NEW YORK (TheStreet) -- Shares of Virginia-based coal company Alpha Natural Resources (ANR) are down 3.33% to $1.60 as natural gas prices fell to nearly a two-year low Monday, increasing competition with coal for electricity generation, the Wall Street Journal reports.
Natural gas for January delivery was down 33.1 cents, or 9.5%, at $3.133 a million British thermal units on the New York Mercantile Exchange. It was the biggest one-day percentage loss since February, and the lowest intraday price since January 2013. As of 1:56 p.m. in New York, it was down 8.26%.
Separately, Alpha Natural Resources' affiliated mining operations in West Virginia announced on Friday they will pay $350,000 for a settlement of three selenium discharge suits brought by four environmental organizations.
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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 some concerns, 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, weak operating cash flow, poor profit margins, generally disappointing historical performance in the stock itself and generally high debt management risk."