New World Resources Plc (NWR) tumbled the most in more than two weeks after the Czech mining company said its thermal-coal price for this year fell.
The stock dropped 3.4 percent to 87.40 koruna by 10:43 a.m. in Prague, the steepest decline since Jan. 15 and the worst performance today in the PX (PX) equity index. NWR has fallen 10 percent in January, adding to a 28 percent retreat last year.
While customers agreed to buy coking coal for an average 103 euros a metric ton in the first quarter, up 3 percent from the last three months of 2012, the price of thermal coal for delivery this year fell 19 percent to 60 euros a ton, Amsterdam- registered NWR said in a regulatory statement today.
“The announcement is pretty weak, especially due to the fall in thermal-coal prices,” Petr Bartek, a stock analyst at Ceska Sporitelna AS in Prague, wrote in an e-mail to clients today. NWR stock “looks a bit expensive compared to its weak outlook for 2013.”
Bartek has a hold recommendation for NWR with a 94 koruna price estimate, according to the report.
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