A Fresh Start for Alpha Natural (ANR) On Major Repositioning
Tweet Send to a FriendGet Alerts ANR Hot Sheet
Price: $6.75 -0.59%
Rating Summary:
9 Buy, 11 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Rating Summary:
9 Buy, 11 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Trade ANR Now!
Alpha Natural Resources (NYSE: ANR) is under pressure Wednesday after S&P placed the company's credit rating on watch for a downgrade. However, according to analysts at UBS, the company's major repositioning news bodes well and shares should be higher.
On Tuesday, the company announced a major repositioning in its strategy, cutting roughly 8mm tons of PRB, 6.4mm tons of eastern thermal, and 1.6mm tons of met coal by early 2013. The company is reducing its workforce by 1,2000 and management expects to realize $150 million in cost savings.
UBS said while the restructuring was not overly surprising, the depth of the cuts were.
The firm is lowering 2012, 2013, and 2014 LPS estimates to $(1.62), $(1.31) and $(1.35) from $(1.10), $(1.30), and $(1.25), respectively. Their price target was cut from $19 to $15, although the Buy rating was maintained.
For an analyst ratings summary and ratings history on Alpha Natural Resources click here. For more ratings news on Alpha Natural Resources click here.
Shares of Alpha Natural Resources closed at $7.88 yesterday, with a 52 week range of $5.28-$29.29.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
On Tuesday, the company announced a major repositioning in its strategy, cutting roughly 8mm tons of PRB, 6.4mm tons of eastern thermal, and 1.6mm tons of met coal by early 2013. The company is reducing its workforce by 1,2000 and management expects to realize $150 million in cost savings.
UBS said while the restructuring was not overly surprising, the depth of the cuts were.
The firm is lowering 2012, 2013, and 2014 LPS estimates to $(1.62), $(1.31) and $(1.35) from $(1.10), $(1.30), and $(1.25), respectively. Their price target was cut from $19 to $15, although the Buy rating was maintained.
For an analyst ratings summary and ratings history on Alpha Natural Resources click here. For more ratings news on Alpha Natural Resources click here.
Shares of Alpha Natural Resources closed at $7.88 yesterday, with a 52 week range of $5.28-$29.29.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Morgan Stanley Says Tesla (TSLA) 'Top Pick in U.S. Autos'
- Lazard Cuts PT on Aruba (ARUN) to $18; Cisco Pressure Lingers, But Fundamentals Solid
- Goldman Sachs Describes Cisco (CSCO) Q3 as 'Breakout Performance'
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst PT ChangeRelated Entities
UBS, Standard & Poor's
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
