Investing in stocks, after analyzing the valuation metrics, is considered one of the best practices. The price-toearnings ratio has always been the obvious choice when considering the valuation metrics. This is because calculations based on earnings are easy and come in handy. However, the price-to-sales ratio is convenient for determining the value of stocks incurring losses or in an early development cycle, generating meager or no profit. What's the Price-to-Sales Ratio? While a loss-making company with a ...

Production and Sales - Peabody produced and sold 126.7 million and 126.2 million tons of coal, respectively, from continuing operations in 2023[120]. - Total tons sold decreased by 3.3 million tons (11%) to 25.6 million tons for the three months ended June 30, 2024, compared to 28.9 million tons in 2023[136]. - Total tons sold from operating segments decreased by 7.2 million tons (12%) to 52.9 million tons for the six months ended June 30, 2024, compared to 60.1 million tons in 2023[136]. - Tons sold for Seaborne Thermal reached 4.1 million, while Seaborne Metallurgical sold 2.0 million tons in the three months ended June 30, 2024[165]. - For the six months ended June 30, 2024, tons sold for Seaborne Thermal were 8.1 million and 3.4 million for Seaborne Metallurgical[167]. - The Company had approximately 100 million tons of U.S. thermal coal priced and committed for 2024, including 85 million tons of PRB coal and 15 million tons of other U.S. thermal coal[226]. Financial Performance - The company reported an increase in income from continuing operations of $6.7 million for Q2 2024, driven by a $109.5 million insurance recovery related to the Shoal Creek Mine[134]. - Adjusted EBITDA for the three and six months ended June 30, 2024 decreased by $48.5 million and $278.6 million year-over-year, respectively[135]. - Lower revenue of $226.8 million in Q2 2024 was attributed to no unrealized mark-to-market gains from derivative contracts and lower seaborne coal pricing[134]. - Total revenue decreased by $226.8 million (18%) to $1,042.0 million for the three months ended June 30, 2024, compared to $1,268.8 million in 2023[139]. - Net income attributable to common stockholders for the three months ended June 30, 2024, was $199.4 million, an increase of 11% compared to $179.2 million in the same period of 2023[158]. - Diluted earnings per share (EPS) for the three months ended June 30, 2024, was $1.42, reflecting a 23% increase from $1.15 in the prior year[159]. - The company reported a net cash provided by operating activities of $126.8 million, with available free cash flow at $(225.6) million for the six months ended June 30, 2024[169]. Segment Performance - Seaborne Thermal segment revenue decreased by $92.0 million (23%) to $307.5 million for the three months ended June 30, 2024, compared to $399.5 million in 2023[139]. - Seaborne Metallurgical segment revenue decreased by $78.2 million (21%) to $294.3 million for the three months ended June 30, 2024, compared to $372.5 million in 2023[140]. - Adjusted EBITDA for the Seaborne Thermal segment decreased by $93.1 million (47%) to $104.4 million for the three months ended June 30, 2024, compared to $197.5 million in 2023[143]. - Adjusted EBITDA for the Seaborne Metallurgical segment increased by $41.1 million (40%) to $143.6 million for the three months ended June 30, 2024, compared to $102.5 million in 2023[144]. - Other U.S. Thermal segment revenue increased by $2.1 million (1%) to $202.0 million for the three months ended June 30, 2024, compared to $199.9 million in 2023[141]. - Corporate and Other segment revenue decreased by $20.9 million (56%) to $16.3 million for the three months ended June 30, 2024, compared to $37.2 million in 2023[142]. Operational Developments - The Centurion Mine's redevelopment is progressing, with the first coal shipments expected in Q4 2024 and longwall production targeted to commence in Q1 2026[129]. - The Shoal Creek Mine's increased production following a fire in Q1 2023 contributed $88.4 million to Adjusted EBITDA, despite operational challenges in 2024[145]. - The company recognized a $109.5 million insurance recovery in June 2024 from the Shoal Creek Mine fire incident[133]. - Unfavorable volumes in the Powder River Basin segment led to a decrease of $14.1 million (three months) and $44.9 million (six months) in Adjusted EBITDA, despite lower costs for materials and services[145]. Regulatory and Environmental Factors - The EPA revised the primary standard for fine particulate matter (PM 2.5) from 12.0 µg/m³ to 9.0 µg/m³, which may impact operational costs for fossil fuel electric generating units[172]. - The EPA's final rule mandates existing fossil fuel-fired steam EGUs to achieve a 90% CO capture rate by January 1, 2032, impacting long-term operational plans[176]. - The EPA's revised effluent limitations guidelines, effective May 9, 2024, will significantly increase costs for coal-fueled steam electric power plants, particularly for wastewater discharge[178]. - The SEC's climate-related disclosure rules, adopted on March 6, 2024, will require public companies to disclose climate-related risks and GHG emissions, pending judicial review[185]. - The NSW Environmental Protection Agency's new legislation increases penalties for environmental offenses and enhances regulatory powers[187]. Cash and Liquidity - As of June 30, 2024, the company's cash and cash equivalents totaled $621.7 million, a decrease from $969.3 million as of December 31, 2023[194][195]. - The company's total liquidity as of June 30, 2024, was $940.8 million, down from $1,059.7 million at the end of 2023[195]. - The company had a net cash used in investing activities of $316.8 million for the six months ended June 30, 2024, primarily due to the acquisition of Wards Well for $143.8 million[216]. - The company must maintain a minimum liquidity of $400 million or the difference between the penal sum of all surety bonds and the amount of collateral posted, which was $508.6 million at June 30, 2024[198]. - The company had no outstanding borrowings under its accounts receivable securitization program as of June 30, 2024, with $56.2 million of letters of credit outstanding[211]. Debt and Interest - The company’s cash payments for interest related to its indebtedness amounted to $24.1 million during the six months ended June 30, 2024[208]. - The company had total indebtedness as of June 30, 2024, of $337.3 million, slightly up from $334.2 million at the end of 2023[207]. - The company has a maximum net leverage ratio requirement of 1.5 to 1.0, which it was compliant with as of June 30, 2024[198][213].

Financial Data and Key Metrics Changes - In Q2 2024, the company reported net income attributable to common stockholders of $199.4 million, or $1.42 per diluted share, and adjusted EBITDA of $309.7 million [10][11] - The company reached an insurance settlement for $109.5 million, with $80.8 million included in adjusted EBITDA [10][11] - Cash at June 30 was $622 million after significant tax payments and acquisitions [11] Business Segment Data and Key Metrics Changes - Seaborne Thermal recorded $104 million in adjusted EBITDA, a $10 million increase from the prior quarter, with an adjusted EBITDA margin of 34% [12] - The Seaborne Met segment generated $144 million of adjusted EBITDA, including the insurance settlement, marking a 30% increase compared to the first quarter [13] - U.S. thermal mines produced $53 million of adjusted EBITDA, with PRB shipments at 15.8 million tons, below first quarter volumes due to the shoulder season [14] Market Data and Key Metrics Changes - The Newcastle high-energy thermal coal spot price averaged $136 per metric ton during Q2 [7] - Asian thermal coal imports increased, with China and Vietnam showing year-to-date increases of approximately 15% and 37%, respectively [7] - Premium hard coking coal prices averaged $242 per metric ton, with supply disruptions supporting prices [8][9] Company Strategy and Development Direction - The company is focused on maximizing shareholder value through share buybacks and organic growth, particularly at the Centurion project [4][5] - The acquisition of the Wards Well deposit extends the mine life to over 25 years, with an average annual production of approximately 4.7 million tons [5] - The company plans to ship coal from the Centurion mine to customers in Q4 2024 and is on target for longwall coal in Q1 2026 [4][5] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the second half of 2024, citing a resilient balance sheet and operational recovery [3][4] - The company adjusted full-year guidance due to high customer inventories and low natural gas prices, but expects robust free cash flow in the second half [15] - Management noted that geological challenges at CMJV and lock outages would impact volumes but are being managed effectively [27][28] Other Important Information - The company announced an additional $100 million for opportunistic share repurchases, reflecting a commitment to shareholder returns [4][11] - The U.S. thermal coal market saw a slight increase in electricity generation year-over-year, despite low natural gas prices [10] Q&A Session Summary Question: Capital allocation and buybacks - Management clarified that the additional $100 million for buybacks reflects a commitment to shareholder value and is part of a flexible capital allocation strategy [19][21][22] Question: M&A opportunities - Management emphasized a focus on organic growth and maintaining financial stability over pursuing M&A opportunities at this time [25][26] Question: Operational outlook on met coal - Management discussed geological issues at CMJV and the anticipated impact of lock outages on volumes, estimating potential costs associated with mitigation efforts [27][28][29] Question: Centurion project updates - Management confirmed that all permits are in place for the Centurion project and provided updates on expected shipments and spending [34][36][44]

PE THE ATTACT p ub 197 Int HI and and i I 1000 I I E I 1 - 1 - 1 1 10-11 I 1000 E # n I 889 HD 1 1 800 0 1 I Monty Rakusen Overview Peabody Energy Corporation (NYSE:BTU) is a U.S.-domiciled coal mining company with producing mines in the U.S. and Australia. A large amount of production comes from the Power River Basin and Other U.S. Thermal segments in the United States. However, most of the company's adjusted EBITDA typically comes from the two seaborne segments, where the production is concentrated in Aus ...

Peabody Energy (BTU) came out with quarterly earnings of $1.43 per share, beating the Zacks Consensus Estimate of $0.53 per share. This compares to earnings of $1.16 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 169.81%. A quarter ago, it was expected that this coal mining company would post earnings of $0.30 per share when it actually produced earnings of $0.30, delivering no surprise. Over the last four quarters, the comp ...

Financial Performance - Peabody reported net income of $199.4 million, or $1.42 per diluted share, for Q2 2024, up from $179.2 million, or $1.15 per diluted share, in Q2 2023[1]. - Adjusted EBITDA for Q2 2024 was $309.7 million, including $80.8 million from an insurance settlement, compared to $358.2 million in Q2 2023[1]. - For the quarter ended June 30, 2024, total revenue was $1,042.0 million, an increase from $983.6 million in the previous quarter[22]. - The company reported a total adjusted EBITDA of $309.7 million for the quarter, significantly higher than $160.5 million in the same quarter last year, representing an increase of approximately 92.8%[22]. - Adjusted EBITDA for June 2024 was $39.4 million, compared to $20.1 million in March 2024 and $74.2 million in June 2023[21]. Segment Performance - Seaborne Thermal segment sold 4.1 million tons in Q2 2024, with revenue per ton increasing to $74.43 from $71.24 in Q1 2024[2]. - Seaborne Metallurgical segment achieved Adjusted EBITDA of $143.6 million in Q2 2024, with tons sold increasing to 2.0 million from 1.4 million in Q1 2024[3]. - Powder River Basin segment reported Adjusted EBITDA of $17.8 million in Q2 2024, with tons sold decreasing to 15.8 million from 18.7 million in Q1 2024[5]. - Other U.S. Thermal segment delivered 3.7 million tons at costs of $45.53 per ton, resulting in Adjusted EBITDA of $35.4 million[6]. - Adjusted EBITDA for Seaborne Thermal was $104.4 million, up from $93.8 million in the previous quarter, reflecting a growth of approximately 7%[22]. - Seaborne Metallurgical adjusted EBITDA, excluding Shoal Creek insurance recovery, was $62.8 million, compared to $48.3 million in the previous quarter, marking a growth of about 30%[22]. - The Powder River Basin adjusted EBITDA was $17.8 million, slightly up from $16.4 million in the previous quarter, showing a modest increase of about 8.5%[22]. Shareholder Returns - Peabody announced an additional $100 million for share repurchases, bringing total shareholder returns to $480.1 million since the program's restart[9]. - The company declared a dividend of $0.075 per share on August 1, 2024[9]. Guidance and Projections - Full year seaborne thermal volume guidance increased to 15.7-16.2 million tons, with Q3 volume expected at 4.0 million tons[11]. - Full year volume for Seaborne Metallurgical has been lowered by 600 thousand tons to a range of 7.2-7.6 million tons due to anticipated geological challenges[12]. - Third quarter volume for Seaborne Metallurgical is expected to be 1.7 million tons, achieving 70 to 80 percent of the premium hard coking coal price index, with costs anticipated at $120-$130 per ton[12]. - Full year PRB volume has been reduced by 5 million tons to a range of 75-82 million tons[13]. - Third quarter PRB volume is expected to be 21.5 million tons at an average price of $13.75 per ton, with costs around $11.50-$12.50 per ton[13]. Cash Flow and Assets - Cash and cash equivalents as of June 30, 2024, are $621.7 million, down from $969.3 million as of December 31, 2023[19]. - Total assets as of June 30, 2024, are reported at $5,878.3 million, a decrease from $5,962.1 million as of December 31, 2023[19]. - Net cash provided by operating activities for June 2024 was $7.8 million, a decrease from $119.0 million in March 2024 and $353.4 million in June 2023[20]. - The company reported a net cash used in investing activities of $241.6 million for June 2024, compared to $75.2 million in March 2024 and $61.5 million in June 2023[20]. - The net change in cash, cash equivalents, and restricted cash at the end of the period was $1,319.7 million, down from $1,566.3 million at the beginning of the period[20]. Strategic Initiatives - Centurion project is on track, with first development coal produced and expected shipments to begin in Q4 2024[7]. - The company anticipates continued growth in market conditions for its products, with a focus on strategic investments and potential acquisitions in the future[23]. - The company plans to enhance its operational performance and shareholder return framework, reflecting its commitment to long-term growth[23].

Announced $100 Million for Additional Share Repurchases _________________________________________ Achieved First Development Coal at Centurion ST. LOUIS, Aug. 1, 2024 /PRNewswire/ -- Peabody (NYSE: BTU) today reported net income attributable to common stockholders of $199.4 million, or $1.42 per diluted share, for the second quarter of 2024, compared to $179.2 million, or $1.15 per diluted share in the prior year quarter. Peabody had Adjusted EBITDA1 of $309.7 million in the second quarter of 2024, which in ...

ST. LOUIS, Aug. 1, 2024 /PRNewswire/ -- Peabody (NYSE: BTU) announced today that its Board of Directors has declared a quarterly dividend on its common stock of $0.075 per share, payable on September 4, 2024 to stockholders of record on August 15, 2024. Peabody is a leading coal producer, providing essential products for the production of affordable, reliable energy and steel. Our commitment to sustainability underpins everything we do and shapes our strategy for the future. For further information, visit P ...

Price, Consensus and EPS Surprise However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces. There has been increasing optimism among analysts lately about t ...

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks. Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors rely on traditional forms of analysis on k ...