Alpha Metallurgical Resources (NYSE:AMR) Releases Quarterly Earnings Results, Misses Estimates By $0.09 EPS

Key Points

• Alpha Metallurgical Resources reported a quarterly loss of $0.73 per share, missing analyst expectations by $0.09, while revenue of $562.25 million topped estimates and rose 6.7% year over year.
• Operating results improved sequentially: adjusted EBITDA increased to $29.4 million from $25.6 million, and shipments rose to 3.9 million tons from 3.5 million in the prior quarter.
• Management cited weak global steel demand and logistics uncertainty from a storm-damaged terminal stacker reclaimer, which could limit volume growth; for 2027, it expects shipments of 14.3 million–15.7 million tons.

Alpha Metallurgical Resources (NYSE:AMR - Get Free Report) released its earnings results on Friday. The energy company reported ($0.73) EPS for the quarter, missing analysts' consensus estimates of ($0.64) by ($0.09), FiscalAI reports. Alpha Metallurgical Resources had a negative return on equity of 2.99% and a negative net margin of 2.23%. The company had revenue of $562.25 million during the quarter, compared to analyst estimates of $558.84 million. During the same quarter last year, the business earned ($0.42) earnings per share. The firm's revenue for the quarter was up 6.7% on a year-over-year basis.

Here are the key takeaways from Alpha Metallurgical Resources' conference call:

• Third-quarter results improved sequentially: adjusted EBITDA rose to $29.4 million from $25.6 million in Q2, while shipments increased to 3.9 million tons from 3.5 million.
• DTA expects to replace its storm-damaged stacker reclaimer, a custom project estimated to take about two years. Alpha says alternative terminal capacity and insurance support should help limit disruption and significant capital outlays, but management acknowledged logistics could constrain additional volume growth.
• For 2027, Alpha expects to ship 14.3 million–15.7 million total tons and forecasts metallurgical coal costs of $104–$110 per ton. It has fixed-price domestic contracts for 3.5 million tons at an average $135.48 per ton, with remaining sales dependent on seaborne-market opportunities.
• Management said global steel demand remains weak, and several metallurgical coal benchmarks declined or were unchanged after quarter-end. The company also cited ongoing cost pressures, including diesel and other inputs, although it expects the rate of cost increases to moderate.

Alpha Metallurgical Resources Trading Up 2.7%

Shares of Alpha Metallurgical Resources stock traded up $3.91 on Friday, reaching $147.18. The company had a trading volume of 292,809 shares, compared to its average volume of 286,535. The firm's 50 day moving average price is $182.50 and its two-hundred day moving average price is $183.75. The company has a debt-to-equity ratio of 0.01, a quick ratio of 2.37 and a current ratio of 3.41. Alpha Metallurgical Resources has a 52-week low of $133.64 and a 52-week high of $253.82. The firm has a market cap of $1.87 billion, a PE ratio of -41.11 and a beta of 0.79.

Analyst Ratings Changes

AMR has been the subject of several research analyst reports. Jefferies Financial Group reaffirmed a "hold" rating and set a $160.00 target price on shares of Alpha Metallurgical Resources in a research note on Tuesday, July 21st. Weiss Ratings cut shares of Alpha Metallurgical Resources from a "sell (d)" rating to a "sell (e+)" rating in a research note on Tuesday, August 11th. Wall Street Zen lowered shares of Alpha Metallurgical Resources from a "hold" rating to a "sell" rating in a report on Saturday, August 8th. UBS Group upped their price objective on shares of Alpha Metallurgical Resources from $160.00 to $180.00 and gave the stock a "neutral" rating in a research report on Thursday, October 8th. Finally, Zacks Research raised shares of Alpha Metallurgical Resources from a "strong sell" rating to a "hold" rating in a report on Monday, October 19th. Six equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Alpha Metallurgical Resources currently has an average rating of "Reduce" and a consensus price target of $178.00.

Insider Transactions at Alpha Metallurgical Resources

In other news, Director Kenneth Courtis purchased 10,000 shares of the firm's stock in a transaction on Tuesday, September 8th. The shares were bought at an average cost of $225.83 per share, for a total transaction of $2,258,300.00. Following the completion of the purchase, the director directly owned 1,035,394 shares of the company's stock, valued at approximately $233,823,027.02. This trade represents a 0.98% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Insiders purchased a total of 35,000 shares of company stock valued at $7,388,400 over the last 90 days. 18.20% of the stock is owned by insiders.

About Alpha Metallurgical Resources

Alpha Metallurgical Resources, Inc is a mining company focused primarily on the production and sale of metallurgical coal. Its coal is used by steelmakers and coke producers in the manufacturing of steel, with additional sales of thermal coal for power generation. The company serves domestic and international customers through a network of mines and related operations.

Alpha operates principally in the Central Appalachian region, with mining assets in West Virginia and Virginia. Its activities include underground and surface mining, coal preparation, processing, and transportation.

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