Peabody Energy (NYSE:BTU) Trading Up 8.4% - Time to Buy?

Key Points

• Peabody Energy's stock experienced an 8.4% increase to close at $19.95, with over 4 million shares traded during the session, although this volume was 11% below its average.
• Equity analysts have varied opinions on the stock; UBS raised its target to $15.50 while B. Riley increased it to $24.00, reflecting a consensus average target price of $22.90.
• The company reported a quarterly loss of ($0.06) EPS, falling short of estimates, while revenue decreased by 14.6% year-over-year to $890.1 million.

Peabody Energy Corporation (NYSE:BTU - Get Free Report) shares traded up 8.4% during trading on Monday . The stock traded as high as $19.84 and last traded at $19.95. 4,154,512 shares traded hands during mid-day trading, a decline of 11% from the average session volume of 4,670,224 shares. The stock had previously closed at $18.41.

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. UBS Group raised their price target on Peabody Energy from $16.00 to $17.00 and gave the company a "neutral" rating in a report on Friday. Wall Street Zen cut Peabody Energy from a "hold" rating to a "sell" rating in a report on Saturday, August 2nd. Finally, B. Riley raised their price objective on Peabody Energy from $18.00 to $24.00 and gave the company a "buy" rating in a research note on Tuesday, September 9th. Four equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $23.20.

Peabody Energy Stock Performance

The stock has a 50 day simple moving average of $17.35 and a 200 day simple moving average of $14.75. The company has a market cap of $2.77 billion, a price-to-earnings ratio of 22.09 and a beta of 0.64. The company has a quick ratio of 1.64, a current ratio of 2.21 and a debt-to-equity ratio of 0.09.

Peabody Energy (NYSE:BTU - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The coal producer reported ($0.06) EPS for the quarter, missing the consensus estimate of ($0.04) by ($0.02). Peabody Energy had a return on equity of 4.41% and a net margin of 3.43%.The business had revenue of $890.10 million during the quarter, compared to analyst estimates of $944.27 million. During the same quarter last year, the firm posted $1.42 EPS. The company's revenue was down 14.6% compared to the same quarter last year. As a group, analysts predict that Peabody Energy Corporation will post 2.61 EPS for the current year.

Peabody Energy Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, September 3rd. Shareholders of record on Thursday, August 14th were paid a dividend of $0.075 per share. The ex-dividend date was Thursday, August 14th. This represents a $0.30 annualized dividend and a yield of 1.3%. Peabody Energy's dividend payout ratio is presently 29.13%.

Hedge Funds Weigh In On Peabody Energy

Several institutional investors have recently made changes to their positions in BTU. Smartleaf Asset Management LLC grew its holdings in shares of Peabody Energy by 104.3% during the second quarter. Smartleaf Asset Management LLC now owns 2,006 shares of the coal producer's stock valued at $25,000 after purchasing an additional 1,024 shares during the last quarter. Allworth Financial LP grew its holdings in shares of Peabody Energy by 315.0% during the first quarter. Allworth Financial LP now owns 2,125 shares of the coal producer's stock valued at $27,000 after purchasing an additional 1,613 shares during the last quarter. Nisa Investment Advisors LLC grew its holdings in shares of Peabody Energy by 57.7% during the second quarter. Nisa Investment Advisors LLC now owns 2,229 shares of the coal producer's stock valued at $30,000 after purchasing an additional 816 shares during the last quarter. Signaturefd LLC grew its holdings in shares of Peabody Energy by 48.5% during the second quarter. Signaturefd LLC now owns 2,353 shares of the coal producer's stock valued at $32,000 after purchasing an additional 768 shares during the last quarter. Finally, Elevation Point Wealth Partners LLC bought a new position in shares of Peabody Energy during the second quarter valued at approximately $34,000. 87.44% of the stock is owned by institutional investors.

Peabody Energy Company Profile

Peabody Energy Corporation engages in coal mining business in the United States, Japan, Taiwan, Australia, India, Brazil, Belgium, Chile, France, Indonesia, China, Vietnam, South Korea, Germany, and internationally. The company operates through Seaborne Thermal, Seaborne Metallurgical, Powder River Basin, Other U.S.