting Flicka and doesn't believe his story. When Rob refuses to look for the horse, Ken sneaks out of the house and searches the range for his horse.. A neighbor warns the McLaughlins about a killer dog, Rob realizes that it was the canine, not Flicka who has been disturbing his pregnant cattle and he and Gus take off after Ken before he can come to harm.
Two men seeking a bucking bronco for their carnival offer to buy Flicka, but Ken turns them down. When Flicka disappears from his corral Rob and Nell assume that he has escaped to the open range until they spot her in a show ring while on vacation.
Ken desperately wants to win a horse show because the top prize is a beautiful saddle with silver trimming. There is only one horse entered in the show who can compete with Flicka and Ken is accused of letting a animal escape so that his horse can win the show.
Rob McLaughlin agrees to look after the son of an old army colleague for the summer. The headstrong child won't listen to instruction, which results in his being trapped in an abandoned mine.and Ken along with him.
Gus is smitten with gold fever when Ken finds a gold nugget stuck in Flicka's hoof and spends all his time searching for the vein it came from. It couldn't come at worse time for the Goose Bar Ranch, because Rob signed a contract to deliver 150 saddle-broke horses, then breaks his leg before the order can be completed.
When no one believes his story about a ghostly rider racing on the ridge above his father's ranch, Ken decides to investigate and discovers the night rider is a young man trying to find the man who murdered his father years ago.
The Hunter family, heading for Oregon, is forced to stop at the Goose Bar Ranch when their wagon tips over and their horse runs away. Rob thinks that Sam Hunter is afraid to travel any further and sets about building his confidence.
Rob McLaughlin hires a experienced trainer to help him break a string of wild horses. The trainer's frequent use of his whip causes a powerful stallion to attack him. Ken insists he can train the stallion by using kindness and understanding and sets about to teach the more experienced man a lesson.
Flicka runs away from the ranch to join Rebel, Rob's magnificent half-wild stallion, who has been mistaken for an albino killer horse. Ken follows Rebel to a hidden valley in the hope that he will find Flicka.. Not only does he find Flicka, but a herd of about sixty mares the wild stallion lured from neighboring ranches.
Nell agrees to look after the Jepson's old dog when the rancher threatens to kill it. When the dog's previous owner, a precocious ten-year-old girl, starts spending more time with the McLaughlin's home than her own, family discord ensues.