Ramaco Resources(US:METC) The Motley Fool·2026-01-02 01:30Company Overview - Ramaco Resources is a leading U.S. metallurgical coal producer with a diversified portfolio of mining assets across West Virginia, Virginia, and Pennsylvania, leveraging significant controlled mineral reserves to supply high-quality coal to the steel industry [5] - The company generates revenue through the extraction and sale of metallurgical coal to domestic and international steel producers and coke plants, serving blast furnace steel mills and coke plants in the U.S. and international metallurgical coal consumers [8] Financial Performance - In the third quarter, Ramaco Resources experienced a 28% year-over-year revenue decline to $121 million due to softened pricing, while cash costs decreased to $97 per ton [9] - Adjusted EBITDA for the quarter was reported at $8.4 million despite lower realized prices, and liquidity reached a record $272 million, including over $77 million in net cash, indicating strong balance sheet strength amid volatile coal markets [9] Investment Position - Discovery Capital Management increased its stake in Ramaco Resources by 4.18 million shares, bringing its total holdings to 5.53 million shares with a market value of $182.21 million, which now accounts for about 10% of the fund's reportable U.S. equity AUM, making it the largest holding [2][3] - As of the latest data, Ramaco Resources shares were priced at $18.00, reflecting a 78% increase over the past year, significantly outperforming the S&P 500, which rose about 16% in the same period [3] Strategic Focus - Ramaco Resources is transitioning towards a dual-platform model that includes rare earth and critical minerals development at the Brook Mine in Wyoming, a project supported by federal interest and early-stage infrastructure investment, providing optionality that typical coal peers lack [10]