Why Peabody Energy Stock Soared as Much as 26.5% This Week

why peabody energy stock soared as much as 26 5 this week

Sumary of Why Peabody Energy Stock Soared as Much as 26.5% This Week:

  • What happened Shares of globally diversified coal miner Peabody Energy (NYSE:BTU) rose in dramatic fashion this week.
  • So what The quick takeaway here is that coal prices are on the rise, and thus, investors are upbeat on Peabody Energy.
  • For example, Peabody has been struggling to support a heavily leveraged balance sheet, with a debt-to-equity ratio of roughly 1.7 times at the end of the first quarter.
  • Higher coal prices will make it easier for Peabody to manage its leverage, and that is very good news.
  • The broader energy sector is going through a major transition as the world looks to reduce the amount of carbon fuel it uses.
  • Indeed, for years electric utilities have been building natural gas-fired plants to replace older, dirtier coal plants.
  • And then there’s the massive build-out of solar and wind generation that has been taking place.
  • In fact, this was part of the reason why Peabody Energy went through a bankruptcy in 2016/2017. That big-picture trend hasn’t changed.

Want to know more click here go to source.

From -

Close
Generic selectors
Exact matches only
Search in title
Search in content

Site Language


By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close