Arch Coal Inc (ACI): Today's Featured Metals & Mining Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Arch Coal ( ACI) pushed the Metals & Mining industry higher today making it today's featured metals & mining winner. The industry as a whole closed the day up 0.1%. By the end of trading, Arch Coal rose $0.14 (2.8%) to $5.22 on light volume. Throughout the day, 8,018,134 shares of Arch Coal exchanged hands as compared to its average daily volume of 12,026,300 shares. The stock ranged in a price between $5.04-$5.25 after having opened the day at $5.09 as compared to the previous trading day's close of $5.08. Other companies within the Metals & Mining industry that increased today were: Tasman Metals ( TAS), up 29.0%, USEC ( USU), up 25.7%, James River Coal Company ( JRCC), up 18.4% and Uranium Resources ( URRE), up 10.9%.
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Arch Coal, Inc. engages in the production and sale of steam and metallurgical coal from surface and underground mines located in the United States. Arch Coal has a market cap of $1.0 billion and is part of the basic materials sector. Shares are down 30.6% year to date as of the close of trading on Friday. Currently there are 7 analysts that rate Arch Coal a buy, 2 analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Arch Coal as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, poor profit margins, weak operating cash flow and generally high debt management risk.

On the negative front, North American Palladium ( PAL), down 14.7%, Minco Gold Corporation ( MGH), down 12.9%, Kimber Resources ( KBX), down 7.7% and Jaguar Mining ( JAG), down 7.6% , were all laggards within the metals & mining industry with Eldorado Gold ( EGO) being today's metals & mining industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

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