2239 GMT - A significantly improved outlook for metallurgical coal prices doesn't persuade UBS to drop its sell call on Whitehaven Coal. Analyst Lachlan Shaw notes the price of benchmark Premium-Low Vol Hard Coking Coal has risen 17% since the start of December. That reflects weather-related disruptions in Australia's Queensland state and strong buying interest. "However, Whitehaven Coal is up 25% over the same timeframe," UBS says. It says Whitehaven's valuation appears stretched. One reason is that Whitehaven could be affected by more disruptions due to bad weather over the next 2-3 months. Also, metallurgical coal accounts for around 60% of Whitehaven's revenue. The remainder comes from thermal coal, which has a more subdued price outlook, UBS says. Its price target lifts 18% to A$8.45/share. Whitehaven ended Monday at A$8.80. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
January 19, 2026 17:39 ET (22:39 GMT)
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