ARCH

ARLP or ARCH: Which Coal Industry Stock is a Better Pick?

The coal industry continues to stage a silent comeback from the difficult times. Coal stocks have returned 18.6% in the past 12 months, marginally outperforming the Zacks S&P 500 Composite's growth of 18.3%. The coal industry is gradually coming out of the dark days due to rising international thermal coal demand, an increase in metallurgical coal prices and constructive steps taken by the new U.S. administration to safeguard the interests of the U.S. coal industry.

The Verdict

Alliance Resource Partners and Arch Coal are comparable operators in the U.S. coal industry based on their current market capitalization.

While Arch Coal has an edge in some of the above-mentioned parameters, our verdict goes to Alliance Resource Partners, given its better rank and lower debt-to-capital level.

Looking for Stocks with Skyrocketing Upside?

Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.

Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.

See the pot trades we're targeting>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Arch Coal Inc. (ARCH): Free Stock Analysis Report

Alliance Resource Partners, L.P. (ARLP): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.