Arch Resources, Inc.

Energy
Coal Mining
www.archrsc.com

Earnings Score
Moat Score
Safety Score

Market Cap $2.80B
PE 16
Debt $253.79M
Cash $220.70M
EV $2.84B
FCF $212.02M

Earnings

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Sales & Net Margins

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Earnings	$179.45M
EBIT	$199.24M
ROE	12%
ROA	8%
FCF	$212.02M
Equity	$1.44B
Growth Stability	-132%
PE	15.62
PEG	0.39
PB	1.94
P/FCF	13.22
P/S	1.05
Price/Cash	0.08
Debt/Equity	0.18
Debt/FCF	1.2
Net Margins	3%
Gross Margins	7%
Op. Margins	7%
Earnings CAGR	2%
Sales Growth YoY	-17%
Sales Growth QoQ	2%
Sales CAGR	11%
FCF CAGR	5%
Equity CAGR	3%
Earnings Stability	0
Earnings Growth YoY	-108%
Earnings Growth QoQ	-142%

Earnings CAGR 5Y	40%
Sales CAGR 5Y	16%
FCF CAGR 5Y	44%
Equity CAGR 5Y	41%
Earnings CAGR 3Y	0%
Sales CAGR 3Y	0%
FCF CAGR 3Y	-30%
Equity CAGR 3Y	23%
Market Cap	$2.80B
Revenue	$2.68B
Assets	$2.37B
Total Debt	$253.79M
Cash	$220.70M
Shares Outstanding	18.1M
EV	2.84B
Earnings Score	6%
Moat Score	84%
Safety Score	65%
Final Score	51%
Working Capital	395.57M
Current Ratio	2.01
Gross Profit	$194.16M
Shares Growth 3y	7%
Equity Growth QoQ	-0%
Equity Growth YoY	3%

Assets & ROA

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Stockholders Equity & ROE

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Arch Resources Inc is a producer of metallurgical and coking coal. The company sells its coal to power plants, steel mills, and industrial facilities. Its operating segment includes Powder River Basin (PRB); Metallurgical (MET); Other Thermal and Corporate. The company generates maximum revenue from the Powder River Basin (PRB) segment. Its PRB segment containing the company's primary thermal operations in Wyoming. The MET segment, containing the company's metallurgical operations in West Virginia, and the Other Thermal segment containing the company's supplementary thermal operations in Colorado and Illinois. Geographically, it derives a majority of revenue from Europe.

SEC Filings

Direct access to Arch Resources, Inc. (ARCH) Annual Reports (10K) and Quarterly Reports (10Q) from the SEC website.

2024
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2023
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2022
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31

Sector Comparison

How does Arch Resources, Inc. compare to its competitors?

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Peter Lynch's Chart

This chart shows the current pricing of Arch Resources, Inc. compared to its past. The addition of the earnings trend line provides further insights into the company's earnings power.

CAGR 2%

Stability 0%

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Arch Resources, Inc. Discounted Cash Flow

Fully customizable DCF calculator online for Arch Resources, Inc..

Years

Calculation mode

= $3B

	0	1	2	3	4	5	6	7	8	9	10	TV
fcf	$212M	$223M	$234M	$245M	$258M	$271M	$284M	$298M	$313M	$329M	$345M	$3.5B
DCF		$202M	$193M	$184M	$176M	$168M	$160M	$153M	$146M	$139M	$133M	$1.3B
Value	$3B

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years	12/2014	12/2015	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Net Margins	-91%	-737%	10%	13%	10%	-23%	15%	36%	15%	3%
ROA	-	-56%	12%	15%	13%	-20%	16%	45%	22%	8%
ROE	-	234%	36%	44%	37%	-122%	49%	97%	31%	12%

Bad Net Margins (3.39%)

Net Margins are too low to guarantee profitability in case of higher costs or higher interest rates. Furthermore lower margins cause higher earnings’ volatility.

Safety and Stability

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years	12/2014	12/2015	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Debt over FCF	-	-31.45	0.97	1.06	2.2	-2.63	-115.72	0.23	0.39	1.2
Debt over Equity	3.09	-4.13	0.49	0.49	0.53	2.08	1.21	0.17	0.12	0.18
Growth Stability	-	-	-	-	-	-132%	100%	100%	100%	-132%

Good Debt/FCF ratio (1.2)

Net Margins are high enough to offer a good protection on the profits in case of higher costs or higher interests. Furthermore higher margins reduce earnings’ volatility.

Good Debt/Equity ratio (0.18)

The company is not overleveraged and has a good balance between equity and debt.

Bad Graham’s Stability (-132%)

The company has a bad stability in its earnings, which is a sign of a bad competitive advantage.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years	12/2014	12/2015	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	CAGR 5Y
Revenue YoY growth	-	-35%	488%	5%	-6%	-36%	50%	69%	-16%	16%
Earnings YoY growth	-	422%	-108%	31%	-25%	-247%	-198%	294%	-65%	40%
Equity YoY growth	-	-175%	-154%	6%	-9%	-56%	141%	100%	8%	41%
FCF YoY growth	-	-10%	-306%	-4%	-52%	-247%	-97%	-15K%	-56%	44%