India and the United States are steel and coal caused by the market for steel and coal in the market. In turn, it provides investors with interest in coal, which may double their money.
As the Chinese government encouraged steel production to slow down, China's dominance status has gradually disappeared for decades.
Coal is ready to transport.
In India, this is a different story that encourages the expansion of steel output, and domestic manufacturing has become the United States, which has become a government priority.
It is expected that this re -balance of the steel and coal industry will trigger the price recovery rate in the next 12 months, prompting investment banks (such as Goldman Sachs, UBS and McGust) to bring Coronado Global Resources that it is one of the stocks to be purchased.
Coking coal has different characteristics for thermal or energy coal used in the power station. Although it is still the source of carbon pollution, it is essential among the explosive furnaces that produce most steel in the world.
Tightening what is the supply of advanced products has led to an increase in the demand for miners' desire to withdraw from an industry supervised by the government.
The current low -cost coal prices will soon reach the lowest point in the current commodity cycle and then recover.
Company coal operation
The environmental reputation of coal is very poor with the pressure of radicals, forcing some banks to refuse to loan from coal miners, but it has not stopped transaction. For example, last year's US $ 3.8 billion acquired Australian coking coal mines in Australia. America, American miner PEABODY, which is listed in London, has cooperated with BUMA in Indonesia.
Coronado has coal mines in Australia and the United States. In the past 12 months, it has sold a lot of sales. This is mainly because investors are worried that China's demand has declined, which makes the company's stock price of the Australian Stock Exchange The stock price dropped by 60 % $ 1.65 for A65.
Goldman Sachs published a research report published in Coronado last week after the release of the December Report in Colonado said that due to the decline in the stock price, the stock was bought “Good support”.
Edgar Thomson Works Steel Mill, a US steel company in Bradok, Pennsylvania. Photographer: Justin Elastic [+]
In the next 12 months, the bank has tilted the price of Coronado and supports India and China at a price of about $ 220 per ton during the medium term. The strong demand in India and China is in the demand in Canada and Australia. We see that the continuous supply is close to $ 1.05, and the potential of the last sales increased by 61 %.
UBS (UBS) is more optimistic about the stock price of Coronado (107 %) in the future, telling customers that the stock is exposed to the rebound of China (outside China) before the marine coal market.
Macquarie is expected to be $ 1 for the future Coronado, because its new Australian mammoth MM ore begins to produce.
Coronado's management discussion in the December Report said that the demand for focusing on China's focusing coal is expected to remain stable in the process of 2025, and it is expected that China's rebound is expected to rebound in markets outside China.
In the latest quarter, the company produced 6.9 million tons of coal and increased by 4.5 % in 2023 with the output of 2024. In the fourth quarter, revenue was US $ 558 million, and the annual revenue was $ 2.5 billion.
Coronado is expected to submit its financial results on February 20. Goldman Sachs predicts that pre -tax profits (EBITDA) were US $ 111 million, less than $ 382 million in 2023, but rebounded to $ 349 million.
Non -Chinese Steel Recovery
Coronado said: “It is expected that the production of non -Chinese steel will resume, thereby improving the demand for raw materials for Haisang Steel.”
The company said: “In the United States, Coronado predicts that the demand for steel in 2025 will greatly improve. This is due to the improvement of economic prospects, and the policy encourages the re -invested steel -dense manufacturing industry.”
“In the short term, Coronado believes that it is possible to restore prices. This is mainly driven by the increase in Indian demand for steel production to recover. Metallurgical import tariffs and quotas.
