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AREC vs HCC
Revenue, margins, valuation, and 5-year total return — side by side.
Coal
AREC vs HCC — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Coal | Coal |
| Market Cap | $230M | $4.63B |
| Revenue (TTM) | $145K | $1.47B |
| Net Income (TTM) | $-38M | $138M |
| Gross Margin | 96.6% | 38.2% |
| Operating Margin | -203.0% | 9.7% |
| Forward P/E | — | 11.4x |
| Total Debt | $221M | $271M |
| Cash & Equiv. | $604K | $300M |
AREC vs HCC — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| American Resources … (AREC) | 100 | 212.1 | +112.1% |
| Warrior Met Coal, I… (HCC) | 100 | 623.4 | +523.4% |
Price return only. Dividends and distributions are not included.
Quick Verdict: AREC vs HCC
Each card shows where this stock fits in a portfolio — not just who wins on paper.
AREC is the clearest fit if your priority is income & stability.
- Dividend streak 3 yrs, beta 2.48, yield 0.8%
- 0.8% yield, 3-year raise streak, vs HCC's 0.4%
- +165.2% vs HCC's +92.2%
HCC carries the broadest edge in this set and is the clearest fit for growth exposure and long-term compounding.
- Rev growth -14.1%, EPS growth -77.5%, 3Y rev CAGR -9.0%
- 12.0% 10Y total return vs AREC's 127.0%
- Lower volatility, beta 0.57, Low D/E 12.7%, current ratio 3.19x
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | -14.1% revenue growth vs AREC's -97.1% | |
| Quality / Margins | 9.4% margin vs AREC's -262.0% | |
| Stability / Safety | Beta 0.57 vs AREC's 2.48 | |
| Dividends | 0.8% yield, 3-year raise streak, vs HCC's 0.4% | |
| Momentum (1Y) | +165.2% vs HCC's +92.2% | |
| Efficiency (ROA) | 5.0% ROA vs AREC's -18.8%, ROIC 1.8% vs -35.8% |
AREC vs HCC — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
AREC vs HCC — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
HCC leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
HCC is the larger business by revenue, generating $1.5B annually — 10132.1x AREC's $145,025. HCC is the more profitable business, keeping 9.4% of every revenue dollar as net income compared to AREC's -262.0%. On growth, HCC holds the edge at +53.8% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $145,025 | $1.5B |
| EBITDAEarnings before interest/tax | -$24M | $289M |
| Net IncomeAfter-tax profit | -$38M | $138M |
| Free Cash FlowCash after capex | -$7M | -$135M |
| Gross MarginGross profit ÷ Revenue | +96.6% | +38.2% |
| Operating MarginEBIT ÷ Revenue | -203.0% | +9.7% |
| Net MarginNet income ÷ Revenue | -262.0% | +9.4% |
| FCF MarginFCF ÷ Revenue | -48.0% | -9.2% |
| Rev. Growth (YoY)Latest quarter vs prior year | -78.7% | +53.8% |
| EPS Growth (YoY)Latest quarter vs prior year | +56.5% | +9.6% |
Valuation Metrics
Evenly matched — AREC and HCC each lead in 1 of 2 comparable metrics.
Valuation Metrics
| Metric | ||
|---|---|---|
| Market CapShares × price | $230M | $4.6B |
| Enterprise ValueMkt cap + debt − cash | $450M | $4.6B |
| Trailing P/EPrice ÷ TTM EPS | -4.37x | 81.27x |
| Forward P/EPrice ÷ next-FY EPS est. | — | 11.40x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | — | 19.52x |
| Price / SalesMarket cap ÷ Revenue | 600.58x | 3.54x |
| Price / BookPrice ÷ Book value/share | — | 2.16x |
| Price / FCFMarket cap ÷ FCF | — | — |
Profitability & Efficiency
HCC leads this category, winning 6 of 7 comparable metrics.
Profitability & Efficiency
On the Piotroski fundamental quality scale (0–9), HCC scores 3/9 vs AREC's 2/9, reflecting mixed financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | — | +6.4% |
| ROA (TTM)Return on assets | -18.8% | +5.0% |
| ROICReturn on invested capital | -35.8% | +1.8% |
| ROCEReturn on capital employed | -61.3% | +1.8% |
| Piotroski ScoreFundamental quality 0–9 | 2 | 3 |
| Debt / EquityFinancial leverage | — | 0.13x |
| Net DebtTotal debt minus cash | $220M | -$29M |
| Cash & Equiv.Liquid assets | $604,485 | $300M |
| Total DebtShort + long-term debt | $221M | $271M |
| Interest CoverageEBIT ÷ Interest expense | -2.41x | 14.30x |
Total Returns (Dividends Reinvested)
HCC leads this category, winning 5 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in HCC five years ago would be worth $56,921 today (with dividends reinvested), compared to $7,467 for AREC. Over the past 12 months, AREC leads with a +165.2% total return vs HCC's +92.2%. The 3-year compound annual growth rate (CAGR) favors HCC at 32.4% vs AREC's 14.6% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -16.5% | -1.8% |
| 1-Year ReturnPast 12 months | +165.2% | +92.2% |
| 3-Year ReturnCumulative with dividends | +50.3% | +132.2% |
| 5-Year ReturnCumulative with dividends | -25.3% | +469.2% |
| 10-Year ReturnCumulative with dividends | +127.0% | +1201.9% |
| CAGR (3Y)Annualised 3-year return | +14.6% | +32.4% |
Risk & Volatility
HCC leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
HCC is the less volatile stock with a 0.57 beta — it tends to amplify market swings less than AREC's 2.48 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. HCC currently trades 83.3% from its 52-week high vs AREC's 31.9% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 2.48x | 0.57x |
| 52-Week HighHighest price in past year | $7.11 | $105.34 |
| 52-Week LowLowest price in past year | $0.61 | $40.80 |
| % of 52W HighCurrent price vs 52-week peak | +31.9% | +83.3% |
| RSI (14)Momentum oscillator 0–100 | 51.2 | 48.6 |
| Avg Volume (50D)Average daily shares traded | 2.5M | 848K |
Analyst Outlook
AREC leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates AREC as "Buy" and HCC as "Hold". Consensus price targets imply 208.4% upside for AREC (target: $7) vs 28.2% for HCC (target: $113). For income investors, AREC offers the higher dividend yield at 0.78% vs HCC's 0.39%.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $7.00 | $112.50 |
| # AnalystsCovering analysts | 7 | 24 |
| Dividend YieldAnnual dividend ÷ price | +0.8% | +0.4% |
| Dividend StreakConsecutive years of raises | 3 | 0 |
| Dividend / ShareAnnual DPS | $0.02 | $0.34 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +0.2% |
HCC leads in 4 of 6 categories (Income & Cash Flow, Profitability & Efficiency). AREC leads in 1 (Analyst Outlook). 1 tied.
AREC vs HCC: Frequently Asked Questions
9 questions · data-driven answers · updated daily
01Is AREC or HCC a better buy right now?
For growth investors, Warrior Met Coal, Inc.
(HCC) is the stronger pick with -14. 1% revenue growth year-over-year, versus -97. 1% for American Resources Corporation (AREC). Warrior Met Coal, Inc. (HCC) offers the better valuation at 81. 3x trailing P/E (11. 4x forward), making it the more compelling value choice. Analysts rate American Resources Corporation (AREC) a "Buy" — based on 7 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which is the better long-term investment — AREC or HCC?
Over the past 5 years, Warrior Met Coal, Inc.
(HCC) delivered a total return of +469. 2%, compared to -25. 3% for American Resources Corporation (AREC). Over 10 years, the gap is even starker: HCC returned +1202% versus AREC's +127. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
03Which is safer — AREC or HCC?
By beta (market sensitivity over 5 years), Warrior Met Coal, Inc.
(HCC) is the lower-risk stock at 0. 57β versus American Resources Corporation's 2. 48β — meaning AREC is approximately 333% more volatile than HCC relative to the S&P 500.
04Which is growing faster — AREC or HCC?
By revenue growth (latest reported year), Warrior Met Coal, Inc.
(HCC) is pulling ahead at -14. 1% versus -97. 1% for American Resources Corporation (AREC). On earnings-per-share growth, the picture is similar: Warrior Met Coal, Inc. grew EPS -77. 5% year-over-year, compared to -246. 7% for American Resources Corporation. Over a 3-year CAGR, HCC leads at -9. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
05Which has better profit margins — AREC or HCC?
Warrior Met Coal, Inc.
(HCC) is the more profitable company, earning 4. 4% net margin versus -104. 7% for American Resources Corporation — meaning it keeps 4. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: HCC leads at 3. 5% versus -86. 3% for AREC. At the gross margin level — before operating expenses — HCC leads at 8. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Is AREC or HCC more undervalued right now?
Analyst consensus price targets imply the most upside for AREC: 208.
4% to $7. 00.
07Which pays a better dividend — AREC or HCC?
All stocks in this comparison pay dividends.
American Resources Corporation (AREC) offers the highest yield at 0. 8%, versus 0. 4% for Warrior Met Coal, Inc. (HCC).
08Is AREC or HCC better for a retirement portfolio?
For long-horizon retirement investors, Warrior Met Coal, Inc.
(HCC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 57), +1202% 10Y return). American Resources Corporation (AREC) carries a higher beta of 2. 48 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (HCC: +1202%, AREC: +127. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
09What are the main differences between AREC and HCC?
Both stocks operate in the Energy sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
AREC pays a dividend while HCC does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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