Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, coal producer Peabody Energy (BTU) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Peabody's business and see what CAPS investors are saying about the stock right now.
Peabody facts
|
Headquarters (founded) |
St. Louis, Mo. (1883) |
|
Market Cap |
$6.4 billion |
|
Industry |
Coal and consumable fuels |
|
Trailing-12-Month Revenue |
$8.3 billion |
|
Management |
Chairman/CEO Gregory Boyce |
|
Return on Equity (average, past 3 years) |
17.6% |
|
Cash/Debt |
$489.2 million/$6.4 billion |
|
Dividend Yield |
1.5% |
|
Competitors |
Arch Coal (NYSE: ACI) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 2,104 members who have rated Peabody believe the stock will outperform the S&P 500 going forward.
Just yesterday, one of those Fools, All-Star nonzerosum, succinctly summed up the bull case for our community:
I think coal has bottomed because it trails [natural gas] prices which are off their lows. [Peabody] and [Joy Global (JOY)] are nicely undervalued even at today's low coal prices because they produce good earnings and cash flow. Imagine if coal regains price per kJ parity with [natural gas].
If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Peabody may not be your top choice.
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Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
