Peabody Energy Comm (BTU) AI Stock Analysis

• Market Cap: $4.29B
• Dividend Yield: 0.96%
• Average Volume (3M): 2.48M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.46
• Revenue Growth: -7.21%
• EPS Growth: -106.39%
• Country: US
• Employees: 5,600
• Sector: Energy
• Sector Strength: 52
• Industry: Coal
• EPS (TTM): -0.57
• Shares Outstanding: 121,600,000
• 10 Day Avg. Volume: 2,908,372
• 30 Day Avg. Volume: 2,483,042
• PEG Ratio: -0.16
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 0.62
• P/FCF Ratio: 12.84
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 1.03
• Enterprise Value/Gross Profit: 9.41
• Enterprise Value/Ebitda: 9.02
• 1Y Price Target: $34.75
• Price Target Upside: -3.82% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $37.00 ▲(2.41% Upside)

Peabody Energy's overall score reflects a mix of financial challenges and operational strengths. The company's stable balance sheet and positive earnings call insights are offset by valuation concerns and financial losses. Technical indicators suggest moderate bullish momentum, while corporate events provide leadership stability but also legal risks.

Positive Factors

Low-cost flagship asset (Centurion)

Bringing longwall production at Centurion online materially increases low-cost metallurgical coal supply. A sevenfold shipment ramp to 3.5m tonnes and higher realizations (70% to 80% benchmark) should sustainably lift margins and cash generation from the met coal portfolio.

Pristine balance sheet and liquidity

Conservative leverage (D/E ~0.115) and roughly $603m cash with >$950m total liquidity provide durable financial flexibility. This supports capital allocation, funds growth initiatives like Centurion, and cushions cyclical coal demand swings without forcing distressed asset sales.

Favorable U.S. thermal coal demand trends

Sustained uplift in U.S. coal generation and rising electricity demand support steady thermal coal volumes and pricing for Powder River Basin operations. Structural domestic demand improvement provides a multi-month tailwind to revenue stability and higher utilization of low-cost U.S. assets.

Negative Factors

Declining revenues and negative profitability

TTM negative net margin and contracting revenue reflect persistent demand/pricing pressures in seaborne and domestic markets. Continued profitability weakness undermines retained earnings, reduces ROE, and limits internal funding for capex and strategic investments unless operational trends reverse.

Material decline in free cash flow

A ~55% drop in free cash flow growth materially reduces discretionary capital for growth, dividends, and debt servicing. Even with some operating cash generation, the deterioration constrains reinvestment in assets and heightens sensitivity to cost overruns or production outages.

Ongoing legal/arbitration risk

Active arbitration creates uncertain contingent liabilities, potential cash outflows, and management distraction. Adverse outcomes could pressure liquidity or delay strategic projects and capital allocation, making execution riskier during a cyclically sensitive recovery period.

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, which are divided into thermal coal for electricity generation and metallurgical coal for steel production. The company benefits from long-term contracts and spot market sales, allowing it to capitalize on fluctuating coal prices. Key revenue streams include sales from its U.S. operations, particularly in the Powder River Basin and the Illinois Basin, as well as its Australian operations. Additionally, Peabody has established significant partnerships with utilities and steel manufacturers, which provide a steady demand for its coal. Factors contributing to its earnings include global coal demand, pricing dynamics in energy markets, and regulatory environments affecting coal usage. Peabody also focuses on cost management and operational efficiencies to enhance profitability.

Peabody Energy Comm Financial Statement Overview

Summary

Peabody Energy is experiencing financial challenges with declining revenues and profitability, as evidenced by a negative net profit margin and reduced cash flow efficiency. However, the balance sheet remains stable with low leverage, indicating a strong capital structure.

Income Statement

The income statement shows a declining trend in revenue and profitability. The TTM data indicates a negative net profit margin of -0.83%, reflecting a challenging period for the company. Gross profit margin has decreased significantly from previous years, and revenue growth is negative, indicating a contraction in sales. The EBIT and EBITDA margins have also declined, suggesting reduced operational efficiency.

Balance Sheet

The balance sheet remains relatively stable with a low debt-to-equity ratio of 0.115, indicating conservative leverage. However, the return on equity is negative in the TTM period, reflecting recent profitability challenges. The equity ratio is healthy, suggesting a strong capital structure.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth, down by 54.99% in the TTM period. The operating cash flow to net income ratio is 0.67, indicating some cash generation capability despite net losses. The free cash flow to net income ratio is positive, but lower than previous years, reflecting reduced cash efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.96B	4.24B	4.95B	4.98B	3.32B	2.88B
Gross Profit	434.90M	815.80M	1.56B	1.69B	765.20M	356.20M
EBITDA	453.60M	954.90M	1.51B	1.79B	907.00M	-1.37B
Net Income	-32.70M	370.90M	759.60M	1.30B	360.10M	-1.87B
Balance Sheet
Total Assets	5.74B	5.95B	5.96B	5.61B	4.95B	4.67B
Cash, Cash Equivalents and Short-Term Investments	603.30M	700.40M	969.30M	1.31B	954.30M	709.20M
Total Debt	407.60M	467.20M	399.20M	361.60M	1.18B	1.67B
Total Liabilities	2.16B	2.24B	2.35B	2.32B	3.13B	3.69B
Stockholders Equity	3.54B	3.65B	3.55B	3.23B	1.76B	929.60M
Cash Flow
Free Cash Flow	87.50M	204.00M	687.20M	949.40M	236.90M	-207.20M
Operating Cash Flow	533.20M	606.50M	1.04B	1.17B	420.00M	-9.70M
Investing Cash Flow	-609.60M	-598.10M	-342.60M	-28.70M	-131.50M	-206.70M
Financing Cash Flow	-81.00M	-276.00M	-460.30M	-681.60M	-43.40M	193.40M

Peabody Energy Comm Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.13
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• 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 36.13 is above the 20-day moving average (MA) of 34.97, above the 50-day MA of 31.17, and above the 200-day MA of 22.03, indicating a bullish trend. The MACD of 1.49 indicates Positive momentum. The RSI at 55.20 is Neutral, neither overbought nor oversold. The STOCH value of 22.42 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
ARLP	72 Outperform	$3.06B	12.83	13.07%	11.05%	-9.45%	-46.37%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
BTU	61 Neutral	$4.29B	-121.71	-0.87%	0.96%	-7.21%	-106.39%
HCC	61 Neutral	$4.69B	137.92	1.67%	0.36%	-23.25%	-90.78%
CNR	57 Neutral	$4.81B	―	-1.64%	0.45%	64.05%	-103.03%
METC	56 Neutral	$1.22B	-33.46	-7.40%	2.83%	-16.99%	-184.02%
AMR	54 Neutral	$2.70B	-58.79	-2.87%	―	-32.53%	-112.77%

Peabody Energy Comm Corporate Events

Peabody Energy Extends CEO James Grech’s Tenure and Role

Peabody Energy Corporation announced that its president and chief executive officer, James C. Grech, who is approaching retirement eligibility, will remain as CEO and a member of the board until May 15, 2028, under a Transition and Consulting Agreement effective December 17, 2025, after which he will serve in an advisory role until May 15, 2030. The agreement provides for continued salary, incentives, and benefits through the transition date, extended vesting of long-term incentive awards through the consulting period, and an annual consulting fee of $1.5 million, reflecting the board’s intent to retain Grech’s expertise for a smooth leadership transition and indicating that the move is part of planned succession rather than any disagreement over company operations or policies.

The most recent analyst rating on (BTU) stock is a Hold 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 Appoints Hodges and Walker to Board

On November 19, 2025, Peabody Energy Corporation appointed Georganne Hodges and Clayton Walker to its Board of Directors, with terms expiring at the 2026 Annual Meeting of Stockholders. Ms. Hodges and Mr. Walker bring extensive experience in energy and mining, expected to enhance the board’s expertise and perspectives. This strategic move is anticipated to strengthen Peabody’s industry positioning and operational oversight.

The most recent analyst rating on (BTU) stock is a Hold with a $32.00 price target. To see the full list of analyst forecasts on Peabody Energy Comm stock, see the BTU Stock Forecast page.

Peabody Energy Announces Q3 2025 Dividend Amid Loss

On October 30, 2025, Peabody Energy announced a quarterly dividend of $0.075 per share, payable on December 3, 2025. The company reported a net loss of $70.1 million for Q3 2025, attributed to costs from a terminated acquisition, but achieved an adjusted EBITDA of $99.5 million, driven by increased revenues and improved coal shipment volumes. Peabody is advancing its rare earth initiative and benefiting from favorable U.S. policies supporting coal-fueled plants.

The most recent analyst rating on (BTU) stock is a Hold with a $31.00 price target. To see the full list of analyst forecasts on Peabody Energy Comm stock, see the BTU Stock Forecast page.