Warrior Met Coal (NYSE:HCC) Shares Gap Down – What’s Next?

Warrior Met Coal (NYSE:HCC) gapped down before the market opened on Friday . The stock had previously closed at $91.80, but opened at $88.53. Warrior Met Coal shares last traded at $88.9450, with a volume of 101,696 shares.

Wall Street Analyst Weigh In

HCC has been the subject of a number of analyst reports. Citigroup reissued a “buy” rating on shares of Warrior Met Coal in a research report on Wednesday, June 10th. B. Riley Financial raised their target price on shares of Warrior Met Coal from $117.00 to $123.00 and gave the stock a “buy” rating in a research report on Wednesday, June 10th. UBS Group lowered their target price on shares of Warrior Met Coal from $100.00 to $98.00 and set a “buy” rating for the company in a research note on Thursday, August 6th. Zacks Research downgraded Warrior Met Coal from a “strong-buy” rating to a “hold” rating in a report on Friday, August 7th. Finally, Royal Bank Of Canada increased their price target on Warrior Met Coal from $90.00 to $110.00 and gave the stock a “sector perform” rating in a research note on Wednesday. Four equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $103.83.

Warrior Met Coal Stock Down 3.6%

The firm has a market capitalization of $4.67 billion, a price-to-earnings ratio of 21.31 and a beta of 0.67. The company has a current ratio of 3.93, a quick ratio of 2.79 and a debt-to-equity ratio of 0.10. The firm has a 50 day moving average price of $93.18 and a two-hundred day moving average price of $90.41.

Warrior Met Coal (NYSE:HCC) last posted its earnings results on Wednesday, August 5th. The company reported $1.65 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.40 by $0.25. The firm had revenue of $509.69 million during the quarter, compared to the consensus estimate of $488.46 million. Warrior Met Coal had a net margin of 13.05% and a return on equity of 10.02%. The company’s revenue was up 71.3% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.11 EPS. On average, equities analysts expect that Warrior Met Coal will post 5.74 earnings per share for the current fiscal year.

Warrior Met Coal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, August 17th. Stockholders of record on Monday, August 10th were given a $0.08 dividend. The ex-dividend date of this dividend was Monday, August 10th. This represents a $0.32 annualized dividend and a dividend yield of 0.4%. Warrior Met Coal’s dividend payout ratio is presently 7.69%.

Insiders Place Their Bets

In other news, CEO Walter J. Scheller sold 50,000 shares of the firm’s stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $105.00, for a total value of $5,250,000.00. Following the transaction, the chief executive officer owned 317,793 shares of the company’s stock, valued at approximately $33,368,265. This trade represents a 13.59% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Stephen Williams sold 4,800 shares of Warrior Met Coal stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $104.23, for a total transaction of $500,304.00. Following the transaction, the director owned 30,303 shares in the company, valued at $3,158,481.69. The trade was a 13.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 104,800 shares of company stock worth $11,250,304. Insiders own 2.10% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new stake in Warrior Met Coal during the 2nd quarter worth $606,503,000. Northwestern Mutual Wealth Management Co. lifted its holdings in Warrior Met Coal by 2,821,294.3% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 987,488 shares of the company’s stock worth $87,067,000 after buying an additional 987,453 shares in the last quarter. Goehring & Rozencwajg Associates LLC purchased a new position in Warrior Met Coal in the 1st quarter valued at about $55,714,000. Bank of New York Mellon Corp purchased a new position in Warrior Met Coal in the 2nd quarter valued at about $31,201,000. Finally, Encompass Capital Advisors LLC purchased a new position in Warrior Met Coal in the 4th quarter valued at about $33,133,000. 92.28% of the stock is owned by hedge funds and other institutional investors.

Warrior Met Coal Company Profile

Warrior Met Coal, Inc is a mining company that produces and exports metallurgical coal used primarily in steelmaking. The company operates underground mines and related processing facilities in Alabama’s Blue Creek coal seam, producing high-quality, low-volatility metallurgical coal for use in blast-furnace steel production.

The company sells its products to steel producers and coke manufacturers in international markets, serving customers across regions that include Europe, Asia and South America.