Benchmark Co. analyst Nathan Martin has maintained their bullish stance on CNR stock, giving a Buy rating yesterday.
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Nathan Martin has given his Buy rating due to a combination of factors that highlight Core Natural Resources’ strong financial performance and strategic positioning. The company reported a second-quarter adjusted EBITDA of $144 million, surpassing both the consensus and Benchmark Co.’s estimates, despite incurring significant idling costs at Leer South. This performance demonstrates CNR’s ability to manage costs effectively and maintain robust returns even in a challenging export market.
Furthermore, CNR has increased its synergy targets and capital returns, indicating a strong commitment to shareholder value. The company repurchased $82 million of shares and paid dividends, returning nearly $200 million to shareholders in the first half of the year, which is significantly above its free cash flow. Additionally, the company has updated its sales and cost guidance, reflecting rising domestic demand and favorable federal royalty rates. These strategic moves, along with potential future benefits from blending synergies as the export market recovers, underpin Martin’s positive outlook for CNR.
In another report released yesterday, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $85.00 price target.
Based on the recent corporate insider activity of 36 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of CNR in relation to earlier this year.