Ryan Perlowin
Long/short equity, growth, tech, eCommerce

Westmoreland Coal Company Offers Unique 'Mine-To-Mouth' Value

In an industry decimated by shrinking demand, huge inventories, increased competition, and new environmental regulations, one company has managed to differentiate itself enough to stand at the front of the pack. Westmoreland Coal Company (NASDAQ:WLB) stands in the shadows of the coal behemoths in terms of market capitalization ($162mm), but the company's unique "mine-to-mouth" niche makes them the industry's most attractive investment going forward.

The Westmoreland Niche; Hidden Value

In 2012 WLB derived 75% of its revenues from mine-to-mouth coal production, which is defined as coal that is mined for distribution under long-term contracts to neighboring power plants. WLB has carved out a low-cost, high-efficiency niche for its customer base by strategically partnering with customers based on locality...

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