On September 19, 2023, it was reported that BTC Capital Management Inc. had acquired a new position in Warrior Met Coal, Inc. The institutional investor purchased 13,077 shares of the company’s stock during the second quarter, with a value of approximately $512,000. This acquisition demonstrates BTC Capital Management Inc.’s confidence and interest in Warrior Met Coal as an investment opportunity.
Warrior Met Coal (NYSE:HCC) recently released its quarterly earnings data for the period ending on August 2nd. The company reported earnings per share of $1.63 for the quarter compared to the consensus estimate of $2.02, falling short by ($0.39). Additionally, their revenue amounted to $379.66 million, lower than the anticipated $407.47 million. It is important to note that this quarter exhibited a decline in revenue by 39.3% when compared to the same period in the previous year when they earned $5.87 per share.
Despite these earnings results which were below expectations and a decrease in revenue from last year’s figures, Warrior Met Coal maintains a positive return on equity standing at 31.67%, indicative of their ability to generate profit relative to shareholder investment. A net margin of 28.47% further highlights their operational efficiency.
Specializing in non-thermal metallurgical coal production for the steel industry, Warrior Met Coal operates two underground mines located in Alabama. Their customer base primarily consists of blast furnace steel producers situated in Europe, South America, and Asia where there is significant demand for their metallurgical coal.
Apart from coal production, Warrior Met Coal also engages in the sale of natural gas extracted as a byproduct during their mining operations. This diversification provides an additional revenue stream and enhances their overall profitability.
Looking ahead to the future prospects of Warrior Met Coal, equities analysts predict that they will post earnings per share (EPS) of 8.49 for the current fiscal year. While the recent earnings report may suggest a temporary setback, it is essential to consider the long-term fundamentals of the company when assessing its investment potential.
In conclusion, despite Warrior Met Coal’s recent earnings miss and revenue decline, BTC Capital Management Inc.’s acquisition of shares in the company indicates confidence in its long-term prospects. With its focus on non-thermal metallurgical coal production and diversified customer base, Warrior Met Coal holds strong potential in catering to global steel industry demand. Investors should carefully analyze these factors when making investment decisions regarding Warrior Met Coal.
Updated on: 02/10/2023
Debt to equity ratio: Buy
Price to earnings ratio: Strong Sell
Price to book ratio: Strong Buy
DCF: Strong Buy
1:00 PM (UTC)
Date:01 October, 2023
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Loop Capital Markets
Recent Changes in Holdings and Financial Activities of Warrior Met Coal, Inc.
Warrior Met Coal, Inc. has recently seen changes in the holdings of various institutional investors and hedge funds. Point72 Middle East FZE, for instance, acquired a new position in the company during the fourth quarter of 2022, with a value of $45,000. Similarly, Tucker Asset Management LLC purchased a new position in Warrior Met Coal during the first quarter of 2023, worth $51,000.
Notably, Point72 Hong Kong Ltd witnessed a significant increase in its stake in Warrior Met Coal during the second quarter of this year. The firm now owns 2,117 shares of the company’s stock valued at $65,000 after acquiring an additional 2,068 shares in the last quarter. Another notable increase came from Captrust Financial Advisors which boosted its stake by 86.8% during the first quarter and currently owns 3,863 shares valued at $143,000 following an additional purchase of 1,795 shares.
Moreover,Covestor Ltd also experienced substantial growth in its holdings by increasing its stake by a staggering 23,505.9% during the first quarter alone. Covestor Ltd now owns 4,013 shares valued at $149,000 after acquiring an additional 3,996 shares.
As per data on institutional ownership provided by reputable sources like Yahoo Finance and MarketWatch on September 19th, it is observed that around 93.89% percent of Warrior Met Coal stock is held by institutional investors.
On Tuesday morning trading session opening price was recorded at $47.76 followed by fluctuations throughout the day.Caution should be exercised while investing given that HCC has shown notable price volatility lately with a PE ratio standing at 5.35 coupled with a beta factor (a measure of systemic risk) being reported as positive i.e.,1.12.
From liquidity standpoint,Warrir Met Coall forecast seem strong as they have a quick ratio of 8.68 and significantly high current ratio at 9.79.
In terms of average movement over the past fifty days for their stock, the company has observed a simple moving average (SMA) of $41.14 and also an SMA over the past 200 days at $38.07.
Moreover, it should be noted that Warrior Met Coal, Inc.’s shares traded within a fifty-two week range with the lowest price being $26.37 and highest price at $48.63.
With regards to its operations, Warrior Met Coal, Inc. is primarily engaged in producing and exporting non-thermal metallurgical coal used in the steel industry. The company operates two underground mines located in Alabama, which allow it to cater to blast furnace steel producers primarily based in Europe, South America, and Asia.
Additionally,the company also generates revenue from the sale of natural gas extracted as a byproduct during coal production.
As part of its financial activities,the business recently announced the payment of a quarterly dividend on August 14th,paid to stockholders of record on August 7th.The dividend declared was per share dividend worth USD 0.07 representing an annualized dividend yield of 0.59%.
It’s noteworthy that as evident from recent reports CAO Brian M.Chopin sold off about 2,816 shares of Warrior Met Coal’s stock on September 13th.The average selling price stood at $45 per share,detecting transactional value amounting to $126,720.After this transaction completion,chopin now retains ownership stake amounting to around personally owned 11,187 shares valued roughly around $503,415.As required by regulatory compliance with concerned authorities such as US Securities & Exchange Commission,the details of this sale were duly disclosed through official filing provided online by SEC website accessible publicly.Corporte insider holdings such as these currently represent approximately one percent ownership share posessed of total ownership structure.