Market Overview

UPDATE: Goldman Sachs Reiterates on Walter Energy on Recent Pullback in Commodity Pricing

Related WLT
Dominion Resources Black Warrior Trust Offers Updated Info on Walter Energy Bankruptcy Proceedings
After-Close Market Update: US Stocks Edge Higher; Walter Energy Shares Drop On Downbeat Results

In a report published Wednesday, Goldman Sachs analyst Neil Mehta reiterated a Neutral rating on Walter Energy (NYSE: WLT), but lowered the price target from $18.00 to $16.00.

In the report, Goldman Sachs noted, “We now assume a slightly lower EV/EBITDA multiple on normalized earnings for WLT, using $175/MT met coal prices and a 7.5x EV/EBITDA (versus 7.75x previously), given the recent pullback in commodity pricing. We also remain below consensus on WLT, but stay Neutral-rated given (1) the potential for asset sales, per management commentary, (2) expectations for an improvement in met coal prices and (3) high levels of short interest.”

Walter Energy closed on Tuesday at $14.13.

Latest Ratings for WLT

Oct 2014BB&T CapitalDowngradesHoldUnderweight
Oct 2014FBR CapitalMaintainsMarket Perform
Oct 2014Bank of AmericaMaintainsUnderperform

View More Analyst Ratings for WLT
View the Latest Analyst Ratings

Posted-In: Goldman Sachs Neil MehtaAnalyst Color Price Target Analyst Ratings


Related Articles (WLT)

View Comments and Join the Discussion!