NEW YORK (TheStreet) -- Arch Coal (ACI) ticked downward 0.53% to $4.66 at 9:53 a.m. on Tuesday after news that the U.S. Supreme Court refusal to restore a permit for a mountaintop mining project in West Virginia. The refusal halted the company's challenge to the Environmental Protection Agency's decision to block the permit.
The Supreme Court maintained a lower court ruling that the EPA could invalidate Clean Water Act permits issued years ago; Arch Coal's Mingo Logan wants to restore a permit from the Army Corps of Engineers in 2007.
The Clean Water Act "does not remotely grant EPA a retroactive trump card that trivializes the Corps' authority and destroys the regulated community's ability to rely on the permit," Logan said in court papers, according to Bloomberg.
President Barack Obama's administration has said the project would harm wildlife in the area due to the filling of seven miles of waterways.
TheStreet Ratings team rates ARCH COAL INC as a "sell" with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate ARCH COAL INC (ACI) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity, poor profit margins, weak operating cash flow, generally disappointing historical performance in the stock itself and unimpressive growth in net income."