$17.94 -0.83 (-4.42%)
12/3/2009 4:00 PM

James River Coal Company (JRCC)

CAPS Rating: 2 out of 5

The Company mines, processes and sells bituminous, steam- and industrial-grade coal through five operating complexes located throughout eastern Kentucky and one in southern Indiana.

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Member Avatar socalsy (95.00) Submitted: 8/16/2008 7:29:28 PM : Underperform Start Price: $37.17 JRCC Score: +35.87

As a general rule, when your company loses money year after year, your stock price will suffer. Consider the following:
Current Assets = $77MM. Current Liabilities = $83MM (OUCH)
Long term debt = $166.24MM (OUCH)
Net losses for the past 5 quarters (at least) and the losses keep increasing (quintuple OUCH).

Why did this stock spike recently? Speculative bubble is my guess. People wanted to put their $ into energy stocks and commodities. It's hard to put a valuation on a cash sieve.

In the meantime, senior executives get richly rewarded. This company would be a textbook case of an anti-Buffett stock.

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Member Avatar griderX (99.07) Submitted: 8/26/2008 4:26:16 PM
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This bloated company needs to come back to earth!We need at least a 50-70% haircut from these levels. Analyst were DEAD wrong this last quater by a whopping -233%! My guess is that their estimates for the next year are worthless as well! This is a poorly managed company only making the execs rich on a bloated stock price and options!

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