Arch Resources (NYSE:ARCH) will release its quarterly earnings report on Tuesday, 2024-11-05. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate Arch Resources to report an earnings per share (EPS) of $2.85.
The market awaits Arch Resources's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
Performance in Previous Earnings
The company's EPS missed by $0.84 in the last quarter, leading to a 0.98% increase in the share price on the following day.
Here's a look at Arch Resources's past performance and the resulting price change:
| Quarter | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 |
|---|---|---|---|---|
| EPS Estimate | 1.65 | 3.49 | 7.35 | 3.47 |
| EPS Actual | 0.81 | 2.98 | 6.07 | 3.91 |
| Price Change % | 1.0% | -1.0% | -4.0% | 1.0% |
Arch Resources Share Price Analysis
Shares of Arch Resources were trading at $144.0 as of November 01. Over the last 52-week period, shares are up 0.85%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analysts' Take on Arch Resources
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Arch Resources.
The consensus rating for Arch Resources is Buy, based on 1 analyst ratings. With an average one-year price target of $188.0, there's a potential 30.56% upside.
Comparing Ratings with Peers
In this comparison, we explore the analyst ratings and average 1-year price targets of CONSOL Energy, Peabody Energy and Alliance Res Partners, three prominent industry players, offering insights into their relative performance expectations and market positioning.
As per analysts' assessments, CONSOL Energy is favoring an Buy trajectory, with an average 1-year price target of $123.5, suggesting a potential 14.24% downside. Peabody Energy received a Buy consensus from analysts, with an average 1-year price target of $30.0, implying a potential 79.17% downside. The consensus among analysts is an Buy trajectory for Alliance Res Partners, with an average 1-year price target of $27.0, indicating a potential 81.25% downside. Comprehensive Peer Analysis Summary
In the peer analysis summary, key metrics for CONSOL Energy, Peabody Energy and Alliance Res Partners are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Arch Resources | Buy | -19.61% | $41.63M | 1.02% |
| CONSOL Energy | Buy | -25.54% | $366.50M | 4.11% |
| Peabody Energy | Buy | 4.41% | $238.10M | 2.78% |
| Alliance Res Partners | Buy | 3.41% | $137.98M | 4.52% |
Key Takeaway:
Arch Resources is positioned at the bottom for Revenue Growth among its peers. It ranks at the top for Gross Profit. In terms of Return on Equity, it is at the bottom compared to its peers.
All You Need to Know About Arch Resources
Arch Resources Inc is a producer of metallurgical and coking coal. The company sells its coal to power plants, steel mills, and industrial facilities. Its operating segment includes Metallurgical (MET) and Thermal. It generates maximum revenue from the Metallurgical (MET) segment. Geographically, it derives a majority of its revenue from Asia.
Arch Resources's Financial Performance
Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.
Negative Revenue Trend: Examining Arch Resources's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -19.61% in revenue growth, reflecting a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Energy sector.
Net Margin: Arch Resources's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 2.44%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Arch Resources's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 1.02%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): Arch Resources's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.61%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: Arch Resources's debt-to-equity ratio is below the industry average at 0.09, reflecting a lower dependency on debt financing and a more conservative financial approach.
To track all earnings releases for Arch Resources visit their earnings calendar on our site.
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