Set in the late 1950s and unfolding outside the quaint little town of Fort Dupree, South Dakota, the story centers around Holly Sargis, a 15-year-old girl portrayed by Sissy Spacek. Holly grapples with life at home alongside her sign painter father, Warren Oates, their bond strained ever since the untimely death of her mother from pneumonia years ago. In the midst of this turbulent backdrop, Holly meets Kit Carruthers, a troubled 25-year-old garbage collector resembling the iconic James Dean, brought to life by Martin Sheen. Captivated by his charm, Holly embarks on a journey that initially appears romantic but soon takes a dark and violent turn.
As Holly shares her experiences with Kit through a flow of romantic clichés, the audience is privy to Kit's increasingly reckless behavior, setting an ominous tone. Her father, whose disapproval of their liaison boils over into tragedy, callously shoots Holly's beloved dog, marking a palpable shift in their lives. In an impulsive act driven by rage and despair, Kit retaliates against Holly’s father, shooting him dead. This shocking climax propels Holly and Kit into a world where they must take drastic measures to escape the consequences of their actions, culminating in a staged suicide as they flee towards the wild expanses of Montana's badlands.
Once in the wilderness, they quickly construct a small tree house, relishing a brief period of idyllic life where they fish and scavenge for food—yet danger lurks just beneath the surface. The couple is soon hunted down by bounty hunters, and in a harrowing confrontation, Kit kills three of them, forcing them to flee once more. In their desperate bid for survival, they take refuge with Cato, a friend of Kit's, but the trust is shattered when Kit suspects deceit, leading to Cato's death as well as the murder of an unsuspecting teenage couple visiting him.
As an interstate APB sweeps across the Midwest, declaring Kit and Holly wanted, the duo continues their fugitive journey, brazenly raiding a wealthy man's mansion for clothes and supplies, yet they show a strange mercy by sparing the man and his housemaid. Amidst their chaotic escape, Holly's feelings begin to wane, and she grows increasingly detached from Kit. Reflecting on her diminishing affection, she narrates, “spelling out entire sentences on the off of my mouth,” capturing her growing discontent.
At an oil rig, the tension escalates dramatically as a police helicopter sweeps into view. In a tragic climax of violence, Kit kills a policeman, while Holly, disillusioned and weary, chooses to turn herself in. In a high-speed pursuit, her fate diverges from Kit's as he manages a precarious escape before ultimately surrendering himself—seeking to solidify his own mythical legacy by constructing a makeshift monument.
In captivity, Kit finds himself transformed into a kind of folk hero among soldiers and journalists, while he and Holly reunite under dire circumstances. In a chilling exchange, Kit tells her, “it's too bad about your dad. We're going to have to sit down and talk about that sometime.” The tale reaches its unsettling conclusion, with the two lovers board a military plane bound for trial—Kit, facing the inevitable consequences of his actions, is sentenced to death for his string of crimes, while Holly, being a minor, receives a more lenient sentence of probation, eventually leading to her marriage to the son of her defense lawyer, a haunting reminder of the twisted path their lives took together.
