I love StockTwits on the weekends. The pace is a bit slower, everybody has a time to digest the market and share ideas, and you have time to mine through the StockTwits ecosystem looking for ideas. This weekend I stumbled across an interesting one, James River Coal Co. $JRCC
On Tuesday, @OptionRadar picked up on some really bullish activity on $JRCC options:
@paulwoll, a GREAT StockTwits newcomer mentioned picking it up as a play on $MEE’s earnings yesterday:
@GlobalAlpha noticed that it was running yesterday into the close along with another coal name, $ANR:
@gbroyde points out that it’s chart has been lagging $PCX and $BTU (which have been flying):
Which is interesting because if you check this ycharts chart comparing the 3 companies EPS, you see that $JRCC historically lags the 2:
@stevenplace was asked about this stock on StockTwits Brunch today and Steven mentioned that it could break out of it’s 3 month base and suggested a covered call.
You can see this at minute 57:45 below
Every trade has another side and I would present the other side of this, courtesy of @thestockjock
So if, $JRCC doesn’t break out of its base it could be good for a nice short on the downside.
The cheapest coal name by far in the space is CONSOL ENERGY, ticker CNX. They are the best positioned as well with coal business and the own a coal export facility in Baltimore that is exporting 15 million tons of coal to the Pacific Rim. They report earnings this week and I bet are going to crush it.
The cheapest coal name by far in the space is CONSOL ENERGY, ticker CNX. They are the best positioned as well with coal business and the own a coal export facility in Baltimore that is exporting 15 million tons of coal to the Pacific Rim. They report earnings this week and I bet are going to crush it.