Arch Coal Inc. (ACI) saw a big move last session, as the company’s shares fell by over 7% on the day. The move came on pretty good volume too with far more shares changing hands than in a normal session. This breaks the recent trend of the company, as the stock is now trading below the volatile price range of $4.42 to $4.01 in the past one-month time frame.
This slump shouldn’t be too much of a surprise to investors, as this industrial metals & minerals company has seen 10 negative revisions in the past few weeks and its current year earnings consensus has moved lower over the last 30 days. This suggests there may be more trouble down the road. So make sure to keep an eye on this stock going forward to see if this recent slump will continue, as the earnings picture definitely suggests that this might be the case.
ACI currently has a Zacks Rank #3 (Hold) while its Earnings ESP is negative.
Investors interested in the Basic Materials sector may consider better-ranked stocks like Alexco Resource Corporation (AXU), Methanex Corporation (MEOH) and ArcelorMittal (MT). All these stocks carry a Zacks Rank #1 (Strong Buy).
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ARCH COAL INC (ACI): Free Stock Analysis Report
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