Arch Resources (ARCH) Q3 Earnings Miss Estimates

Core Viewpoint - Arch Resources reported quarterly earnings of $0.41 per share, significantly missing the Zacks Consensus Estimate of $1.38 per share, and down from $3.91 per share a year ago, indicating a -70.29% earnings surprise [1] Financial Performance - The company posted revenues of $617.9 million for the quarter ended September 2024, exceeding the Zacks Consensus Estimate by 15.28%, but down from $744.6 million year-over-year [2] - Over the last four quarters, Arch Resources has surpassed consensus revenue estimates four times, but has only exceeded EPS estimates once [2] Stock Performance - Arch Resources shares have declined approximately 14.3% since the beginning of the year, contrasting with the S&P 500's gain of 19.8% [3] - The stock currently holds a Zacks Rank 5 (Strong Sell), indicating expectations of underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.92 on revenues of $547 million, and for the current fiscal year, it is $7.84 on revenues of $2.37 billion [7] - The trend for earnings estimate revisions ahead of the earnings release was unfavorable, which may impact future stock performance [6] Industry Context - The coal industry, to which Arch Resources belongs, is currently ranked in the bottom 41% of over 250 Zacks industries, suggesting a challenging environment for stock performance [8]