Five Star Equities reported on the spike in the price of shares for Alpha Natural Resources, Inc. (NYSE:ANR) and James River Coal Company (NASDAQ:JRCC), after a positive forecast for thermal coal demand and a better-than-expected earnings report for Arch Coal Inc.
As quoted in the report:
Many coal companies have been forces to scale back production as a result of dwindling demand. The low demand has seen Arch Coal idled five of their mines in the Appalachian region and forced Patriot Coal Corp. to recently file for Chapter 11 bankruptcy protection. Yet coal companies soared last week after comments from Arch Coal’s President and CEO noted a bullish outlook for thermal coal.