Hallador Energy (HNRG) Gained Over 5% This Week. Here is Why.

The share price of Hallador Energy Company (NASDAQ:HNRG) surged by 5.04% between May 14 and May 21, 2025, putting it among the Energy Stocks that Gained the Most This Week. Let’s shed some light on the development.

A continuous supply of coal streaming out of the entrance of the underground mine.

With its roots in oil and gas exploration, Hallador Energy Company (NASDAQ:HNRG) has evolved to concentrate on coal development and transportation delivery.

Hallador Energy Company (NASDAQ:HNRG) received a boost this week after Northland Capital Markets began coverage of the stock, assigning the stock an Outperform rating and setting a price target of $23. Northland analyst Jeff Grampp highlighted Hallador’s status as a vertically integrated independent power producer, noting its acquisition of a 1 GW power plant in 2022. He also believes that a significant growth driver for the company could be its ongoing negotiations to secure a long-term contract with a data center for the majority of its capacity. Moreover, Hallador’s low-priced legacy power contracts are set to expire in 2025, which the analyst expects will provide a boost to the company’s financial performance starting next year.

It is also worth mentioning that Hallador Energy Company (NASDAQ:HNRG) posted better-than-expected results for its Q1 2025 last month. The company’s EPS of $0.23 beat estimates by a significant $0.39, while its revenue also surged by 7.4% YoY to $117.8 million, topping expectations by over $19 million.

While we acknowledge the potential of HNRG to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than HNRG but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

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Disclosure: None.