SunCoke Energy Inc . (NYSE:SXC) stock has reached a new 52-week high, touching $12.81 amidst a robust trading session. This milestone reflects a significant uptrend for the company, which has seen an impressive 1-year change of 41.48%. Investors have shown increased confidence in SunCoke Energy's market position and growth prospects, propelling the stock to this new height. The company's performance over the past year indicates a strong recovery and a positive outlook, which has been well-received by the market, leading to this noteworthy 52-week high achievement.
In other recent news, SunCoke Energy has unveiled its third-quarter results for 2024, which spotlight a promising upgrade in the full-year consolidated adjusted EBITDA guidance to between $260 million and $270 million. This favorable adjustment is primarily linked to an impressive logistics performance and a one-time gain from a regulatory exemption related to federal black lung liabilities. Despite hurdles in the Domestic Coke segment, the company recorded robust results, with a net income of $0.36 per share, marking an increase from the previous year.
Furthermore, SunCoke Energy has extended its Granite City coke supply agreement with U.S. Steel and has inked a three-year coal handling agreement at the KRT Logistics facility, which encompasses a $12 million expansion project. This comes in the wake of an agreement with the U.S. Department of Labor that has eliminated the majority of SunCoke's accrued black lung liabilities, resulting in a $9.5 million pre-tax gain.
However, the company did face some setbacks, with the Domestic Coke segment performance impacted negatively by lower coal-to-coke yields on long-term contracts. This led to a downward revision of the full-year domestic coke adjusted EBITDA guidance due to these lower yields and adverse weather impacts. Despite these challenges, SunCoke Energy remains dedicated to fully utilizing its cokemaking assets and continues to work on the GPI project.
InvestingPro Insights
SunCoke Energy Inc.'s (SXC) recent achievement of a new 52-week high is further supported by InvestingPro data and insights. The stock's strong performance is reflected in its impressive returns, with a 50.8% price total return over the past month and a 48.17% return over the last three months. This aligns with the InvestingPro Tip that SXC is "trading near 52-week high" and has shown "strong return over the last month."
The company's financial health appears solid, with a P/E ratio of 12.66, suggesting a relatively attractive valuation compared to its earnings. This is complemented by an InvestingPro Tip indicating that SXC is "trading at a low P/E ratio relative to near-term earnings growth," which could explain the increased investor confidence driving the stock's upward trajectory.
Additionally, SunCoke Energy offers a dividend yield of 3.8%, with a notable 20% dividend growth in the last twelve months. This is consistent with the InvestingPro Tip that the company "has raised its dividend for 3 consecutive years," potentially contributing to its appeal for income-focused investors.
For readers interested in a more comprehensive analysis, InvestingPro offers 11 additional tips for SunCoke Energy, providing a deeper understanding of the company's financial position and market outlook.
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