Yancoal's Thermal Coal And CFO Imply Higher Valuations

Summary

  • Yancoal presents itself as a low-cost coal producer in the global seaborne market, producing a mix of thermal, semi-soft coking, and PCI coals for export.
  • In the last nine months, the change in the average realized price increased by close to 211%. In my view, further price increases will most likely bring significant revenue growth.
  • Considering the recent drastic reduction in net debt and the company’s expertise in the M&A markets, I would be expecting that investors may enjoy new acquisitions.

Hand with bag with Dollar banknotes and hand with coal stone. Mining industry concept with dollars and coal

Sergei Chuyko

Yancoal Australia Ltd (OTCPK:YACAF) recently delivered an impressive increase in the price of thermal coal and a triple-digit increase in cash flow from operations. Management noted that it is expecting further increase in thermal coal in 2023. Besides, with

Source: Quarterly Presentation

Source: Quarterly Presentation

Source: Quarterly Presentation

Source: Quarterly Presentation

Source: Half-Year Financial Report

Source: Half-Year Financial Report

Source: Other Market Analysts

Source: Other Market Analysts

Source: Half-Year Financial Report

Source: Half-Year Financial Report

Source: Half-Year Financial Report

Source: Half-Year Financial Report

Source: Half-Year Financial Report

Source: Half-Year Financial Report

Source: Malak's DCF Model

Source: Malak's DCF Model

Source: Malak's DCF Model

Source: Malak's DCF Model

Source: Malak's DCF Model

Source: Malak's DCF Model

Source: Malak's DCF Model

Source: Malak's DCF Model

This article was written by

I am an ex-trader. Used to work for a large investment bank, I do growth stocks, and I live out of my investments.

Disclosure: I/we have a beneficial long position in the shares of YACAF either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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