Duke Energy Corp (DUK), Caterpillar Inc. (CAT), Joy Global Inc. (JOY): Utilities Are Using More Coal

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Coal made up about 17% of Norfolk Southern Corp. (NYSE:NSC)’s revenues in the second quarter and 19% at Union Pacific Corporation (NYSE:UNP). Moving coal is a big business for both companies. Although the trends in metallurgical and export coal aren’t exactly positive, U.S. thermal coal could add to the top and bottom lines of both of these haulers in 2014. Furthermore, 2015 could see the benefit of the other coal markets, most notably metallurgical coal, starting to turn higher as well.

Don’t look now, but…

While coal’s image is forever tarred by its relatively dirty profile, that doesn’t mean that the cheap and plentiful fuel source is dead. The market for U.S. thermal coal is rebalancing, and now could be the right time for you to take a deeper dive into names like Alliance Resource Partners, L.P. (NASDAQ:ARLP) and Cloud Peak Energy Inc. (NYSE:CLD).

The article 3 More Reasons To Like U.S. Thermal Coal originally appeared on Fool.com and is written by Reuben Brewer.

Reuben Brewer has no position in any stocks mentioned. The Motley Fool recommends Alliance Resource Partners, L.P.

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