Peabody Energy (NYSE:BTU) Stock Price Down 6.8% on Disappointing Earnings

Peabody Energy Corporation (NYSE:BTU) shares traded down 6.8% during mid-day trading on Tuesday following a dissappointing earnings announcement. The stock traded as low as $24.65 and last traded at $24.7060. 3,746,981 shares changed hands during mid-day trading, an increase of 12% from the average session volume of 3,336,683 shares. The stock had previously closed at $26.52.

The coal producer reported ($0.26) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.33). Peabody Energy had a negative net margin of 1.37% and a negative return on equity of 0.93%. During the same quarter in the previous year, the business posted $0.27 earnings per share. The business’s revenue for the quarter was up 3.9% on a year-over-year basis.

Peabody Energy Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 10th. Investors of record on Monday, February 23rd were paid a $0.075 dividend. This represents a $0.30 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date was Monday, February 23rd. Peabody Energy’s payout ratio is currently -66.67%.

Analysts Set New Price Targets

Several brokerages have commented on BTU. Wall Street Zen raised shares of Peabody Energy from a “sell” rating to a “hold” rating in a report on Friday, January 23rd. Weiss Ratings downgraded shares of Peabody Energy from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, February 20th. B. Riley Financial downgraded shares of Peabody Energy from a “buy” rating to a “neutral” rating and cut their price target for the company from $42.00 to $30.00 in a report on Thursday, April 30th. Zacks Research raised shares of Peabody Energy from a “strong sell” rating to a “hold” rating in a report on Monday, April 6th. Finally, UBS Group lifted their price objective on shares of Peabody Energy from $34.50 to $36.50 and gave the stock a “neutral” rating in a report on Friday, March 27th. Two investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Peabody Energy currently has an average rating of “Hold” and a consensus target price of $35.63.

Insider Activity

In related news, COO Darren Ronald Yeates sold 13,892 shares of the business’s stock in a transaction dated Tuesday, February 10th. The shares were sold at an average price of $36.40, for a total transaction of $505,668.80. Following the transaction, the chief operating officer owned 113,440 shares in the company, valued at $4,129,216. The trade was a 10.91% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.51% of the company’s stock.

Institutional Investors Weigh In On Peabody Energy

Several hedge funds have recently bought and sold shares of BTU. Massachusetts Financial Services Co. MA bought a new stake in Peabody Energy during the fourth quarter worth about $90,603,000. Sourcerock Group LLC bought a new position in shares of Peabody Energy in the second quarter worth approximately $28,092,000. State Street Corp lifted its stake in shares of Peabody Energy by 19.3% in the second quarter. State Street Corp now owns 9,208,031 shares of the coal producer’s stock worth $123,572,000 after buying an additional 1,487,531 shares in the last quarter. Phoenix Financial Ltd. bought a new position in shares of Peabody Energy in the fourth quarter worth approximately $38,125,000. Finally, Vanguard Group Inc. lifted its stake in shares of Peabody Energy by 8.5% in the fourth quarter. Vanguard Group Inc. now owns 15,135,096 shares of the coal producer’s stock worth $449,512,000 after buying an additional 1,191,438 shares in the last quarter. Institutional investors own 87.44% of the company’s stock.

Peabody Energy Trading Down 7.1%

The firm’s 50 day moving average price is $32.13 and its 200-day moving average price is $31.58. The stock has a market cap of $3.00 billion, a P/E ratio of -54.97 and a beta of 0.35. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.85 and a quick ratio of 1.40.

About Peabody Energy

Peabody Energy Corporation is one of the world’s largest private-sector coal companies, engaged primarily in the production and sale of metallurgical and thermal coal. The company’s operations span surface and underground mines, serving utilities, steel mills and other industrial customers that rely on coal as an essential component in power generation and steelmaking. Peabody’s product portfolio includes high-energy thermal coal for electricity generation and low-volatile metallurgical coal used in steel production, reflecting its diverse end-market reach.

Founded in 1883, Peabody Energy has grown from a regional mining concern into a global energy supplier.