(AREC) American Resources - Overview
Sector: Basic Materials | Industry: Coking Coal | Exchange: NASDAQ (USA) | Market Cap: 235m USD | Total Return: 213.8% in 12m
Avg Turnover: 7.53M
Qual. Beats: 2
Qual. Beats: 0
Warnings
High Debt/EBITDA (217.2) with thin interest coverage (-0.0)
Interest Coverage Ratio -0.0 is critical
Altman Z'' 0.08 < 1.0 - financial distress zone
Choppy Below Avwap Earnings
Tailwinds
No distinct edge detected
American Resources Corporation (AREC) is an Indiana-based supplier of raw materials for the infrastructure and energy transition sectors. The company operates through three primary segments: American Infrastructure, which extracts metallurgical coal for steel production; ReElements, which focuses on refining rare earth and critical elements for permanent magnets and batteries; and Electrified Materials, which processes scrap metal for recycling. Unlike thermal coal used for power generation, metallurgical coal is an essential input for the blast furnace production of new steel.
The business model integrates traditional resource extraction with modern recycling and purification technologies to support the electrification supply chain. Rare earth elements are critical components in electric vehicle motors and wind turbines, yet global supply remains highly concentrated in limited geographic regions. Investors may find additional data points and valuation metrics for this company on ValueRay. American Resources Corporation maintains its corporate headquarters in Fishers, Indiana, and has been operational since 2006.
- Metallurgical coal demand from global steel production impacts core revenue streams
- Commercialization of ReElements rare earth separation technology drives long-term valuation
- Expansion of battery recycling operations targets the domestic electrification supply chain
- Federal infrastructure spending and clean energy subsidies affect critical mineral demand
- Fluctuating commodity pricing for steel and rare earth elements impacts margins
| Net Income: 139.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 158.2 > 0.02 and ΔFCF/TA 15.8k > 1.0 |
| NWC/Revenue: -57.4k% < 20% (prev -24.1k%; Δ -33.3k% < -1%) |
| CFO/TA -0.12 > 3% & CFO -19.6m > Net Income 139.1m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 2.19 > 1.5 & < 3 |
| Outstanding Shares: last quarter (87.3m) vs 12m ago 8.43% < -2% |
| Gross Margin: error (current vs previous; cannot be calculated due to missing/invalid data or negative margin) |
| Asset Turnover: -0.07% > 50% (prev 0.16%; Δ -0.23% > 0%) |
| Interest Coverage Ratio: -0.04 > 6 (EBIT TTM -442k / Interest Expense TTM 12.1m) |
| A: 0.43 (Total Current Assets 134.3m - Total Current Liabilities 61.2m) / Total Assets 168.9m |
| B: -1.25 (Retained Earnings -210.4m / Total Assets 168.9m) |
| C: -0.00 (EBIT TTM -442k / Avg Total Assets 185.8m) |
| D: 1.25 (Book Value of Equity 94.8m / Total Liabilities 75.7m) |
| Altman-Z'' = 0.08 = B |
As of June 07, 2026, the stock is trading at USD 2.11 with a total of 4,429,031 shares traded.
Over the past week, the price has changed by -4.09%,
over one month by -8.26%,
over three months by -35.28% and
over the past year by +213.80%.
American Resources has received a consensus analysts rating of 4.50. Therefore, it is recommended to buy AREC.
- StrongBuy: 1
- Buy: 1
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 5.7 | 168.7% |
P/E Forward = 2.7533
P/S = 1082.7245
P/B = 2.4831
Revenue TTM = -127k USD
EBIT TTM = -442k USD
EBITDA TTM = -320k USD
Long Term Debt = 965k USD (from longTermDebt, last fiscal year)
Short Term Debt = 2.77m USD (from shortTermDebt, last quarter)
Debt = 2.76m USD (from shortLongTermDebtTotal, last quarter) (leases 2.76m already included)
Net Debt = -69.4m USD (calculated: Debt 2.76m - CCE 72.2m)
Enterprise Value = 165.9m USD (235.3m + Debt 2.76m - CCE 72.2m)
Interest Coverage Ratio = -0.04 (Ebit TTM -442k / Interest Expense TTM 12.1m)
EV/FCF = 0.01x (Enterprise Value 165.9m / FCF TTM 26.7b)
FCF Yield = 16.1k% (FCF TTM 26.7b / Enterprise Value 165.9m)
WARNING: Negative Revenue TTM = -127k
FCF Margin = -21.0m% (FCF TTM 26.7b / Revenue TTM -127k)
WARNING: Negative Revenue TTM = -127k
Net Margin = -109k% (Net Income TTM 139.1m / Revenue TTM -127k)
WARNING: Negative Revenue TTM = -127k
Gross Margin = unknown ((Revenue TTM -127k - Cost of Revenue TTM 1.23m) / Revenue TTM)
Tobins Q-Ratio = 0.98 (Enterprise Value 165.9m / Total Assets 168.9m)
Interest Expense / Debt = 438.2% (Interest Expense 12.1m / Debt 2.76m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -350k (EBIT -442k * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 1.18 (Total Current Assets 134.3m / Total Current Liabilities 113.9m)
Debt / Equity = 0.03 (Debt 2.76m / totalStockholderEquity, last quarter 94.8m)
Debt / EBITDA = 217.2 (negative EBITDA) (Net Debt -69.4m / EBITDA -320k)
Debt / FCF = -0.00 (Net Debt -69.4m / FCF TTM 26.7b)
Total Stockholder Equity = 1.37m (last 4 quarters mean from totalStockholderEquity)
RoA = 74.85% (Net Income 139.1m / Total Assets 168.9m)
RoE = 10.1k% (out of range, set to none) (Net Income TTM 139.1m / Total Stockholder Equity 1.37m)
RoCE = -18.93% (EBIT -442k / Capital Employed (Equity 1.37m + L.T.Debt 965k))
RoIC = -0.32% (negative operating profit) (NOPAT -350k / Invested Capital 110.5m)
WACC = 8.36% (E(235.3m)/V(238.1m) * Re(8.46%) + (debt cost/tax rate unavailable))
Discount Rate = 8.46% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 95.56 | Cagr: 6.59%
[DCF] Terminal Value 75.40% ; FCFF base≈26.7b ; Y1≈26.8b ; Y5≈28.4b
[DCF] Fair Price = 4.12k (EV 441b - Net Debt -69.4m = Equity 441b / Shares 107.0m; r=8.36% [WACC]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.97 | # QB: 2
Revenue Correlation: N/A | Revenue CAGR: N/A | SUE: -0.02 | # QB: 0
EPS current Quarter (2026-06-30): EPS=-0.13 | Chg30d=N/A | Revisions=N/A | Analysts=1
EPS current Year (2026-12-31): EPS=-0.44 | Chg30d=-51.72% | Revisions=-20% | GrowthEPS=-222.8% | GrowthRev=+0.0%
EPS next Year (2027-12-31): EPS=0.84 | Chg30d=-25.00% | Revisions=-20% | GrowthEPS=+290.9% | GrowthRev=+1170.6%