Suncoke Energy (SXC) AI Stock Analysis

• Market Cap: $701.76M
• Dividend Yield: 5.79%
• Average Volume (3M): 743.09K
• Price to Earnings (P/E): 7.6
• Beta (1Y): 0.78
• Revenue Growth: -8.76%
• EPS Growth: 51.59%
• Country: US
• Employees: 1,168
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Coal
• EPS (TTM): 0.20
• Shares Outstanding: 84,651,100
• 10 Day Avg. Volume: 696,008
• 30 Day Avg. Volume: 743,086
• PEG Ratio: 0.05
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.42
• Enterprise Value/Market Cap: 1.66
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 4.01
• Enterprise Value/Ebitda: 1.10
• 1Y Price Target: $13.00
• Price Target Upside: 55.50% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 70 Neutral
• Price Target: $9.50 ▲(13.64%Upside)

Suncoke Energy's stock is bolstered by attractive valuation metrics and strong financial management. However, technical analysis indicates bearish trends, and earnings call highlighted some operational challenges. The company's strategic merger could provide future growth opportunities.

Positive Factors

Acquisition

The acquisition of Phoenix Global by SunCoke Energy will diversify its earnings, product offerings, and customer base both domestically and internationally.

Financial Performance

The transaction is forecast to be immediately accretive with annual synergies, enhancing SunCoke Energy's financial performance.

Growth Potential

Significant opportunities exist for SunCoke Energy to leverage its expertise to grow the platform organically in the electric arc furnace space.

Negative Factors

Domestic Coke Business

The decline is largely driven by a lower expected contribution from the domestic coke business.

Financial Risk

Reduced economics on the extended Granite City contract as well as more spot exposure in the second half at Haverhill will likely weigh on results in the back half of the year.

Margins

Margins will be pressured due to the combination of reduced economics on the previously extended Granite City contract as well as more spot exposure at Haverhill.

Suncoke Energy Business Overview & Revenue Model

Company Description

SunCoke Energy, Inc. operates as an independent producer of coke in the Americas and Brazil. The company operates through three segments: Domestic Coke, Brazil Coke, and Logistics. It offers metallurgical and thermal coal. The company also provides handling and/or mixing services to steel, coke, electric utility, coal producing, and other manufacturing based customers. In addition, it owns and operates five cokemaking facilities in the United States and one cokemaking facility in Brazil. SunCoke Energy, Inc. was founded in 1960 and is headquartered in Lisle, Illinois.

How the Company Makes Money

SunCoke Energy primarily generates revenue through its Domestic Coke segment by producing and selling coke to integrated steel mills under long-term, take-or-pay contracts. These agreements ensure a stable revenue stream by obligating customers to purchase a minimum amount of coke, regardless of their production needs. Additionally, SunCoke's Logistics segment contributes to its earnings by providing material handling and transportation services for coal and other bulk materials. This segment includes the operation of terminals and docks, leveraging strategic partnerships with steel manufacturers and other industrial clients to facilitate the movement of raw materials. The company's innovative heat recovery technology also allows it to produce and sell energy, adding an additional revenue stream.

Suncoke Energy Financial Statement Overview

Summary

Suncoke Energy demonstrates solid financial health with stable gross profit margins and efficient cash flow management. However, inconsistent revenue growth and moderate leverage slightly detract from the overall financial performance.

Income Statement

Suncoke Energy's income statement shows a stable gross profit margin at 34.67% for TTM, indicating effective cost management. The net profit margin is 4.95%, with a slight decrease from the previous year, suggesting moderate profitability. Revenue growth has been inconsistent, with a decline in TTM revenue compared to the previous annual report. However, the EBIT and EBITDA margins remain robust at 7.84% and 13.80% respectively, highlighting operational efficiency.

Balance Sheet

The balance sheet reveals a debt-to-equity ratio of 0.72 for TTM, which indicates a moderate level of leverage. Return on equity stands at 13.62%, reflecting a solid return on shareholder investments. With an equity ratio of 41.02%, Suncoke Energy maintains a stable capital structure, though there is room for improvement in reducing debt levels.

Cash Flow

The cash flow statement highlights a strong operating cash flow to net income ratio of 1.98 and a free cash flow to net income ratio of 1.31 for TTM, indicating efficient cash flow management and capacity to cover net income with cash. Free cash flow growth shows an increase, contributing positively to the financial health.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.88B	1.94B	2.06B	1.97B	1.46B	1.33B
	Gross Profit
290.80M	332.00M	338.60M	367.60M	337.20M	284.80M
	EBIT
147.60M	151.90M	125.10M	153.70M	141.50M	69.70M
	EBITDA
262.00M	270.80M	267.90M	296.20M	243.50M	210.20M
	Net Income Common Stockholders
93.20M	95.90M	57.50M	100.70M	43.40M	8.80M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
193.70M	189.60M	140.10M	90.00M	63.80M	48.40M
	Total Assets
1.67B	1.67B	1.66B	1.65B	1.62B	1.61B
	Total Debt
495.70M	495.00M	490.30M	532.20M	613.60M	676.90M
	Net Debt
302.00M	305.40M	350.20M	442.20M	549.80M	628.50M
	Total Liabilities
953.90M	957.20M	1.01B	1.03B	1.08B	1.11B
	Stockholders Equity
684.60M	680.20M	614.20M	585.60M	498.10M	469.00M
Cash Flow		Free Cash Flow
122.30M	95.90M	139.80M	133.40M	134.50M	83.90M
	Operating Cash Flow
184.60M	168.80M	249.00M	208.90M	233.10M	157.80M
	Investing Cash Flow
-61.80M	-72.30M	-109.20M	-70.20M	-99.30M	-75.30M
	Financing Cash Flow
-49.20M	-47.00M	-89.70M	-112.50M	-118.40M	-131.20M

Suncoke Energy Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 8.36
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SXC, the sentiment is Neutral. The current price of 8.36 is above the 20-day moving average (MA) of 8.31, below the 50-day MA of 8.68, and below the 200-day MA of 9.37, indicating a neutral trend. The MACD of -0.11 indicates Negative momentum. The RSI at 47.34 is Neutral, neither overbought nor oversold. The STOCH value of 56.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SXC.

Suncoke Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BTU	76 Outperform	$1.65B	5.10	10.33%	2.13%	-7.42%	-26.06%
NRP	70 Neutral	$1.27B	9.27	31.98%	3.11%	-19.21%	-30.92%
SXC	70 Neutral	$701.76M	7.60	14.26%	5.79%	-8.76%	51.59%
HCC	62 Neutral	$2.46B	23.21	5.20%	0.68%	-21.04%	-75.78%
HNRG	55 Neutral	$690.20M	―	-107.44%	―	-27.04%	-892.84%
AMR	53 Neutral	$1.47B	57.33	1.66%	0.36%	-23.34%	-95.18%
Sector *	51 Neutral	$2.01B	-1.26	-21.11%	4.38%	2.92%	-30.46%

Suncoke Energy Corporate Events

SunCoke Energy Announces Merger with Phoenix Global

SunCoke Energy, Inc. has announced a definitive Merger Agreement to acquire Flame Aggregator, LLC, which operates as Phoenix Global, a provider of critical mill services to steel producers. The merger, approved by both companies’ boards and a majority of Flame Aggregator’s unitholders, is valued at $325 million and is expected to close in the second half of 2025, pending regulatory approvals and other customary conditions. This acquisition is poised to enhance SunCoke’s position in the steel industry by integrating Phoenix Global’s services, potentially impacting stakeholders by expanding operational capabilities and market reach.

The most recent analyst rating on (SXC) stock is a Buy with a $13.00 price target. To see the full list of analyst forecasts on Suncoke Energy stock, see the SXC Stock Forecast page.

SunCoke Energy Holds Virtual Annual Stockholders Meeting

On May 15, 2025, SunCoke Energy held its Virtual Annual Meeting of Stockholders, where approximately 85.52% of the total outstanding shares were represented. Key outcomes included the election of directors Arthur F. Anton and Michael W. Lewis, approval of executive compensation, and the ratification of KPMG LLP as the independent auditor for 2025. These decisions reflect shareholder support for the company’s leadership and strategic direction.

The most recent analyst rating on (SXC) stock is a Buy with a $13.00 price target. To see the full list of analyst forecasts on Suncoke Energy stock, see the SXC Stock Forecast page.

SunCoke Energy Reports Q1 2025 Financial Results

On April 30, 2025, SunCoke Energy reported its financial results for the first quarter of 2025, showing a net income of $19.4 million, a decrease from $21.1 million in the previous year. The company faced challenges in the steel industry, impacting its Domestic Coke segment with reduced revenues and adjusted EBITDA due to lower spot coke sales and contract extension economics at Granite City. Despite these challenges, the logistics segment performed well with increased revenues and adjusted EBITDA driven by higher transloading volumes. SunCoke extended its Granite City contract with U.S. Steel and reaffirmed its full-year 2025 adjusted EBITDA guidance, indicating a strategic focus on navigating market uncertainties.