My HOT Stock – Whitehaven Coal (WHC)

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CMC Markets’ Chief Market Strategist, Michael McCarthy likes Whitehaven Coal (WHC). “This is an un-PC choice but the economics here look compelling. If governments institute restrictions on new coal operations, existing producers are likely beneficiaries, as coal prices are forced higher (local politicians have no control over international demand),” Michael says.

“WHC is trading on a very undemanding 7-8x earnings, at around 25% below last year’s share price high,” he adds.

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