Alliance Resource Partners LP
NASDAQ:ARLP
Intrinsic Value
Alliance Resource Partners LP is a natural resource company, which produces and markets coal to United States utilities and industrial users. [ Read More ]
The intrinsic value of one ARLP stock under the Base Case scenario is 30.9 USD. Compared to the current market price of 20.05 USD, Alliance Resource Partners LP is Undervalued by 35%.
Valuation Backtest
Alliance Resource Partners LP
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Fundamental Analysis
Alliance Resource Delivers Strong Performance
2023-Q4 Earnings Call
In a challenging economic climate, Alliance Resource Partners achieved record full-year revenues of $2.6 billion, up from $2.4 billion in 2022. Net income also rose to $630.1 million, with earnings per unit growing nearly 10% to $4.81. However, the fourth quarter saw a revenue decline to $625.4 million, a 10.7% decrease in coal sales price, and a 7.5% decrease in coal sales volume compared to the previous year. These declines were due to softer market demand, lower commodity prices, and operational issues in Appalachia. Despite this, the company generated a substantial free cash flow of $421.6 million for the year. Debt was reduced by $22.9 million, achieving a laudable net leverage ratio of 0.31x. Optimistically looking ahead to 2024, Alliance expects a strong year with a well-contracted order book and potential export opportunities, projecting coal sales volumes between 34 and 35.8 million tons.
Balance Sheet Decomposition
Alliance Resource Partners LP
Current Assets | 516.1m |
Cash & Short-Term Investments | 59.8m |
Receivables | 292.3m |
Other Current Assets | 164m |
Non-Current Assets | 2.3B |
Long-Term Investments | 139m |
PP&E | 2B |
Other Non-Current Assets | 94m |
Current Liabilities | 227.5m |
Accounts Payable | 108.3m |
Accrued Liabilities | 70.4m |
Other Current Liabilities | 48.8m |
Non-Current Liabilities | 726.5m |
Long-Term Debt | 316.8m |
Other Non-Current Liabilities | 409.6m |
Earnings Waterfall
Alliance Resource Partners LP
Revenue
|
2.6B
USD
|
Cost of Revenue
|
-178.4m
USD
|
Gross Profit
|
2.4B
USD
|
Operating Expenses
|
-1.7B
USD
|
Operating Income
|
672.4m
USD
|
Other Expenses
|
-60.6m
USD
|
Net Income
|
611.8m
USD
|
Free Cash Flow Analysis
Alliance Resource Partners LP
What is Free Cash Flow?
ARLP Profitability Score
Profitability Due Diligence
Alliance Resource Partners LP's profitability score is 72/100. The higher the profitability score, the more profitable the company is.
Score
Alliance Resource Partners LP's profitability score is 72/100. The higher the profitability score, the more profitable the company is.
ARLP Solvency Score
Solvency Due Diligence
Alliance Resource Partners LP's solvency score is 72/100. The higher the solvency score, the more solvent the company is.
Score
Alliance Resource Partners LP's solvency score is 72/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
ARLP Price Targets Summary
Alliance Resource Partners LP
According to Wall Street analysts, the average 1-year price target for ARLP is 26.52 USD with a low forecast of 25.25 USD and a high forecast of 28.35 USD.
Ownership
ARLP Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
ARLP Price
Alliance Resource Partners LP
Average Annual Return | 40.53% |
Standard Deviation of Annual Returns | 115.49% |
Max Drawdown | -85% |
Market Capitalization | 2.5B USD |
Shares Outstanding | 128 062 000 |
Percentage of Shares Shorted | 5.07% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Alliance Resource Partners LP is a natural resource company, which produces and markets coal to United States utilities and industrial users. The company is headquartered in Tulsa, Oklahoma and currently employs 2,990 full-time employees. The firm operates through three segments: Illinois Basin, Appalachia, and Minerals. The Illinois Basin segment includes its operating mining complexes. The Appalachia segment includes its operating mining complexes. The Minerals segment includes the Company’s oil & gas mineral interests. The firm is a producer and marketer of coal primarily to the United States utilities and industrial users. The firm owns both mineral and royalty interests in approximately 1.5 million gross acres in oil & gas producing regions in the United States, primarily the Permian, Anadarko, and Williston Basins. In addition, it develops and markets industrial and mining technology products and services.
Contact
IPO
Employees
Officers
The intrinsic value of one ARLP stock under the Base Case scenario is 30.9 USD.
Compared to the current market price of 20.05 USD, Alliance Resource Partners LP is Undervalued by 35%.