Peabody Energy Co. (NYSE:BTU – Get Free Report)’s share price traded down 5.3% on Thursday following a dissappointing earnings announcement. The company traded as low as $21.14 and last traded at $21.24. 510,236 shares changed hands during trading, a decline of 86% from the average session volume of 3,739,295 shares. The stock had previously closed at $22.42.
The coal producer reported $1.16 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.54 by ($0.38). Peabody Energy had a net margin of 29.80% and a return on equity of 48.04%. The company had revenue of $1.27 billion during the quarter, compared to analysts’ expectations of $1.29 billion. During the same quarter in the prior year, the business posted $2.67 earnings per share. The company’s revenue was down 4.0% compared to the same quarter last year.
Peabody Energy Dividend Announcement
The business also recently declared a quarterly dividend, which will be paid on Wednesday, August 30th. Stockholders of record on Thursday, August 10th will be issued a $0.075 dividend. The ex-dividend date is Wednesday, August 9th. This represents a $0.30 dividend on an annualized basis and a dividend yield of 1.41%. Peabody Energy’s dividend payout ratio is presently 2.87%.
Peabody Energy declared that its Board of Directors has initiated a share buyback plan on Monday, April 17th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the coal producer to repurchase up to 26.4% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s management believes its stock is undervalued.
Analysts Set New Price Targets
Separately, B. Riley dropped their target price on Peabody Energy from $27.00 to $25.00 in a research note on Friday.
Institutional Trading of Peabody Energy
Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its holdings in shares of Peabody Energy by 3.6% in the 3rd quarter. Vanguard Group Inc. now owns 11,337,844 shares of the coal producer’s stock valued at $281,406,000 after buying an additional 397,931 shares during the period. BlackRock Inc. raised its holdings in Peabody Energy by 0.3% in the 1st quarter. BlackRock Inc. now owns 7,950,736 shares of the coal producer’s stock worth $203,539,000 after purchasing an additional 21,705 shares during the period. Dimensional Fund Advisors LP raised its holdings in Peabody Energy by 5.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 7,191,556 shares of the coal producer’s stock worth $184,102,000 after purchasing an additional 383,010 shares during the period. State Street Corp raised its holdings in Peabody Energy by 11.7% in the 1st quarter. State Street Corp now owns 6,215,026 shares of the coal producer’s stock worth $159,105,000 after purchasing an additional 649,904 shares during the period. Finally, Boston Partners acquired a new position in Peabody Energy in the 1st quarter worth about $149,474,000. Institutional investors and hedge funds own 80.09% of the company’s stock.
Peabody Energy Stock Down 1.7 %
The company has a market cap of $3.08 billion, a price-to-earnings ratio of 2.06 and a beta of 1.05. The company has a current ratio of 2.17, a quick ratio of 1.79 and a debt-to-equity ratio of 0.09. The business has a fifty day moving average of $20.68 and a two-hundred day moving average of $23.94.
Peabody Energy Company Profile
Peabody Energy Corporation engages in coal mining business in the United States, Japan, Taiwan, Australia, India, Brazil, Belgium, Chile, France, 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.