Liberum announces a downgrade on Miner Glencore (GLEN.L), moving its rating from HOLD to SELL and citing concerns over coal production.
Liberum says it is “going cold on coal”. With Analysts Ben Davis and Richard Knights Commenting “Despite Glencore’s estimated deficit of 50m tonnes in 2016, it is difficult to be confident on price recovery when coal is so severely challenged on any timescale,”
Current stockpiles of coal remain high and the price has been severely depressed since 2011. Also over the long term many countries are moving away from coal powered power production in favour of greener technologies.
Liberum set a new target price of 280p for Glencore (GLEN.L), shares are currently trading around 321p, down 0.5% today.
Liberum announces a downgrade on Miner Glencore (GLEN.L), moving its rating from HOLD to SELL and citing concerns over coal production.
Liberum says it is “going cold on coal”. With Analysts Ben Davis and Richard Knights Commenting “Despite Glencore’s estimated deficit of 50m tonnes in 2016, it is difficult to be confident on price recovery when coal is so severely challenged on any timescale,”
Current stockpiles of coal remain high and the price has been severely depressed since 2011. Also over the long term many countries are moving away from coal powered power production in favour of greener technologies.
Liberum set a new target price of 280p for Glencore (GLEN.L), shares are currently trading around 321p, down 0.5% today.