Arch Coal (ACI) (DO) (FNV) (TGB) (EOX) (HNRG) (PXD) (PPP) Ratings Changes and Initiations

Arch Coal, Inc. (ACI), Diamond Offshore Drilling, Inc. (DO), Franco Nev Corp (Canada) (FNV), Taseko Mines Limited (TGB), Emerald Oil Inc (EOX), Hallador Energy Co (HNRG), Pioneer Natural Resources (PXD) and Primero Mining Corp. (Canada) (PPP) had ratings adjustments or initiations on them.

Macquarie upgraded Primero Mining Corp. (Canada) (PPP) from a "Neutral" rating to an "Outperform" rating.

Goldman Sachs (GS) downgraded Arch Coal, Inc. (ACI) from a "Neutral" rating to a "Sell" rating. They have a price target of $5.00 on the company.

Morgan Stanley (MS) downgraded Diamond Offshore Drilling, Inc. (DO) from an "Overweight" rating to an "Equal Weight" rating. They have a price target of $85.00 on the company.

TD Securities downgraded Franco Nev Corp (Canada) (FNV) from a "Buy" rating to a "Hold" rating.

Canaccord Genuity downgraded Taseko Mines Limited (TGB) from a "Buy" rating to a "Hold" rating.

Canaccord Genuity initiated coverage on Emerald Oil (EOX). They have a "Buy" rating and a price target of $1.50 on the company.

Brean Murray initiated coverage on Hallador Energy Co (HNRG). They have a "Buy" rating and a price target of $10.00 on the company.

Wells Fargo & Co. (WFC) initiated coverage on Pioneer Natural Resources (PXD). They have an "Outperform" rating on the company.

Arch Coal (ACI) (CNI) (GLW) (TSCO) (HWD) Ratings, Price Targets

Arch Coal, Inc. (ACI), Canadian National Railway (CNI), Corning Inc. (GLW), Tractor Supply Co. (TSCO) and Harry Winston Diamond (HWD) had ratings and price targets on them adjusted by analysts.

Johnson Rice downgraded Arch Coal, Inc. (ACI) from an "Overweight" rating to an "Equal Weight" rating.

Raymond James (NYSE: RJF) initiated coverage on Canadian National Railway (CNI). They placed a "Market Perform" rating on the company.

JPMorgan Chase (NYSE: JPM) upgraded Corning Inc. (GLW) from an "Underweight" rating to a "Neutral" rating.

Stephens initiated coverage on Tractor Supply Co. (TSCO). They placed an "Overweight" rating on the company.

Desjardins upgraded Harry Winston Diamond (HWD) from a "Hold" rating to a "Buy" rating.

Arch Coal (ACI) (CTB) (HTWR) (HUM) (COL) (BIIB) Ratings, PT, EPS Changes

Arch Coal (NYSE:ACI), Cooper Tire (NYSE:CTB), HeartWare (NASDAQ: HTWR, Humana (NYSE: HUM), Rockwell Collins (NYSE: COL) and Biogen Idec Inc. (NASDAQ: BIIB) had EPS, price targets and ratings reiterations on them.

Arch Coal (ACI) had its price target raised by Sterne Agee to $25.00. They have a “Neutral” rating on the company.

Morgan Stanley (NYSE:MS) reiterated its "Overweight" rating on Cooper Tire (CTB).

Auriga reiterated its "Hold" rating on HeartWare (HTWR). They have a price target of $73.00 on the company.

Goldman Sachs (NYSE:GS) reiterated its "Buy" rating on Humana (HUM).

Goldman Sachs reiterated its "Neutral" rating on Rockwell Collins (COL). They have a price target of $59.00 on the company.

Biogen Idec Inc. (BIIB) had its EPS estimates raised by UBS AG (NYSE:UBS). They have a price target of $132.00 on the company.

Arch Coal (ACI) (ADM) (TIF) (BRD) (BTU) Get New Coverage

Arch Coal, Inc. (NYSE: ACI), Archer Daniels Midland Company (NYSE: ADM), Tiffany & Co. (NYSE: TIF), Brigus Gold (NYSE: BRD) and Peabody Energy Corp. (NYSE: BTU) getting new coverage from analysts.

Davenport initiated coverage on Arch Coal, Inc. (ACI). They placed a “Neutral” rating on the company.

Argus initiated coverage on Archer Daniels Midland Company (ADM). They placed a “Hold” rating on the company.

Sterne Agee initiated coverage on Tiffany & Co. (TIF). They placed a “Buy” rating and a price target of $90.00 on the company.

Global Hunter Securities initiated coverage on Brigus Gold (BRD). They placed an “Accumulate” rating and a price target of $1.90 on the company.

Davenport initiated coverage on Peabody Energy Corp. (BTU). They placed a “Buy” rating on the company.

Ratings on (YHOO) (ACI) (GEVO) (NVLS) (OMCL) Reiterated

Ratings on Yahoo! Inc. (NASDAQ: YHOO), Arch Coal, Inc. (NYSE: ACI), Gevo, Inc. (NASDAQ: GEVO), Novellus Systems, Inc. (NASDAQ: NVLS) and Omnicell, Inc. (NASDAQ: OMCL) were reiterated by analysts.

Bank of America (NYSE:BAC) reiterated a “buy” rating on Yahoo! Inc. (YHOO).

BMC Equities Research reiterated a “buy” rating on Arch Coal, Inc. (ACI). They have a price target of $43.00 on the company.

Piper Jaffray (NYSE:PJC) reiterated an “overweight” rating on Gevo, Inc. (GEVO).

Bank of America reiterated a “buy” rating on Novellus Systems, Inc. (NVLS).

Auriga reiterated a “buy” rating on Omnicell, Inc. (OMCL).

Ratings on (ACI) (BIIB) (COO) (CSCO) (EXAC) Reiterated

Ratings on Arch Coal, Inc. (NYSE: ACI), Biogen Idec Inc. (NASDAQ: BIIB), The Cooper Companies, Inc. (NYSE: COO), Cisco Systems, Inc. (NASDAQ: CSCO) and Exactech, Inc. (NASDAQ: EXAC) were reiterated by analysts.

JPMorgan Chase & Co. (NYSE:JPM) reiterated an “overweight” rating on Arch Coal, Inc. (ACI).

Jefferies (NYSE:JEF) reiterated a “buy” rating on Biogen Idec Inc. (BIIB).

Morgan Keegan reiterated an “outperform” rating on The Cooper Companies, Inc. (COO).

Oppenheimer reiterated an “outperform” rating on Cisco Systems, Inc. (CSCO).

Duncan Williams reiterated a “buy” rating on Exactech, Inc. (EXAC).

Ex-Dividend for Barrick (ABX) (ACI) (AEM) (CMP) (ZEUS) is May 27

The ex-dividend date for Barrick Gold Corporation (NYSE:ABX), Arch Coal Inc. (NYSE:ACI), Agnico-Eagle Mines (NYSE:AEM), Compass Minerals International Inc. (NYSE:CMP) and Olympic Steel (NASDAQ:ZEUS) is May 27.

Barrick Gold Corporation (ABX) pays a dividend of $0.12 with a yield of 1.06 percent.

Arch Coal Inc. (NYSE:ACI) pays a dividend of $0.11 with a yield of 1.50 percent.

Agnico-Eagle Mines (NYSE:AEM) pays a dividend of $0.16 with a yield of 1.02 percent.

Compass Minerals International Inc. (NYSE:CMP) pays a dividend of $0.45 with a yield of 1.93 percent.

Olympic Steel (NASDAQ:ZEUS) pays a dividend of $0.02 with a yield of 0.27 percent.

Goldman's (NYSE:GS) Coal Favorites are Peabody (NYSE:BTU), Consol (NYSE:CNX)

Goldman Sachs (NYSE:GS) lowered its overall rating on the coal sector to "Neutral," saying their favorite in the segment is Peabody Energy (NYSE:BTU), which they retain a "Buy" on, and Consol Energy (NYSE:CNX), which also kept their "Buy" rating from Goldman on them.

In their report, Goldman said, "We see 13 percent upside to our target prices and believe a neutral coverage view is more appropriate."

Alpha Natural Resources (NYSE:ANR) had its rating slashed to "Neutral" by Goldman, while Massey Energy (NYSE:MEE), Arch Coal (NYSE:ACI) and Walter Industries (NYSE:WLT) all had "Neutral" ratings maintained on them.

The latter three were kept "Neutral," according to Goldman, until individual issues related to each company become clearer.

Goldman's preference for Peabody was based on its "organic growth options," and Console because of its "attractive low-cost asset mix and upcoming catalysts," according to the report.

The benchmark metallurgical coal estimate for 2012 was increased to $193 a metric done by Goldman, up from the prior projection of $175.

FBR Capital Maintains "Outperform/Top Pick" on Arch Coal (NYSE:ACI)

After taking part in the analyst day for Arch Coal (NYSE:ACI), FBR Capital liked what they heard and said they're maintaining their "Outperform/Top Pick" rating on the company.

FBR said, "We attended the Arch Coal analyst day and came away with conviction in our thesis that Arch Coal is in position for significant stock price appreciation and an FBR Top Pick. The company has been transformed over a long time to a low-cost, safe steam and met coal mining company. While the stock has not been rewarded for its underutilized capacity and short-term contracting strategy yet, we believe the company is on the cusp of generating solid rates of return above its cost of capital."

Arch closed Monday at $25.94, down $0.30, or 1.14 percent.

FBR has a price target of $37 on Arch Coal.

Arch Coal (NYSE:ACI) Still Waiting for EPA Decision on Spruce No. 1 Mine

The expected recommendation to the EPA by its Region 3 administrator was received concerning the Spruce No. 1 Mine of Arch Coal (NYSE:ACI), but the agency refused to disclose what it was, according to a spokeswoman, saying it'll be some time before a final decision is made.

At issue is whether to allow Arch to proceed with their mountaintop-removal coal mining operation at the site, which will be the largest in the region.

Now the recommendation will be sent to the EPA's Office of Water to be reviewed. The EPA said a decision on the matter will be made this fall.

The mine, located in Logan County, West Virginia, is the first in the history of the EPA to be put on hold after a permit was issued by the Corp of Engineers to go forward with a project like this.

The EPA is empowered to veto the permits if they choose.

Massey (NYSE:MEE), Arch Coal (NYSE:ACI) Upgraded by HSBC (NYSE:HBC)

HSBC (NYSE:HBC) evidently believes the coal industry is beaten down, and upgraded Massey Energy Co. (NYSE:MEE) and Arch Coal (NYSE:ACI) Wednesday.

They upgraded Massey Energy from "Neutral" to "Overweight." The coal mining company has lost 47 percent of its share price since the explosion at the West Virginia mine.

Arch Coal also had a rating upgrade from “Neutral” to “Overweight” by HSBC, with a price target of $30 a share on the company.

Arch Coal closed at $23.99 Wednesday, gaining $1.49, or 6.65 percent a share. Massey ended the session at $30.77, an increase of $2.01, or 6.99 percent.

Coal Producers Peabody Energy (NYSE:BTU), Massey (NYSE:MEE), Alpha (NYSE:ANR), Consol (NYSE:CNX), Plunge on Recession Concerns

Coal firms Peabody Energy (NYSE:BTU), Alpha Natural Resources Inc. (NYSE:ANR), Massey Energy Co. (NYSE:MEE) and Consol Energy Inc. (NYSE:CNX) all plummeted in Wednesday's trading, as economic data continue to confirm we remain in a recession, with little hope of exiting it anytime soon.

Consol Energy could come under even more pressure, not only because of their coal exposure, but their natural gas exposure, which would be under pressure because of enormous supply, whether there was a recession or not.

With stimulus money leaving the economy, its naked state has again been exposed, and it is as weak as ever, putting pressure on providers of energy and raw materials.

Following on the footsteps of the horrid figures for house sales yesterday, new data showed the sales of new homes also plunged, down 12 percent, from June. That would put sales at the lowest level since statistics have been kept - 276,000 annually.

There is no doubt the slowdown will continue, and companies and investors should respond to that accordingly.

After all, if about $1 trillion in stimulus can do absolutely nothing to change the economy, adding another $1 trillion won't either, and it would be foolish and criminal to place that over the heads of the American people, as some are calling for the Federal Reserve and government to do.

While Arch Coal (NYSE:ACI) also fell in price, and exception was Patriot coal (NYSE:PCX), who managed to end Wednesday's trading session at $10.60, gaining $0.21, or 2.02 percent.

The only news there was Patriot's president and chief operating officer, Paul H. Vining, was stepping down.

Arch Coal (NYSE:ACI) Sales Up 40 Percent, Surpasses Expectations

Arch Coal (NYSE:ACI) is the latest of the commodity companies to report great results for the second quarter, as they turned things around from a loss last year to solid earnings in the second quarter.

The company was led by a 40 percent surge in sales, and said they expect that to continue on for the remainder of the year. They also raised their earnings guidance on the lower end by 10 cents.

Earnings for the second quarter came in at $66.2 million, or 41 cents a share. Last year Arch lost $15.1 million, or 11 cents a share, as sales went in the other direction, dropping 20 percent.

Revenue for the quarter increased to $764.3 million, against last year's $554.6 million. Analysts had been looking for revenue of $765.4 million, and earnings of 25 cents a share.

Full-year earnings guidance was from $1.10 a share, an increase of 10 cents over the $1 a share estimate from April, to $1.40 a share, excluding charges.

Production guidance remains the same, with estimates of 147 million to 155 million tons for the year. That doesn't include coal which will be acquired from third parties.

Alpha Natural Resources (NYSE:ANR) Upgraded by Dahlman Rose

Alpha Natural Resources (NYSE:ANR) was upgraded by Dahlman Rose today from "Hold" to Buy," along with competitor Arch Coal, Inc. (NYSE:ACI).

Yesterday FBR Capital Markets maintained its outperform rating on Arch as well.

Although some say it's from a potential rebound in coal demand, which is probably part of it, the companies above are also noted for strong safety records and safety measures, which gives them a much higher degree of predictability than others in the industry, or at least that's how they're increasingly being perceived by investors.

Adding the two elements together gives them a strong competitive advantage if they can continue on as they are, along with producing a lot of coal to meet the growing demand, assuming that the coal demand is sustainable.

Arch Coal (NYSE:ACI) 'Outperform' Rating Maintained

After spending time with Arch Coal (NYSE:ACI) executives while traveling with them, FBR Capital Markets said it is maintaining its 'outperform' rating on the coming, as well as their $39 price target.

FBR said, "(We) came away with our view reinforced that the company is well positioned in the more stable U.S. domestic market and can capitalize on the growing international market... Arch Coal is benefiting from rising met coal demand and expects to sell up to 7 MTs this year and over 8 MTs in 2011. Management expects to export about 5.5 MTs in 2010... Arch Coal will generate, approximately, $1,280 million of free cash flow through 2012. Management stated it will repay debt, buy back stock, develop its reserves, and look for acquisitions; the highest return will capture future capital."

Another factor in the decision is the safety measures implemented by Arch Coal which has highly reduced accidents.

FBR added, "With the UBB and other mining disasters known, investors were laser focused on Arch Coal's strong safety culture and what new underground rules were likely to be implemented. Arch's management has installed a behavior-based safety system that pushes decision making down to all levels and has resulted in a 50% decline in lost-time incidents."

Arch Coal (NYSE:ACI) Production Resumes at Dugout Canyon Mine

Subsidiary of Arch Coal (NYSE:ACI), Canyon Fuel, said its Dugout Canyon Mine in Utah has brought its coal production back online after shutting it down temporarily because of concerns over elevated levels of carbon monoxide, which was detected in the latter part of April.

The mined out area in question was permanently sealed, according to a press release from the company, which was the source of the high levels of carbon monoxide at the mine.

The mine produces low-sulfur bituminous coal, and in the first quarter generated about 200,000 tons, accounting for about 2 percent of bituminous coal for the company

Bituminous coal is cleaner burning than its counterpart.

Arch Coal (NYSE:ACI) Opening Montana Office

Arch Coal (NYSE:ACI) recently announced they'll opening an office in Billings, Montana, as they prepare to work the Otter Creek tracts in the state they recently won the bid for with an $85.8 million offer.

The state of Montana released the rights to Arch Coal to mine the tracts, which comprise 8,300 acres.

Estimates are the company now controls approximately 1.5 billion tons of coal in the Otter Creek area.

William "Mike" Rowlands, who will oversee the development as he was named director of the project, said this, "We are looking forward to building a world-class mining operation in Montana that reflects Arch's core values of excellence in safety and environmental stewardship."

Rowlands will reportedly work with the area communities, railroads and government agencies as the major face of Arch Coal in Montana.

Duke Energy (NYSE:DUK) Says Coal Prices will Rise

Duke Energy (NYSE:DUK) said the price of coal will rise over the next 12 months, citing the accident involving Massey Energy’s (NYSE:MEE) Upper Big Branch coal mine as one of the major factors in the increase in coal prices since the middle of April of 10 percent.

Actions from the Environmental Protection Agency are also the culprit in increasing coal prices, as they are demanding stricter regulations for mine water permits, and have proposed revoking a mining permit of Arch Coal (NYSE:ACI) as well, pushing prices higher.

It seems the government may be doing some of this deliberately in order to push its own energy agenda, which will cost far higher than the price of coal and other energy, but can't compete unless existing energy resources move up in price.

Consequently coal prices are expected to continue rising into 2012.

Patriot Coal (NYSE:PCX), Massey Energy (NYSE:MEE), Alpha Natural Resources (NYSE:ANR), Peabody Energy (NYSE:BTU), Arch Coal (NYSE:ACI), Consol Energy (NYSE:CNX)- All Down

Coal companies took a big hit, as major coal companies like Patriot Coal (NYSE:PCX), Massey Energy (NYSE:MEE), Alpha Natural Resources (NYSE:ANR), Peabody Energy (NYSE:BTU), Arch Coal (NYSE:ACI), Consol Energy (NYSE:CNX) were all down on concerns over the European sovereign debt crisis.

With the risk of contagion very real, many think the sovereign debt debacle in Europe could bring the economy back into a deep recession, which is debatable as to whether or not it has really ever left.

Coal is a bellwhether of the economy, and so usually how coal goes, so the economy is also going, and the market shows there is a growing concern over whether or not the global economy can take a hit as big as it looks like it will with the countries in Europe.

Arch Coal (NYSE:ACI) Shuts Down Utah Mine

Arch Coal (NYSE:ACI) received a closure order from the Federal Mine Safety and Health Administration (MSHA) to shut down the Dugout Canyon mine in Utah on Sunday, after last Thursday night elevated levels of carbon monoxide gas, or what is called a "hot spot," were discovered.

At this time efforts are being made to prepare to flood the area in order to extinguish the hot spot after a mine rescue team wasn't able to do it after being sent to the area.

Since the closure order carbon monoxide is leveled off and methane levels remain low.

Normally it takes about a month to seal off a hot spot and extinguish it.

The closure won't affect Arch Coal customers as they'll provide coal to meet their contracts from their inventory.

Arch coal subsidiary Canyon Fuels operates the mine.