energy stocks, coal stocks posts
FeedPosted Jan 10th 2010 1:00PM by Steven Halpern (RSS feed)
Filed under: India, China, Newsletters, Commodities, Oil, Stocks to Buy, Best Stocks for 2010
This post is part of a special report, Top Picks for 2010, the 27th annual survey in which TheStockAdvisors.com asks the nation's leading advisors for their single favorite stock for the new year. See all 80 stocks listed here.
"Peabody Energy (BTU), the world's largest coal producer, is my top pick for the coming year," says Hannah Choe.
The contributing analyst with Personal Finance explains, "Demand for coal, particularly from the Pacific Rim, China and India, is rebounding as the global economy recovers."
Continue reading Top Picks for 2010: Peabody Energy (BTU)
Posted Nov 9th 2009 1:40PM by Steven Halpern (RSS feed)
Filed under: India, China, Newsletters, Commodities, Oil, Stocks to Buy

"Peabody Energy (
BTU) remains a buy in our 'gushers portfolio'." says energy sector expert
Elliott Gue.
In his The Energy Strategist, he explains, "Strong demand for coal from India and China is a growth story that will play out in 2010."
Gue explains, "Peabody reported its third quarter results and share prices have reacted positively. The weakness in US coal markets remains a challenge, but Peabody has taken steps to shore up profitability in the US, cutting back planned production and locking in contracts for 2010 at fixed prices.
Continue reading Peabody (BTU): Energy expert looks to coal
Posted Sep 21st 2009 11:00AM by Steven Halpern (RSS feed)
Filed under: International Markets, China, Newsletters, ETF Investing, Commodities, Oil, Obama Picks
"Coal accounts for more than 70% of China's electricity," says Tony Sagami. In Uncommon Wisdom, he looks to an ETF poised to benefit from long-term rising coal demand.
The advisor explains, "China's coal consumption is growing, and it is building coal-powered power plants at a breakneck pace.
"Why? Because they are much cheaper to build and operate than any other power-producing option. China is power starved, and coal is the main resource used for generating electricity in the country.
Continue reading Fired up over coal ETF
Posted May 22nd 2009 3:00PM by Steven Halpern (RSS feed)
Filed under: Newsletters, Commodities, Oil, Agriculture, Stocks to Buy, Burlington Northern Santa Fe (BNI)

Is it time to ride the rails? In Gordon Pape's
The Internet Wealth Builder, analyst
Tom Slee reaffirms his buy rating on
Burlington Northern Santa Fe (NYSE:
BNI), his top pick in the sector.
"Burlington Northern is my preferred choice in the railroad industry. At first glance, Burlington Northern had a particularly bad first quarter.
"Profit was $0.86 a share, down sharply from $1.30 a share the year before. However, when unusual items such as an unfavourable coal rate decision are excluded, operating earnings amounted to a much more acceptable $1.13 a share, well above the 96c analysts were looking for.
Continue reading Burlington Northern (BNI): On the right track
Posted Jun 27th 2008 1:30PM by Steven Halpern (RSS feed)
Filed under: Newsletters, Technical Analysis, Commodities, Oil, Stocks to Buy
"Coal miner Peabody Energy Corp. (NYSE: BTU) looks hot," says Leo Fasciocco, who focuses on stocks that have broken out from technical basing patterns.
In his The Ticker Tape Digest, he explains, "The stock rose above its break points of $81.20, hitting a new high." He adds, "With net set to surge 70% this year, we see an upside target of $105 per share."
"Peabody, based in St. Louis, is a major producer of coal with annual revenues of $4.7 billion. BTU's coal fuels more than 10% of U.S. electricity generation and 2% worldwide.
"The company has mining operations in Appalachia, the Powder River Basin, and the U.S. Southwest and Midwest, as well as Australia and Venezuela. It also markets, brokers, and trades coal, and develops electricity-generation projects.
"Technically, BTU has broken out from a six-week flat base today with expanding volume. It is part of the strong coal group, which has been one of the strongest acting sectors of the market.
Continue reading Breakout for BTU: Technician buys Peabody Energy
Posted Jun 23rd 2008 11:35AM by Steven Halpern (RSS feed)
Filed under: Newsletters, Mutual Funds, Commodities, Oil, Stocks to Buy
"We're continuing to emphasize conventional energy, solar, shipping, agriculture, and commodities," says Harry Domash, who adds, "But one industry we've overlooked so far is coal."
In his Winning Investing, he explains, "This month, we're adding two coal industry picks. One, a short-term play to capture the action in hot coal mining stocks, and the other, a long-term dividend-paying investment."
"We've avoided coal primarily because environmentally speaking, coal is bad news. Coal is mostly used to generate electricity and to power steel plants. Crude oil prices are so high because supply can barely meet demand.
"Think about what would happen to oil prices if coal wasn't available. Due to increasing global demand, coal prices are moving up dramatically and it doesn't make sense for us to ignore that.
"For longer-term investors, we recommend Natural Resource Partners (NYSE: NRP), a master limited parternship. The MLP owns coal properties in the Appalachia, Illinois Basin, and the Western U.S. NRP leases its properties to mine operators.
Continue reading Double play on coal: For investors and speculators
Posted Jun 6th 2008 10:35AM by Steven Halpern (RSS feed)
Filed under: Newsletters, Commodities, Oil, Stocks to Buy
"Profits from coal may be even bigger than from gold, which is viewed as coal's more glamorous and higher profile rival," notes Nick Vardy.
The editor of The Global Bull Market Alert explains, "The Market Vectors Coal ETF (NYSE: KOL) enables you to buy a basket of 39 coal-related companies from 12 different countries." Here's his overwiew of the exchange-traded fund.
"Despite its status as the most 'environmentally incorrect' source of energy, coal provides 25% of the world's energy and generates about half of the electricity in every state in the United States, except California.
"Coal plays a key role in the production of steel, with approximately 70% of the global steel production depending on coal as a source of energy. And the price of coal has been soaring to record levels.
Continue reading Market Vectors Coal ETF (KOL): A 'basket' of coal
Posted May 1st 2008 1:25PM by Steven Halpern (RSS feed)
Filed under: Newsletters, Commodities, Oil, Stocks to Buy
"Arch Coal (NYSE: ACI) is fired up from its first quarter earnings; the results were well above analysts expectations," notes Joseph Hargett.
And with 13.5 million shares of the stock sold short, the analyst with Schaeffer's Research explains, "Shorts account for about 9.5% of the stock's float, which could result in a short squeeze." Here is his review.
"Net income nearly tripled to $81.1 million, or 56 cents per share. Revenue for the auarter rose to $699.4 million from $571.3 million. For the year, Arch Coal lifted its earnings estimate to a range of $2.40 to $2.80 per share, versus Wall Street's consensus view for $2.43 per share.
"Digging into the report, the company noted that profit margins were particularly wide in the Central Appalachia region, while higher prices for coal and cost controls also contributed to the results. Arch noted that the average sales price per ton rose 9.7% to $18.49 from $16.85, while the cash cost per ton rose less than 1% to $13.05 from $12.93.
Continue reading Arch Coal (ACI): All fired up
Posted Apr 22nd 2008 2:30PM by Steven Halpern (RSS feed)
Filed under: International Markets, China, Newsletters, Commodities, Oil, Stocks to Buy
"Green investing and clean energy may be the politically correct topic at cocktail parties, but coal is the economically correct vehicle for investors," says Ronald Rowland and Brandon Clay.
The editors of All Star Investor explain, "Coal has been an energy source for millennia -- and is still the number #1 source of energy for electric power plants in the world." And, they add, "One of the best places to invest in coal is Consol Energy (NYSE: CNX).
"Prehistoric Chinese are said to have used coal for heating. According to Roman historians, Britain burned coal in the first century. Throughout history, coal has been the primary source of heat in homes.
"Rapidly industrializing nations like China are still dependent upon coal for energy. Overall global consumption has not diminished either. Coal fuels 48% of electricity plant generators. And the trend is heading upward – probably for the next 30 years. Despite the deafening rhetoric, coal is not going away anytime soon. Investors should take notice.
Continue reading Consol Energy (CNX): Top play in coal
Posted Apr 9th 2008 2:03PM by Steven Halpern (RSS feed)
Filed under: Newsletters, Commodities, Oil, Stocks to Buy
"Despite its dirty image, coal accounts for more than half of US power generation," says Elliott Gue, editor of the industry leading The Energy Strategist.
The advisor explains, "Although crude oil consistently makes the headlines, few realize that US coal prices recently surged to a fresh high." Here, he reviews a new portfolio holding, Peabody Energy (NYSE: BTU).
"In addition to rising domestic demand, we are also seeing foreign demand. Indeed, coal accounts for about 50% of Germany's electricity production, 34% in the UK, 17% in Italy and a whopping 93% in Poland.
"Europe doesn't have enough coal production locally to satisfy demand. And now, the problem is that traditional sources of European coal imports aren't readily available.
Continue reading Peabody (BTU): Energy expert lights up coal
Posted Oct 21st 2007 9:10AM by Steven Halpern (RSS feed)
Filed under: International Markets, China, Newsletters, Commodities, Oil, Stocks to Buy
Jim Trippon, a leading expert on China, conducts his research from offices in both the U.S. and China. The editor of the China Stock Digest explains, "We recently issued a buy recommendation on Yanzhou Coal Mining (NYSE: YZC) and since then, the stock has been sizzling."
The advisor notes, "Industrial production in China continues to rise even faster than the increase in the nation's GDP. Yanzhou Coal is benefiting from a number of developing trends that give us confidence in higher valuations for this company. Unlike many other staple resources, coal prices are not strictly capped by the government, and prices are being squeezed upward by both supply and demand.
"Coal is by far the most important fuel for generating stations. Yanzhou Coal is an industry leader because of its proximity to the industrialized eastern region of China. In addition to being close to major industrial markets, the company operates a number of rail lines, giving it priority in its access to steel and power generation markets.
"Record high oil prices will continue to push the demand for coal. We believe Yanzhou Coal is uniquely positioned to continue to reward investors with stable growth and dividend returns.
"The company saw annual earnings per share growth of more than 100% over the past 12 months compared to the same period a year ago, justifying the estimated P/E ratio of 17. Yanzhou returned a dividend of 1.5% for the trailing 12-month period."
Each day, Steven Halpern's TheStockAdvisors.com features the latest investment commentary and favorite stocks of the nation's leading financial newsletter advisors.
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