Last December, over 100 stocks were featured in our Top Picks for 2007 report. Now, at mid-year, we turn to the 20 advisors whose picks showed the strongest gains to get an update on their previous picks, as well as a new favorite stock for the second half of the year.

Elliott Gue, editor of The Energy Strategist, chose Energy Metals Corporation (ASE: EMU) as his top pick for 2007. The stock has gained 100%; the company received a takeover bid from SXR Uranium One (OTC: SXRFF) on June 4, 2007.

For his new top pick, the advisor says, "One of my favorite sectors right now is coal. While coal isn't the most environmentally friendly of fuels, it accounts for more than 50% of all energy produced in the U.S. and has an even higher share in developing markets like China.

"I see little chance that coal will lose its pre-eminent status over the next decade. In addition, new uses for coal are emerging. In the U.S., the government is looking to promote the use of coal-derived liquid fuels with a series of subsidies and tax breaks; even the military is exploring the use of coal-derived fuels.

"My top play on the coal sector is Peabody Energy (NYSE: BTU), the largest coal miner in the U.S. The company is spinning off its high-cost mining operations in the eastern U.S. into a separate firm.

"Meanwhile, Peabody has the largest position in the prolific and rapidly growing coal-producing basin of the West, the Powder River Basin. Even better, the company recently acquired Australia's Excel Coal -- Excel is a major exporter of Australian coal to China. Chinese coal demand is growing rapidly, and Peabody is well placed to take advantage."

Top 20 advisors: Elliott Gue is fired up over coal originally appeared on BloggingStocks on Mon, 18 Jun 2007 10:30:00 EST. Please see our terms for use of feeds.