Analyst Upgrades

• Alcatel-Lucent (ALU) to buy from neutral at Goldman.
• Nvidia (NVDA) to outperform from market perform at JMP Securities.
• Verizon (VZ), AT&T (T), Leap Wireless (LEAP) and MetroPCS (PCS) to outperform from neutral at RW Baird.
• Illumina (ILMN) to buy from hold at Auriga.
• Sun Bancorp (SNBC) to neutral from sell at Janney Capital.
• American Tower (AMT), SBA Communications (SBAC) and Freeport McMoRan (FCX) to overweight from equal weight at Morgan Stanley.

Continue reading Analyst Calls: ALU, BTU, FCX, LEAP, MAR, NTRS, NVDA, PCS, T, VZ ...

Analyst Calls: ALU, BTU, FCX, LEAP, MAR, NTRS, NVDA, PCS, T, VZ ... originally appeared on BloggingStocks on Mon, 28 Mar 2011 12:00:00 EST. Please see our terms for use of feeds.

"Caterpillar's announcement that it would acquire Bucyrus underlines the growth potential in global coal markets; short-term fluctuations aside, demand for met coal will continue to rise," says energy sector specialist Elliott Gue.

The editor of The Energy Strategist explains, "I believe that coal-related stocks -- such as Peabody Energy (BTU) -- are a buy for this holiday season.

"Peabody Energy delivered a solid third quarter, beating consensus forecasts for both earnings and revenue.

Continue reading Peabody (BTU): Fired Up by Coal

Peabody (BTU): Fired Up by Coal originally appeared on BloggingStocks on Tue, 21 Dec 2010 10:20:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Yingli Green (YGE) to outperform from market perform at Wells Fargo.
• National Semiconductor (NSM) to outperform from market perform at FBR Capital.
• DuPont (DD) to buy from hold at Citigroup.
• Blackboard (BBBB) to overweight from neutral at JPMorgan.
• Kindred Healthcare (KND) to buy from hold at Jefferies.
• Peabody Energy (BTU) to outperform from market perform at BMO Capital.
• Savvis (SVVS) to buy from neutral and InterActiveCorp (IACI) to neutral from underperform at BofA/Merrill.

Continue reading Analyst Calls: BRCM, BTU, DD, EBAY, KR, MRVL, NSM, PCX, SVVS, TWX ...

Analyst Calls: BRCM, BTU, DD, EBAY, KR, MRVL, NSM, PCX, SVVS, TWX ... originally appeared on BloggingStocks on Fri, 03 Dec 2010 10:40:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• RBC Capital upgraded Syniverse (SVR) to outperform from sector perform based on strong secular growth in mobile data and roaming. The firm raised its price target to $28 from $23.
• Deutsche Bank upgraded PG&E (PCG) to buy from hold with a $49 price target due to valuation.
• Jefferies assumed coverage on Sierra Wireless (SWIR) with a buy from a hold and raised its price target to $12 from $9. The analyst expects the M2M market to experience 25% growth over the next two years.
• Affiliated Managers (AMG) was upgraded to buy from neutral at Goldman.
• EastGroup Properties (EGP) was upgraded to buy from neutral at UBS.
• Gammon Gold (GRS) was upgraded to neutral from underperform at Credit Suisse.

Continue reading Analyst Calls: AAPL, BLK, BTU, CL, MOT, MSFT, PCG, RIMM, SVR, SWIR ...

Analyst Calls: AAPL, BLK, BTU, CL, MOT, MSFT, PCG, RIMM, SVR, SWIR ... originally appeared on BloggingStocks on Tue, 05 Oct 2010 12:00:00 EST. Please see our terms for use of feeds.

The energy and commodities sectors now appears to be heating up; and one booming market is coal," says Mark Skousen, who adds, "In light of this, our latest featured recommendation is Peabody Energy (BTU)."

The editor of The Hedge Fund Trader Alert explains, "Coal demand is rising both domestically and globally, especially among the BRIC emerging markets.

Continue reading Peabody Energy (BTU): Coal Sector Heats Up

Peabody Energy (BTU): Coal Sector Heats Up originally appeared on BloggingStocks on Fri, 13 Aug 2010 10:30:00 EST. Please see our terms for use of feeds.

If you've been watching the market at all during the past month, you probably know that "volatility" is the prevailing theme. With uncertainty on the rise among investors, one option strategist on Thursday initiated a directionally neutral bullish volatility spread on coal concern Peabody Energy (BTU).

Specifically, the trader bought to open a block of 5,000 July 41 calls, and simultaneously bought to open an equivalent number of July 38 puts. BTU was trading just shy of $40 at the time these transactions occurred, placing both options out of the money. In other words, this appears to be the initiation of a long strangle on the stock.

Continue reading Betting on Volatility with a Peabody Energy Strangle

Betting on Volatility with a Peabody Energy Strangle originally appeared on BloggingStocks on Fri, 11 Jun 2010 13:00:00 EST. Please see our terms for use of feeds.

Continue reading Before the Bell: Futures Lower Ahead of Fed Minutes

Before the Bell: Futures Lower Ahead of Fed Minutes originally appeared on BloggingStocks on Tue, 06 Apr 2010 08:18:00 EST. Please see our terms for use of feeds.

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)

Top Picks for 2010: Peabody Energy (BTU) originally appeared on BloggingStocks on Sun, 10 Jan 2010 13:00:00 EST. Please see our terms for use of feeds.

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

Peabody (BTU): Energy expert looks to coal originally appeared on BloggingStocks on Mon, 09 Nov 2009 13:40:00 EST. Please see our terms for use of feeds.

Peabody Energy (NYSE: BTU) a coal company, closed at $35.68. BTU is expected to report Q2 EPS in late July. BTU June option implied volatility is at 62, July is at 61; below its 26-week average of 74, according to Track Data, suggesting decreasing price movement.

Massey Energy (NYSE: MEE) closed at $24.70. MEE June option implied volatility is at 84; July is at 78; below its 26-week average of 91; according to Track Data, suggesting decreasing price fluctuations.

Arch Coal (NYSE: ACI) closed at $18.82. ACI June and July option implied volatility of 68 is below its 26-week average of 83 according to Track Data, suggesting decreasing price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Options Update: Coal companies' volatility low on higher energy prices originally appeared on BloggingStocks on Wed, 10 Jun 2009 08:40:00 EST. Please see our terms for use of feeds.

Alcoa Inc. (NYSE: AA) started off the new earnings season with disappointing results that helped to stifle the recent rally. Was that enough of a sign of what's to come? No, probably not. But the earnings reports start to fly in earnest this week, which should provide a more detailed picture of the state of things.

Analysts surveyed by Thomson Reuters anticipate that some of the biggest names will prove to be holding their own. Google Inc. (NASDAQ: GOOG) is expected to post a profit of $4.91 per share, marginally higher than a year ago, and Johnson & Johnson's (NYSE: JNJ) expected $1.22 per share profit is slightly lower year over year. Even Mattel Inc.'s (NYSE: MAT) estimated loss of $0.13 per share is the same as in the year-ago period.

Continue reading The week in preview: The new earnings season ramps up

The week in preview: The new earnings season ramps up originally appeared on BloggingStocks on Sun, 12 Apr 2009 12:30:00 EST. Please see our terms for use of feeds.

"Peabody Energy (NYSE: BTU), the largest private market coal firm in the world, had a great 2008," says Jack Adamo who has recently added the stock to the buy list of Insiders Plus.

"Peabody has extensive holdings in the U.S. and Australia, the latter serving the China/Asia Pacific markets. It sells steam coal for heating and utility use, and coking coal for steel making.

"Peabody has had some decent iInsider buying in the last few months -- about 30,000 shares -- not enough to get too excited about, but encouraging. There were also 27,000 options exercised, most of it at very low prices, for which the holder took no profits.

"That's also a good sign, particularly since those exercises come with a tax bill, and shares weren't sold to pay it. It implies faith the stock will rise.

Continue reading Coal insiders eye Peabody (BTU)

Coal insiders eye Peabody (BTU) originally appeared on BloggingStocks on Fri, 20 Feb 2009 13:40:00 EST. Please see our terms for use of feeds.

Arch Coal (NYSE: ACI) closed at $18.50 Friday. ACI January and February option implied volatility of 87 is near its 26-week average according to Track Data, suggesting non-directional price movement.

Massey Energy (NYSE: MEE), a coal miner, closed at $16.19 Friday. MEE is scheduled to report Q4 EPS in the February option cycle. MEE February option implied volatility of 108 is near its 26-week average according to Track Data, suggesting non-directional price fluctuations.

Consol Energy (NYSE: CNX) closed at $32.15 Friday. CNX has two principle business units: coal and gas. CNX February option implied volatility of 90 is near its 26-week average according to Track Data, suggesting non-directional price movement.

Alpha Natural (NYSE: ANR), an Appalachian coal producer, closed at $18.38 Friday. ANR February option implied volatility of 107 is near its 26-week average according to Track Data, suggesting non-directional price movement.

Peabody Energy (NYSE: BTU), a coal company, closed at $25.06 Friday. BTU is expected to report Q4 EPS in late January. January and February option implied volatility of 97 is above its 26-week average of 89, according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Options Update: Coal producers volatility flat; shares at low end of range originally appeared on BloggingStocks on Mon, 05 Jan 2009 09:30:00 EST. Please see our terms for use of feeds.

Whether it's a recession or an economic boom, one thing doesn't change, the need for energy. And until technology leaps ahead, coal is the largest producer of fuel for the generation of electricity in the world. It's also the most abundant fossil fuel in the United States. Coal is obviously not recession immune as people tighten the reigns on their lives and cut back on electricity consumption, but the shear necessity of electricity makes the coal industry fairly resistant. An investment in an exchange traded fund (ETF) that is centered on the coal industry is a great way to hedge your bets by investing in a pool of successful companies in the coal field.

Market Vectors Coal ETF (NYSE: KOL) seeks to replicate the price and yield performance of the Stowe Coal index, which provides exposure to publicly traded companies worldwide that derive greater than 50% of their revenues from the coal industry. With KOL you'll own shares of some of the most noted coal companies in the world, including Arch Coal Inc. (NYSE: ACI), which specializes in steam and metallurgical coal; CONSOL Energy Inc. (NYSE: CNX), a large provider of fuel for electricity in the United States; Alpha Natural Resources Inc. (NYSE: ANR), another leader in steam and metallurgical coal; and Peabody Energy Corp. (NYSE: BTU), an exploration miner and coal producer worldwide, as well as several other highly rated coal companies across the globe.

Market Vector charges only a 0.65% fee, a fraction what a professional money manager would charge you to analyze research and pick coal mining stocks with this level of global reach. Recently KOL has gone through a typical correction for this commodity sector, but then suffered a greater hit as Asia saw a 20% decline in spot prices for thermal coal. The result? A better deal for those currently willing to dive into coal as an investment. KOL is up 14%, so maybe there's some light at the end of the mine.

Continue reading Commodity ETF investing: Own 42 coal mining companies with KOL

Commodity ETF investing: Own 42 coal mining companies with KOL originally appeared on BloggingStocks on Sat, 22 Nov 2008 13:10:00 EST. Please see our terms for use of feeds.

During July, the prices of oil exploration and coal stocks mentioned in my newsletter tumbled precipitously. For example, Arch Coal (NYSE: ACI) and Peabody Energy (NYSE: BTU) lost roughly a quarter of their value by the end of July and Ultra Petroleum (NYSE: UPL) and Southwestern Energy (NYSE: SWN) which had been up over 40% through June ended July up a relatively paltry 4% and 11% respectively.

I find this interesting because it violates one of the basic theories I have about what moves stock prices. This beat-and-raise theory says that if a company beats earnings estimates and raises its guidance, then the stock will rise. Otherwise it will fall. In the case of these four companies, each of them with the exception of Ultra which did not report, reported doubling or tripling of earnings and raised their guidance.

So why did their stocks fall? In the case of the oil and gas companies, it could be because of declining oil prices. Those peaked at $146 a barrel and recently traded at $127. But I am not aware of any diminution in the price of coal for which demand is strong due to Chinese and Indian infrastructure investment among other factors. Coal is used to make steel and to fire up power plants.

Continue reading Is the commodity bubble bursting?

Is the commodity bubble bursting? originally appeared on BloggingStocks on Sat, 02 Aug 2008 18:00:00 EST. Please see our terms for use of feeds.

"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

Breakout for BTU: Technician buys Peabody Energy originally appeared on BloggingStocks on Fri, 27 Jun 2008 13:30:00 EST. Please see our terms for use of feeds.

With crude oil prices soaring, shares in coal and fertilizer companies have also been climbing for the past year. Barron's offers a survey of the momentum plays, pointing out some opportunities and risks when investing in coal and fertilizer stocks.

Talking about risks, Barron's underlines the fact that it can be difficult for investors to put their hard earned money into a stock that is already trading near its highs. But as they say, the trend is up unless proven otherwise, and we might take this into account when picking our trades. For example, back in April, it looked like Mosaic Co. (NYSE: MOS) was facing technical weakness, but this did not last long and the company was able to rebound.

Now let's take a took at the coal sector. Data shows that the Dow Jones U.S. coal index gas gained more than 50% for the past year. While James River Coal Co. (NASDAQ: JRCC) has quadrupled this year, Peabody Energy Corp. (NYSE: BTU) has been seeing some weakness, and this might be a sign that the sector could face tough times ahead. The first concern tied to supply and demand appeared for Peabody when we began to notice that volume on rally days slipped, while volume on declining days has increased.

Continue reading Barron's offers a survey of momentum plays in hot sectors

Barron's offers a survey of momentum plays in hot sectors originally appeared on BloggingStocks on Tue, 17 Jun 2008 15:56:00 EST. Please see our terms for use of feeds.

"Oil prices have made the headlines recently," says Martin Hutchinson in The Money Map Reporter. "But the miracle fuel of the 19th Century is coal, the forgotten fossil fuel."

"Coal is located primarily in politically stable, friendly countries - most notably the U.S. market itself. Coal prices have zoomed northward during the past year. The current spot price is around $135 per metric ton, more than double the level of a year ago. Meanwhile, coal production is running way ahead of forecasts.

"In 2005, the World Coal Institute reported production of 4,970 million metric tons, up 78% over 25 years. The main reason for coal's growth is that 80% of China's power needs and 65% of India's come from coal-fired stations.

"Since both India and China are expected to quadruple their power consumption by 2030, most of that increase must come from coal-fired stations. What are the best buys in the sector?

Continue reading Coal: The 'real black gold'

Coal: The 'real black gold' originally appeared on BloggingStocks on Thu, 08 May 2008 13:28:00 EST. Please see our terms for use of feeds.

"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

Peabody (BTU): Energy expert lights up coal originally appeared on BloggingStocks on Wed, 09 Apr 2008 14:03:00 EST. Please see our terms for use of feeds.

MOST NOTEWORTHY:

• Goldman downgraded the coal sector to Cautious from Neutral, citing valuations and expectations for lower coal prices. The firm downgraded CONSOL Energy (NYSE: CNX) Peabody Energy (NYSE: BTU) to Neutral from Buy and Arch Coal (NYSE: ACI) to Sell from Neutral.
  
• Lehman downgraded independent refiners, including Alon USA Energy (NYSE: ALJ), to Negative from Neutral and continues to believe that 2H07 marked an inflection point for U.S. refiners, which are transitioning from a multiyear up-cycle into a new downtrend.
  
• Alexion Pharmaceuticals (NASDAQ: ALXN) was lowered to Market Perform from Outperform at Wachovia following the company's Q4 results, as they believe management's revenue guidance represents a best-case scenario.

• Lehman lowered Bayer (OTC: BAYRY) to Equal Weight from Overweight and Whole Foods (NASDAQ: WFMI) to Underweight from Equal Weight.

Analyst downgrades: Coal sector, independent refiners and ALXN originally appeared on BloggingStocks on Fri, 15 Feb 2008 10:52:00 EST. Please see our terms for use of feeds.