11 Best Coal Stocks to Buy According to Hedge Funds

9. Natural Resource Partners L.P. (NYSE:NRP)

Number of Hedge Fund Holders: 8

Natural Resource Partners L.P. (NYSE:NRP) is included in our list of the 11 Best Coal Stocks to Buy According to Hedge Funds.

Resilience in the face of one of the most challenging commodity market conditions in recent memory was highlighted in Natural Resource Partners L.P. (NYSE:NRP)’s Q2 2025 earnings, released on August 6, 2025.

Despite lower prices for thermal and metallurgical coal, the partnership reported $34 million in net income and $46 million in free cash flow, bolstered by $40 million in mineral rights revenues. With only $3 million in net income, the soda ash segment remained under pressure due to global oversupply and weak demand.

Nevertheless, Natural Resource Partners L.P. (NYSE:NRP) emphasized stability by sticking to its quarterly dividend of $0.75 per common unit. To position the company to significantly increase distributions in August next year, management reiterated its deleveraging strategy and projected that nearly all debt could be paid off by mid-2026. Given the cyclical lows in the coal and soda ash markets, NRP’s capacity to produce steady cash flow highlights the advantages of its royalty-based structure and cost control.

Using coal, soda ash, trona, aggregates, and associated infrastructure, Natural Resource Partners L.P. (NYSE:NRP) generates royalties from the ownership and leasing of mineral resources in the United States. It is one of the Best Coal Stocks.