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Alliance Resource Partners, L.P. (ARLP) Outpaces Stock Market Gains: What You Should Know

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Alliance Resource Partners, L.P. (ARLP - Free Report) closed at $16.68 in the latest trading session, marking a +1.58% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.03%. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, lost 0.04%.

Coming into today, shares of the company had gained 11.78% in the past month. In that same time, the Oils-Energy sector gained 1.75%, while the S&P 500 gained 2.25%.

ARLP will be looking to display strength as it nears its next earnings release. On that day, ARLP is projected to report earnings of $0.52 per share, which would represent a year-over-year decline of 5.45%. Our most recent consensus estimate is calling for quarterly revenue of $517.12 million, up 3.89% from the year-ago period.

ARLP's full-year Zacks Consensus Estimates are calling for earnings of $3.60 per share and revenue of $2.08 billion. These results would represent year-over-year changes of +47.54% and +3.68%, respectively.

Investors should also note any recent changes to analyst estimates for ARLP. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.2% lower. ARLP currently has a Zacks Rank of #5 (Strong Sell).

Investors should also note ARLP's current valuation metrics, including its Forward P/E ratio of 4.57. For comparison, its industry has an average Forward P/E of 7.32, which means ARLP is trading at a discount to the group.

The Coal industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 229, which puts it in the bottom 11% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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