Update shared on04 Sep 2025
Peabody Energy's consensus price target remains flat at $19.05, as analysts adopt a Neutral stance due to significant uncertainty and risk surrounding the Anglo met coal deal, despite modest improvements elsewhere.
Analyst Commentary
- Analysts cite significant upside or downside risk for Peabody Energy depending on the outcome of the Anglo met coal deal.
- Uncertainty surrounding the Anglo met coal transaction is leading to Neutral ratings despite potential catalysts.
- Bullish analysts are modestly raising price targets to reflect incremental improvements, but remain cautious overall.
- The company's outlook remains mixed due to external deal-related variables rather than core operational changes.
- No pronounced change in sentiment; Neutral stance dominates due to deal ambiguity and risk-reward balance near current levels.
What's in the News
- Peabody Energy raised production guidance for Q3 and full year 2025, including higher Seaborne thermal and PRB volumes, and announced cost improvements across most segments.
- Seaborne met coal costs are expected to further improve in Q3 and full year.
- PRB volume guidance increased by 5 million tons for the year, with full year costs lowered.
- Peabody Energy was dropped from both the Russell 2000 Defensive Index and the Russell 2000 Value-Defensive Index.
Valuation Changes
Summary of Valuation Changes for Peabody Energy
- The Consensus Analyst Price Target remained effectively unchanged, at $19.05.
- The Future P/E for Peabody Energy remained effectively unchanged, at 6.04x.
- The Discount Rate for Peabody Energy remained effectively unchanged, at 7.04%.
Disclaimer
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