Cloud Peak Energy Announces Second Quarter 2015 Shipments; Updated Annual Adjusted EBITDA Guidance; and Schedule for Earnings Results
The coal miner has the financial flexibility to cope with low natural gas prices.
We expect coal, copper, and iron ore prices to remain below long-term averages as China continues to shift away from an investment-led economy.
Its position in the Powder River Basin gives the firm a narrow moat.
Looser credit conditions or fiscal stimulus may temporarily boost China's demand for coal, copper, and iron ore, but the bounce would be fleeting.
Starting from current valuations, stocks simply aren't capable of delivering double-digit annualized total returns, says Morningstar's Matt Coffina.
The Chinese fixed-asset problem plaguing iron ore and soon copper will not be solved by cutting interest rates.
Morningstar's Matt Coffina looks back on some recent missed opportunities and what he learned from them--also, a couple of stocks he's glad he avoided.
Chinese real estate, a big driver of demand for industrial commodities, is likely to weigh on the country's GDP growth in coming quarters.
We think Cloud Peak is the best way to play a rebound in PRB coal prices.