Peabody Energy (BTU) Rises on Executive Order Boosting Coal Mining

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Apr 08, 2025
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Key Highlights:

  • Peabody Energy's (BTU, Financial) shares jump 7.6% following a potential policy boost from President Trump's executive order.
  • Analysts forecast a significant upside potential, with average price targets suggesting a possible increase of over 130%.
  • Consensus recommendation marks Peabody Energy as "Outperform" with a robust GF Value estimate projecting further growth.

Peabody Energy Corp (BTU) has witnessed a notable surge in its stock, rising by 7.6% prior to market opening. This spike comes in response to the announcement that President Trump is poised to sign a strategic executive order aimed at reviving the coal sector. The proposed order seeks to restore crucial mining rights on federal lands, promote the exportation of coal, and fortify the industry, aligning with Trump's broader energy policy initiatives, which include support for AI data centers.

Wall Street Analysts Forecast

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The analysts' perspective on Peabody Energy Corp (BTU, Financial) presents an optimistic outlook. From the data compiled from four analysts, the average price target sits at $23.75, with the highest projection reaching $27.00 and the lowest at $18.00. This reflects a potential upside of 130.36% from the current trading price of $10.31. For a more comprehensive analysis, visit the Peabody Energy Corp (BTU) Forecast page.

Market sentiment, as captured by four brokerage firms, positions Peabody Energy Corp (BTU, Financial) with an average recommendation of 1.8, indicating a status of "Outperform." On the recommendation scale, a score of 1 signifies a "Strong Buy" while a 5 symbolizes a "Sell,” making the current recommendation favorable for investors.

According to GuruFocus estimates, the anticipated GF Value for Peabody Energy Corp (BTU, Financial) in the coming year is projected at $22.65. This suggests a significant upside potential of 119.69% from the present price of $10.31. The GF Value, a proprietary GuruFocus metric, represents the fair value at which the stock should ideally trade. This calculation considers historical trading multiples, past business growth, and future business performance forecasts. For further details, refer to the Peabody Energy Corp (BTU) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.