In January, Alpha Natural Resources (ANR) soared to a 52-week high around $68. Since then the stock has cratered some 30%. During that time frame, ANR snatched up Massey Energy (MEE) and now controls the largest domestic metallurgical reserves, enough to become the third largest in the world. (See The New Met Coal Powerhouse.)
So why has the stock been hammered from those January highs to the lows today around $46? Difficult to tell in this fickle market. The deal with MEE closed recently and the stock has just plunged during June. Maybe a bunch of MEE holders have dumped the stock upon the conversion to ANR shares. If so, this is the ultimate buying opportunity.