ACI at 8.48 looks too good to be true from outside looking in. Is it time to invest in coal??
on Wednesday, May 2, 2012ACI the world’s 2nd largest coal company, hit an all time low today. That’s not unusual, but the thing is, 3 analysts upgraded or maintained buy on the stock this morning, and the stock still fell 8%.
| 7:28a |
Arch Coal Raised To Buy From Fair Value By CRT Capital >ACI (Dow Jones)
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| 7:04a |
Jefferies & Company Maintains Archal at Buy, Lowers PT from $24 to $18 (Benzinga)
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| 6:35a |
Deutsche Bank Maintains Archal at Buy, Raises PT from $19 to $15 (Benzinga)
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The stock has an unbelievable 5% dividend per year, and coal is bound to come back at some point. Is this the perfect stock to hold long term? I mean if these analysts are predicting 15-19 per share for price target, and the dividend is 5% alone, isn’t this stock going to make money from a 8.50 entry? BFN always does its own due diligence, and you should do the same. 
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