4-Star Stocks Poised to Pop: Peabody Energy
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, coal producer Peabody Energy (NYS: BTU) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Peabody's business and see what CAPS investors are saying about the stock right now.
Peabody facts
Headquarters (founded) | St. Louis (1883) |
Market Cap | $8 billion |
Industry | Coal and consumable fuels |
Trailing-12-Month Revenue | $8.3 billion |
Management | Chairman/CEO Gregory Boyce |
Return on Equity (average, past 3 years) | 16.8% |
Cash/Debt | $952.4 million / $6.7 billion |
Dividend Yield | 1.1% |
Competitors |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 2,027 members who have rated Peabody believe the stock will outperform the S&P 500 going forward.
Just last week, one of those Fools, dmiller5350, succinctly summed up the bull case for our community:
Yes we all know coal is dirty energy, and yes we'll likely be focusing on [natural gas] in the near future. However, until that point coal will still generate much of our energy demand. Not only that, [Peabody] has an excellent presence globally and in my opinion this is a super steal at this price. I think the fair value is already $41 and is only going to increase.
If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a sure-fire way to secure your financial future. Of course, despite a strong four-star rating, Peabody may not be your top choice.
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Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.
At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
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