With nearly 100% upside to our price target we believe that Continental Coal currently offers significant value, especially given our view that higher Chinese imports over the summer are likely to lead to resilient thermal coal prices. We believe that the current share price is a very good opportunity to gain leverage to a growing thermal coal producer.
We maintain our price target at A?10 and reiterate our Buy rating as we believe the stock looks undervalued after recent weakness.
CCC Price at posting:
52.0¢ Sentiment: Buy Disclosure: Held