This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

9 Coal Stocks With Upside

Stocks in this article: NRP ARLP PVR CNX WLT CLD JRCC

5. Walter Energy (WLT - Get Report), produces and exports metallurgical coal for the global steel industry and also produces steam coal, CBM gas (natural gas), metallurgical coke and other related products. Walter's operating business segments are: underground mining, surface mining, and Walter Coke.

Net income for the first quarter of 2011 almost doubled to $81.8 million or $1.53 per diluted share, compared to $41.6 million or 77 cents per diluted share in year-ago quarter. Revenue increased to $408.7 million from $312 million.

Early May this year, Walter announced the execution of mineral leases for approximately 75 million tons of recoverable Blue Creek coking coal reserves in Tuscaloosa County, Alabama, from a Chevron subsidiary. These reserves would pave the way for a strategic opportunity to assemble approximately 170 million tons of high-quality coking coal reserves for the development of a new underground, long-wall coking coalmine.

Capital expenditure for 2011 is forecast between $500 and $540 million, including expansion of Walter's Canadian operations. Full year 2011 metallurgical coal sales from its Alabama underground and surface operations are pegged to range from 7.5 to 8.0 million tons and 1.4 to 1.6 million tons, respectively.

Of the 17 analysts covering the stock, 82% recommend a buy and the remaining rate a hold. There are no sell ratings on the stock. Data from Bloomberg has analysts reporting an average 12-month price target of $157.67, which is 34.4% higher than the stock's current price.

6 of 10

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,228.65 +37.28 0.22%
S&P 500 1,995.76 -6.40 -0.32%
NASDAQ 4,619.6020 -18.3920 -0.40%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs