Yahoo Finance Alliance Resource Partners: What Could 1Q16 Bring?
Alliance Resource Partners: What Could 1Q16 Bring?
Alliance Resource Partners stock
According to a company press release, Alliance Resource Partners (ARLP) plans to announce its 1Q16 earning results on April 26, 2016, before the Market opens. ARLP stock attained a fresh 52-week low of $9.95 on February 26, 2016.
Since the announcement of its 4Q15 results on January 26, 2016, the stock has fallen nearly 28% through February 26, 2016. However, the recent rally in commodity prices helped the stock recover from its February lows. Since coal competes with natural gas in power generation, an increase in natural gas prices can increase the demand for coal. That, in turn, can benefit coal mining companies such as Alliance Resource Partners.
The Market Vectors Coal ETF (KOL), which tracks the overall performance of major coal mining companies around the world, rose nearly 50% after ARLP’s 4Q15 earnings through April 18, 2016.
Peer performance
After ARLP’s 4Q15 earnings, stock prices of major coal mining companies such as Arch Coal (ACIIQ), Cloud Peak Energy (CLD), Alpha Natural Resources (ANRZQ), and Westmoreland Coal (WLB) recovered from their February 2016 lows. Westmoreland stock has risen nearly 55% since ARLP’s 4Q15 earnings results through April 18, 2016.
However, Peabody Energy (BTUUQ) did not recover. On April 13, 2016, Peabody filed for Chapter 11 bankruptcy protection. After the announcement, Peabody stock fell nearly 60%.
Series overview
In this series, we’ll look at analyst expectations for ARLP’s 1Q16 earnings and factors that led analysts to arrive at those expectations. We’ll also look at the company’s 2016 guidance and the key indicators investors should watch.
Next, let’s see how analysts are rating Alliance Resource Partners.
Browse this series on Market Realist:
