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Bull of the Day: CONSOL Energy, Inc. (CEIX)

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The Zacks Coal Industry has been scorching hot in 2022, up more than a triple-digit 110% and crushing the S&P 500’s performance.

Zacks Investment Research
Image Source: Zacks Investment Research

Further, the Industry is currently ranked in the top 14% of all Zacks Industries (36 out of 250).

Studies have shown that 50% of a stock's price movement can be attributed to the group it’s in, making it crucial to ensure that investors target stocks in a thriving industry.

In fact, the top 50% of Zacks Ranked Industries outperform the bottom 50% by a factor of more than two to one.

A company residing in the realm that’s witnessed positive earnings estimate revisions over the last several months is CONSOL Energy (CEIX - Free Report) .

Zacks Investment Research
Image Source: Zacks Investment Research

CONSOL Energy is a publicly owned producer and exporter of high-BTU bituminous thermal coal and is one of the leading energy companies in the United States.

Let’s take a closer look at how the company currently stands.

Share Performance & Valuation

Year-to-date, CEIX shares have been unbelievably strong, up more than 230% and leaving the S&P 500’s performance in the dust.

Zacks Investment Research
Image Source: Zacks Investment Research

Over the last month, CEIX shares have continued on their market-beating trajectory, up nearly 20%.

Zacks Investment Research
Image Source: Zacks Investment Research

Clearly, bulls have had complete control of this stock in 2022.

Currently, shares trade at a 1.4X forward price-to-sales ratio, above the 0.6X five-year margin and its Zacks Coal Industry average of 0.8X.

Zacks Investment Research
Image Source: Zacks Investment Research

CEIX carries a Value Style Score of “B.”

Growth Outlook

It’s hard to ignore CEIX’s growth profile, further bolstered by its Style Score of “A” for Growth.

The Zacks Consensus EPS Estimate of $11.05 for its current fiscal year (FY22) suggests a Y/Y improvement of more than 430%. And in FY23, estimates suggest a further 150% of bottom-line growth.

The earnings growth comes on top of forecasted Y/Y revenue upticks of 57% in FY22 and 35% in FY23.

Dividends

Let’s face it – we all love to get paid.

Fortunately for those with an appetite for income, CEIX’s 5.4% annual dividend yield provides precisely that. As we can see in the chart below, the current annual yield is well above its Zacks Industry average.

Zacks Investment Research
Image Source: Zacks Investment Research

Bottom Line

One of the best ways investors can find expected winners is by utilizing the Zacks Rank – one of the most potent market tools out there that gives investors a massive advantage.

The top 5% of all stocks receive the highly coveted Zacks Rank #1 (Strong Buy). These stocks should outperform the market more than any other rank.

CONSOL Energy (CEIX - Free Report) would be an excellent stock for investors to keep on their watchlists, as displayed by its Zack Rank #1 (Strong Buy).


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