Based on the aggregated intelligence of 130,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Arch Coal (NYSE:ACI) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Arch Coal's business, and see what CAPS investors are saying about the stock right now.

Arch Coal facts


St. Louis, Missouri (1969)

Market Cap

$1.98 billion


Coal and Consumable Fuels

TTM Revenue

$2.98 billion


CEO Steven Leer (since 1992)

COO John W. Eaves (since 2002)

Return on Equity (average, last three years)


Dividend Yield



Peabody Energy (NYSE:BTU)

Massey Energy (NYSE:MEE)

Alpha Natural Resources (NYSE:ANR)

CAPS members bullish on ACI also bullish on:

Chesapeake Energy (NYSE:CHK)

Transocean (NYSE:RIG)

CAPS members bearish on ACI also bearish on:

General Motors (NYSE:GM)

Sources: Capital IQ (a division of Standard & Poor's), and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, 1,203 of the 1,250 members who have rated Arch -- or 96% -- believe the stock will outperform the S&P 500 going forward. These bulls include All-Star SuperPicks, who is ranked in the top 0.5% of our community, and FitzColinGerald.

Late last month, SuperPicks tapped Arch as a top opportunity: "Of the big coal plays, I like this one. It has been relatively conservative in the industry in recent years and pays a decent dividend. Today's levels appear quite cheap."

In a pitch from one week later, FitzColinGerald agrees with that bullish line of reasoning:

With the price of oil expected to rise once again in the next few years, coal will certainly be labeled as the most economical and practical alternative. Although adamant environmentalists need not apply, the coal mining industry has made vast gains with respect to environmental concerns. Arch Coal is definitely a leader in this field, as it seeks to mine coal for the purposes of electricity and steel production both domestically and internationally.

What do you think about Arch, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 130,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Chesapeake Energy is a Motley Fool Inside Value pick. The Fool's disclosure policy always gets a perfect score.