UPDATE: BMO Capital Markets Reiterates Underperform Rating, Raises PT on Arch Coal
In a report published Monday, BMO Capital Markets reiterated its Underperform rating on Arch Coal (NYSE: ACI), and raised its price target from $4.00 to $7.00.
BMO Capital noted, “BMO Research rates Arch Underperform. Arch is constrained by above-average debt levels following last year's ICG acquisition, which also increased Arch's exposure to Appalachian coal. Appalachian coal faces continued headwinds both from low met coal pricing and competition from natural gas. BMO Research prefers defensive names with no exposure to high-cost Central Appalachian production, such as Peabody (BTU-NYSE; US$28.22, Outperform).”
Arch Coal closed on Friday at $8.09.
Latest Ratings for ACI
|Nov 2015||Sterne Agee CRT||Downgrades||Buy||Neutral|
|Oct 2015||JP Morgan||Downgrades||Neutral||Underweight|
|Aug 2015||Cowen & Co.||Downgrades||Outperform||Market Perform|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.