The stock of Peabody Energy Corp (NYSE: BTU) has increased by 5.80 when compared to last closing price of 12.67.Despite this, the company has seen a gain of 0.41% in its stock price over the last five trading days. seekingalpha.com reported 2025-06-21 that Peabody’s acquisition of Australian metallurgical coal assets transforms its business model, offering higher-margin revenue streams and diversification beyond thermal coal. Despite recent earnings declines due to lower coal prices, Peabody’s EV/EBITDA and P/CF ratios suggest the stock is attractively undervalued with strong cash generation. My DCF and peer multiples analysis both indicate significant upside potential, while the company’s robust balance sheet provides resilience against short-term risks.
Is It Worth Investing in Peabody Energy Corp (NYSE: BTU) Right Now?
The price-to-earnings ratio for Peabody Energy Corp (NYSE: BTU) is 5.02x, which is above its average ratio. Moreover, the 36-month beta value for BTU is 0.50. Analysts have varying opinions on the stock, with 4 analysts rating it as a “buy,” 1 as “overweight,” 1 as “hold,” and 0 as “sell.”
The public float for BTU is 120.56M and currently, short sellers hold a 12.19% of that float. On June 30, 2025, BTU’s average trading volume was 5.17M shares.
BTU’s Market Performance
BTU’s stock has seen a 0.41% increase for the week, with a -2.44% drop in the past month and a -2.30% fall in the past quarter. The volatility ratio for the week is 3.98%, and the volatility levels for the past 30 days are at 4.55% for Peabody Energy Corp. The simple moving average for the past 20 days is 0.39% for BTU’s stock, with a -27.43% simple moving average for the past 200 days.
Analysts’ Opinion of BTU
Many brokerage firms have already submitted their reports for BTU stocks, with BMO Capital Markets repeating the rating for BTU by listing it as a “Outperform.” The predicted price for BTU in the upcoming period, according to BMO Capital Markets is $26 based on the research report published on December 16, 2024 of the previous year 2024.
Jefferies, on the other hand, stated in their research note that they expect to see BTU reach a price target of $36, previously predicting the price at $25. The rating they have provided for BTU stocks is “Buy” according to the report published on June 07th, 2022.
The Benchmark Company gave a rating of “Buy” to BTU, setting the target price at $16 in the report published on October 29th of the previous year.
BTU Trading at -0.65% from the 50-Day Moving Average
After a stumble in the market that brought BTU to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -55.23% of loss for the given period.
Insider Trading
Reports are indicating that there were more than several insider trading activities at BTU starting from Jarboe Scott T., who sale 2,018 shares at the price of $14.22 back on Mar 03 ’25. After this action, Jarboe Scott T. now owns 77,619 shares of Peabody Energy Corp, valued at $28,696 using the latest closing price.
Grech James C., the President and CEO of Peabody Energy Corp, purchase 6,684 shares at $14.97 during a trade that took place back on Feb 24 ’25, which means that Grech James C. is holding 333,030 shares at $100,059 based on the most recent closing price.
Stock Fundamentals for BTU
Current profitability levels for the company are sitting at:
- 0.1 for the present operating margin
- 0.17 for the gross margin
The net margin for Peabody Energy Corp stands at 0.09. The total capital return value is set at 0.08. Equity return is now at value 10.33, with 6.41 for asset returns.
Based on Peabody Energy Corp (BTU), the company’s capital structure generated 0.02 points at debt to capital in total, while cash flow to debt ratio is standing at 8.58. The debt to equity ratio resting at 0.02. The interest coverage ratio of the stock is 9.84.
Currently, EBITDA for the company is 954.9 million with net debt to EBITDA at -0.69. When we switch over and look at the enterprise to sales, we see a ratio of 0.24. The receivables turnover for the company is 15.09for trailing twelve months and the total asset turnover is 0.72. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.36.
Conclusion
To wrap up, the performance of Peabody Energy Corp (BTU) has been bad in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
