Warrior Met Coal (NYSE:HCC) Stock Falls 5.2% - Here's What Happened

Key Points

• Warrior Met Coal shares fell 5.2% to about $85.31 in midday trading, with volume running 55% below the average session level.
• Analyst sentiment remains generally positive: the stock has a “Moderate Buy” consensus rating and an average price target of $104.50, despite recent rating changes between Buy and Hold.
• The company recently beat quarterly expectations, reporting $1.65 in EPS versus the $1.40 consensus and 71.3% year-over-year revenue growth. However, insiders sold 104,800 shares worth about $11.25 million over the past 90 days.

Shares of Warrior Met Coal (NYSE:HCC - Get Free Report) traded down 5.2% during trading on Monday. The stock traded as low as $84.76 and last traded at $85.3080. 365,773 shares changed hands during mid-day trading, a decline of 55% from the average session volume of 806,677 shares. The stock had previously closed at $89.94.

Analyst Ratings Changes

Several research firms recently issued reports on HCC. Royal Bank Of Canada increased their price target on shares of Warrior Met Coal from $90.00 to $110.00 and gave the stock a "sector perform" rating in a report on Wednesday, September 16th. Zacks Research cut Warrior Met Coal from a "strong-buy" rating to a "hold" rating in a report on Friday, August 7th. Weiss Ratings raised Warrior Met Coal from a "hold (c)" rating to a "hold (c+)" rating in a report on Tuesday, August 11th. UBS Group raised their price target on Warrior Met Coal from $98.00 to $102.00 and gave the company a "buy" rating in a research report on Thursday, October 8th. Finally, Wall Street Zen raised Warrior Met Coal from a "buy" rating to a "strong-buy" rating in a research note on Saturday, October 10th. Four research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Warrior Met Coal currently has an average rating of "Moderate Buy" and an average target price of $104.50.

Warrior Met Coal Stock Down 5.1%

The company has a debt-to-equity ratio of 0.10, a current ratio of 3.93 and a quick ratio of 2.79. The stock has a market cap of $4.51 billion, a price-to-earnings ratio of 20.53 and a beta of 0.72. The firm's 50-day moving average is $96.83 and its 200 day moving average is $90.94.

Warrior Met Coal (NYSE:HCC - Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $1.65 earnings per share for the quarter, beating analysts' consensus estimates of $1.40 by $0.25. The company had revenue of $509.69 million for the quarter, compared to analyst estimates of $488.46 million. Warrior Met Coal had a net margin of 13.05% and a return on equity of 10.02%. Warrior Met Coal's revenue for the quarter was up 71.3% on a year-over-year basis. During the same quarter last year, the business earned $0.11 EPS. Sell-side analysts anticipate that Warrior Met Coal will post 6.71 earnings per share for the current fiscal year.

Warrior Met Coal Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, August 17th. Investors of record on Monday, August 10th were issued a dividend of $0.08 per share. The ex-dividend date was Monday, August 10th. This represents a $0.32 annualized dividend and a dividend yield of 0.4%. Warrior Met Coal's payout ratio is presently 7.69%.

Insiders Place Their Bets

In other Warrior Met Coal news, CEO Walter Scheller sold 50,000 shares of the business's stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $110.00, for a total transaction of $5,500,000.00. Following the transaction, the chief executive officer owned 267,793 shares in the company, valued at $29,457,230. The trade was a 15.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Stephen D. Williams sold 4,800 shares of the business's stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $104.23, for a total value of $500,304.00. Following the transaction, the director owned 30,303 shares in the company, valued at approximately $3,158,481.69. This represents a 13.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 104,800 shares of company stock valued at $11,250,304. 2.10% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Warrior Met Coal

Hedge funds have recently modified their holdings of the stock. SummerHaven Investment Management LLC purchased a new position in shares of Warrior Met Coal during the 3rd quarter valued at approximately $976,000. Systrade AG bought a new stake in shares of Warrior Met Coal in the third quarter worth $1,747,000. O Keefe Stevens Advisory Inc. increased its stake in shares of Warrior Met Coal by 1.0% in the third quarter. O Keefe Stevens Advisory Inc. now owns 293,482 shares of the company's stock worth $25,847,000 after buying an additional 2,913 shares during the last quarter. Hardin Capital Partners LLC raised its holdings in Warrior Met Coal by 11.6% in the third quarter. Hardin Capital Partners LLC now owns 2,893 shares of the company's stock valued at $255,000 after acquiring an additional 300 shares in the last quarter. Finally, GAMMA Investing LLC raised its holdings in Warrior Met Coal by 9.2% in the third quarter. GAMMA Investing LLC now owns 2,795 shares of the company's stock valued at $246,000 after acquiring an additional 235 shares in the last quarter. 92.28% of the stock is currently owned by hedge funds and other institutional investors.

About Warrior Met Coal

Warrior Met Coal, Inc NYSE: HCC is a U.S.-based producer and exporter of metallurgical coal, also known as coking coal. Its products are used primarily by global steelmakers in blast-furnace steel production, where metallurgical coal is converted into coke to support the conversion of iron ore into steel.

The company operates underground coal mines and related processing and transportation facilities in the Brookwood coal mine area of central Alabama. Warrior Met Coal's product portfolio is focused on premium high-volatility metallurgical coal, which it sells to customers in domestic and international steel markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.