NEW YORK (TheStreet) -- Alpha Natural Resources (ANR) shares are up 7.1% to $4.59 on Monday following a positive note by analysts at Morgan Stanley (MS) concerning met coal prices.
The firm believes that as thermal coal inventories diminish, prices will rise.
"The recent polar vortex and extreme cold has pulled forward a recovery in the thermal coal market. Inventories have been falling rapidly, and could dip below 100 mt for the first time since 1997," said analyst Evan Kurtz.
Must Read: Warren Buffett's 10 Favorite Growth Stocks
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
Fellow coal producers Peabody Energy (BTU) +2.2%, Walter Energy (WLT) +5.1% and Arch Coal (ACI) +5.1% all received bumps thanks to the note.
TheStreet Ratings team rates ALPHA NATURAL RESOURCES INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate ALPHA NATURAL RESOURCES INC (ANR) a SELL. This is driven by a number of negative factors, 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 poor profit margins, weak operating cash flow and generally disappointing historical performance in the stock itself."