- Anglo American is negotiating the sale of its Australian coal assets to Peabody Energy for $3.78 billion.
- Analysts suggest significant upside potential for Peabody Energy's stock with a target price of $22.75.
- Peabody Energy currently holds an "Outperform" status from brokerage firms.
Anglo American (AAUKF) is actively negotiating the sale of its Australian coal operations with Peabody Energy (BTU) for a substantial $3.78 billion. This transaction includes the Moranbah North coal mine, which recently encountered a minor underground ignition but thankfully suffered no damage. However, the future of this deal could be influenced by the implications of the fire incident, with Peabody cautiously evaluating its next steps.
Wall Street Analysts' Forecast for Peabody Energy
According to projections from four leading analysts, Peabody Energy Corp (BTU) is expected to reach an average price target of $22.75 over the next year, with optimistic estimates soaring to $27.00 and conservative forecasts skimming at $18.00. This average target indicates an impressive upside potential of 103.49% from the current trading price of $11.18. For more comprehensive analysis, visit the Peabody Energy Corp (BTU, Financial) Forecast page.
The consensus among four brokerage firms places Peabody Energy Corp's (BTU) average recommendation at 1.8, which aligns with an "Outperform" status. This rating is part of a scale where 1 represents a Strong Buy and 5 signifies Sell.
Understanding the GF Value Estimate
GuruFocus has calculated the one-year GF Value for Peabody Energy Corp (BTU) at $22.65, suggesting a robust upside of 102.59% from the current share price of $11.18. The GF Value is determined by analyzing the historical trading multiples of the stock, evaluating past business growth, and considering future business performance estimates. Further insights can be accessed on the Peabody Energy Corp (BTU, Financial) Summary page.
