Chris LaFemina, an analyst from Jefferies, maintained the Buy rating on Ramaco Resources (METC – Research Report). The associated price target was lowered to $11.00.
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Chris LaFemina has given his Buy rating due to a combination of factors including Ramaco Resources’ recent operational performance and future potential. The company reported an adjusted EBITDA of $9.8 million, surpassing market expectations, largely due to better-than-anticipated sales volumes and cost management. Despite a weaker outlook for the second quarter, the expectation of higher metallurgical coal prices in the future supports a positive view.
Furthermore, Ramaco’s strategic positioning to benefit from high-quality production and potential market recovery adds to the optimistic outlook. The company is also planning to access additional coal reserves over the medium term, which could enhance its financial performance. Although current market conditions are challenging, the anticipated improvement in coal prices is expected to provide a favorable environment for Ramaco’s growth, justifying the Buy rating.
In another report released today, Benchmark Co. also maintained a Buy rating on the stock with a $14.00 price target.
METC’s price has also changed moderately for the past six months – from $11.830 to $9.000, which is a -23.92% drop .