Peabody Energy Comm (BTU) AI Stock Analysis

• Market Cap: $2.19B
• Dividend Yield: 1.67%
• Average Volume (3M): 5.21M
• Price to Earnings (P/E): 17.6
• Beta (1Y): 1.24
• Revenue Growth: -5.83%
• EPS Growth: -73.88%
• Country: US
• Employees: 5,600
• Sector: Energy
• Sector Strength: 44
• Industry: Coal
• EPS (TTM): -0.22
• Shares Outstanding: 121,600,000
• 10 Day Avg. Volume: 5,584,095
• 30 Day Avg. Volume: 5,205,509
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.68
• Enterprise Value/Revenue: 0.36
• Enterprise Value/Gross Profit: 2.08
• Enterprise Value/Ebitda: 1.65
• 1Y Price Target: $18.75
• Price Target Upside: 4.34% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 80 Outperform
• Price Target: $20.00 ▲(11.30% Upside)

Peabody Energy's overall stock score reflects its strong financial stability, positive technical indicators, and optimistic earnings call guidance. While valuation is not particularly compelling, the company's strategic initiatives and recent corporate events provide a positive outlook. The most significant factors driving the score are the robust financial performance and positive sentiment from the earnings call.

Positive Factors

Earnings

Peabody's 1Q EBITDA of $144m beat analyst estimates and VA consensus, showcasing a strong operational performance.

Financial Performance

Non-segmental operating EBITDA increased from a net negative to a net positive, indicating improved financial performance.

Operational Outlook

Peabody's portfolio is set to improve following the ramp-up of the Centurion mine, which should translate to better profitability and free cash flow generation.

Negative Factors

Acquisition Uncertainty

The Anglo Coal deal poses uncertainty as Peabody believes the Material Adverse Change clause has been triggered, impacting the transaction.

Financing Challenges

Securing long-term financing remains challenging for Peabody due to a significant fall in the company's share price and weakened high yield debt markets.

Pricing Environment

The lackluster pricing environment remains a headwind for Peabody.

Peabody Energy Comm Business Overview & Revenue Model

Company Description

Peabody Energy Corporation engages in coal mining business in the United States, Japan, Taiwan, Australia, India, Indonesia, China, Vietnam, South Korea, and internationally. The company operates through Seaborne Thermal Mining, Seaborne Metallurgical Mining, Powder River Basin Mining, and Other U.S. Thermal Mining segments. It is involved in mining, preparation, and sale of thermal coal primarily to electric utilities; mining bituminous and sub-bituminous coal deposits; and mining metallurgical coal, such as hard coking coal, semi-hard coking coal, semi-soft coking coal, and pulverized coal injection coal. The company supplies coal primarily to electricity generators, industrial facilities, and steel manufacturers. As of December 31, 2021, it owned interests in 17 coal mining operations located in the United States and Australia; and had approximately 2.5 billion tons of proven and probable coal reserves and approximately 450,000 acres of surface property through ownership and lease agreements. The company also engages in direct and brokered trading of coal and freight-related contracts, as well as provides transportation-related services. Peabody Energy Corporation was founded in 1883 and is headquartered in St. Louis, Missouri.

How the Company Makes Money

Peabody Energy generates revenue primarily through the sale of coal products, with key revenue streams coming from thermal coal and metallurgical coal sales to utilities and industrial customers. The company’s revenue model is driven by long-term contracts and spot market sales, allowing it to capitalize on fluctuations in coal prices. Additionally, Peabody benefits from strategic partnerships and joint ventures in various regions, which enhance its market access and operational efficiencies. Factors contributing to its earnings include global energy demand, regulatory dynamics affecting coal usage, and the company's ability to manage production costs effectively.

Peabody Energy Comm Financial Statement Overview

Summary

Peabody Energy shows a stable financial position with strong balance sheet metrics and robust cash flow generation. Despite declining revenue and profit margins, efficient cost management has maintained healthy operational margins. Low leverage and a solid equity position provide financial flexibility and reduce risk.

Income Statement

Peabody Energy has shown a mixed performance in its income statement. The gross profit margin for the TTM is approximately 17.08%, indicating a reasonable level of profitability. The net profit margin for the TTM stands at 8.72%, which is stable but shows a decline compared to previous years due to reduced revenue and profitability. The revenue growth rate from the previous year to TTM is negative, reflecting a decrease in total revenue. However, the EBIT and EBITDA margins are still healthy at 10.26% and 21.51%, respectively, demonstrating operational efficiency.

Balance Sheet

The balance sheet of Peabody Energy reveals financial stability with a low debt-to-equity ratio of 0.02, indicating minimal leverage and a strong equity position. The return on equity (ROE) for the TTM is 9.84%, showcasing the company's ability to generate returns on shareholders' investment, albeit at a lower rate than previous years. The equity ratio is 64.25%, reflecting a robust financial structure with a significant portion of assets funded by equity, which reduces financial risks.

Cash Flow

Peabody Energy's cash flow statement is strong, with a significant free cash flow generation. The free cash flow growth rate for the TTM is impressive at 73.19%, indicating effective cash management. The operating cash flow to net income ratio is 1.66, and the free cash flow to net income ratio is 0.97, both suggesting efficient cash conversion from earnings. The company maintains solid cash flow metrics, supporting ongoing operations and potential future investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.19B	4.24B	4.95B	4.98B	3.32B	2.88B
Gross Profit	715.60M	815.80M	1.56B	1.69B	765.20M	356.20M
EBITDA	901.30M	954.90M	1.51B	1.79B	907.00M	-1.37B
Net Income	365.70M	370.90M	759.60M	1.30B	360.10M	-1.86B
Balance Sheet
Total Assets	5.78B	5.95B	5.96B	5.61B	4.95B	4.67B
Cash, Cash Equivalents and Short-Term Investments	696.50M	700.40M	969.30M	1.31B	954.30M	709.20M
Total Debt	70.90M	467.20M	399.20M	344.80M	1.17B	1.59B
Total Liabilities	2.07B	2.24B	2.35B	2.32B	3.13B	3.69B
Stockholders Equity	3.67B	3.65B	3.55B	3.23B	1.76B	929.60M
Cash Flow
Free Cash Flow	164.10M	204.00M	687.20M	949.40M	236.90M	-207.20M
Operating Cash Flow	608.10M	606.50M	1.04B	1.17B	420.00M	-9.70M
Investing Cash Flow	-612.50M	-598.10M	-342.60M	-28.70M	-131.50M	-206.70M
Financing Cash Flow	-177.40M	-276.00M	-460.30M	-681.60M	-43.40M	193.40M

Peabody Energy Comm Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BTU, the sentiment is Positive. The current price of 17.97 is above the 20-day moving average (MA) of 16.74, above the 50-day MA of 15.00, and above the 200-day MA of 16.89, indicating a bullish trend. The MACD of 0.81 indicates Negative momentum. The RSI at 63.90 is Neutral, neither overbought nor oversold. The STOCH value of 79.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BTU.

Peabody Energy Comm Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BTU	80 Outperform	$2.19B	17.56	3.87%	1.67%	-5.83%	-73.88%
NRP	73 Outperform	$1.36B	9.74	28.59%	4.07%	-20.92%	-26.59%
ARLP	71 Outperform	$3.18B	13.63	12.59%	10.60%	-8.59%	-55.01%
HCC	64 Neutral	$3.36B	82.93	1.95%	0.52%	-27.62%	-90.48%
METC	63 Neutral	$1.67B	43.10	-5.55%	1.78%	-12.79%	-134.14%
AMR	62 Neutral	$2.14B	64.14	-2.29%	0.36%	-29.63%	-108.26%
Sector *	45 Neutral	AU$1.35B	-9.94	-2.14%	8.49%	2.33%	-32.99%

Peabody Energy Comm Corporate Events

Peabody Energy Appoints New Chief Commercial Officer

On August 11, 2025, Peabody Energy Corporation announced the appointment of Malcolm J. Roberts as the Executive Vice President and Chief Commercial Officer, effective September 1, 2025. Roberts, who has been with the company since 2021, will receive a comprehensive compensation package, including a base salary and incentive opportunities, as part of his new role. This strategic appointment is expected to strengthen Peabody Energy’s commercial operations and enhance its market positioning.

The most recent analyst rating on (BTU) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Peabody Energy Comm stock, see the BTU Stock Forecast page.

Peabody Energy Announces Quarterly Dividend Amid Net Loss

On July 31, 2025, Peabody Energy announced a quarterly dividend of $0.075 per share, payable on September 3, 2025. The company reported a net loss of $27.6 million for the second quarter of 2025, a significant drop from the previous year’s profit. Despite lower pricing, Peabody achieved strong cost management and increased demand in the Powder River Basin, leading to improved margins. The company also raised its full-year volume guidance and lowered cost-per-ton targets, anticipating benefits from new federal legislation.

The most recent analyst rating on (BTU) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Peabody Energy Comm stock, see the BTU Stock Forecast page.

Peabody Energy Joins B. Riley Investor Conference

Peabody Energy Corporation announced its participation in the B. Riley Investor Conference starting May 21, 2025, where it plans to present its strategic focus and recent business developments. The company highlighted its record safety and environmental performance in 2024, with the lowest incident rate in its history and significant reclamation efforts. Peabody is capitalizing on favorable megatrends, expecting to grow its steelmaking coal Adjusted EBITDA significantly by 2026, driven by increased demand in Southeast Asia. The company is also advancing its Centurion Mine project, which is expected to transform its seaborne metallurgical coal segment with a longwall startup projected for Q1 2026.

The most recent analyst rating on (BTU) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on Peabody Energy Comm stock, see the BTU Stock Forecast page.

Peabody Energy Comm Holds Annual Stockholders Meeting

On May 8, 2025, Peabody Energy Corporation held its Annual Meeting of Stockholders, where all nine directors were elected for a one-year term. The meeting also saw the advisory approval of the executive officers’ compensation and the ratification of Ernst & Young LLP as the independent registered public accounting firm for 2025.

The most recent analyst rating on (BTU) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on Peabody Energy Comm stock, see the BTU Stock Forecast page.