Alpha Metallurgical initiated with a Buy at Texas Capital

Texas Capital initiated coverage of Alpha Metallurgical (AMR) with a Buy rating and $183 price target The company is the largest metallurgical coal producer in the United States and has an expansive portfolio of coal assets in Central Appalachia that produce a variety of coal grades, the analyst tells investors in a research note. Metallurgical coal pricing has come under pressure in 2025, but believe current pricing of about $185/Mt is unstainable long-term, and the industry will need $240-$250/Mt to ensure adequate supply over the long-term, the firm adds. Texas Capital further notes that the key catalyst that could move the needle is the recently announced initiative in China to trim excess capacity in its steel sector.