Out Fox The $treet

The headlines for Consol Energy's  ( NYSE: CNX     ) recent quarterly earnings report focused on the huge ramp-up in Marcellus shale production, yet the vast majority of the company's revenue is still derived from coal. Even worse, Consol obtains more revenue from other natural gas properties outside the Marcellus shale that lack growth. Consol Energy generated an impressive 94% production growth in the booming shale in Pennsylvania and West Virginia, but the coal operations make the stock difficult to value any higher. Even the best-run domestic coal miner, Peabody Energy ( NYSE: BTU     ) , trades at a substantial discount to annual sales. In that manner, investors are placing a huge premium on Marcellus shale growth to justify a market cap of nearly $11 billion for Consol Energy with forecast annual sales for 2014 of less than $4 billion, mostly obtained from coal mining. Read the full article here . Disclosure: No positions men...

Consol Energy ( NYSE: CNX     ) released first quarter updates for the gas operations and coal mines that sent coal stocks soaring. No surprise that the Marcellus producer saw strong growth in the gas operations, but the market sent the coal sector higher with the forecast for higher coal production for the year. Consol Energy was traditionally a coal miner that is quickly shifting toward a natural gas focus with the fast growth in Marcellus Shale production. The news comes on an interesting day, with James River Coal Co.  filing for bankruptcy at the same time. Read the full article here . Disclosure: No position mentioned. Please review the disclaimer page for more details.