Home / Sector / Energy Shares / New Hope share price dives 9% as ASX 200 coal stocks get hit hard

New Hope share price dives 9% as ASX 200 coal stocks get hit hard

It's not just New Hope shares that are sliding today. Whitehaven Coal and Yancoal are deep in the red as well.

Posted by
Bernd Struben
Author bio Bernd Struben earned his BA in economics from the University of Michigan in 1991, with post-graduate studies in environmental economics at the University of Connecticut. Over the years he’s written about and analysed the tourism industry in the Caribbean; Europe’s commercial real estate markets; and, since moving to Australia in 2010, global and Aussie share markets. Bernd studies geopolitical and macroeconomic trends, alongside sector and company specific data, to gauge what he believes could be tomorrow's best investments. In his free time, you might find Bernd at the beach with his family or working on his next science fiction novel. Areas of expertise Australian and global share markets Macroeconomic and geopolitical trends Real estate Education Economics, University of Michigan Favorite investment quote "The four most dangerous words in investing are: 'This time it's different." — Sir John Templeton
Published
| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points
  • The New Hope share price slid more than 9% in morning trade
  • ASX 200 coal stocks are under pressure amid a sharp retrace in the coal price since Tuesday
  • Indian based coal giant Adani Group is reportedly looking to offload coal shipments at a discount

The New Hope Corp Ltd (ASX: NHC) share price is down 8% at the time of writing, having earlier posted losses of more than 9%.

The S&P/ASX 200 Index (ASX: XJO) coal stock closed yesterday trading for $5.81 per share. Shares are currently swapping hands for $5.36 apiece, having recovered from an intraday low of $5.24.

But it's not just the New Hope share price taking a beating today.

Rival ASX 200 coal stock Whitehaven Coal Ltd (ASX: WHC) is down 4.4%. And Yancoal Australia Ltd (ASX: YAL) has dropped 6.7% at this same time.

So, what's going on?

Coal miners look resigned to the end of mining this resource.

Image source: Getty Images

Why are ASX 200 coal shares tumbling today?

The New Hope share price and the other ASX 200 coal stocks are under pressure today from several fronts.

Firstly, the price of coal, which climbed earlier this week, is sliding lower.

According to data from CommSec, Coal Nymex futures are down 3.4% overnight to US$142.65 per tonne. That's down 9.1% from the US$157.00 per tonne quoted on Tuesday when Coal Nymex futures had leapt 5.3% overnight.

The surge in the coal price earlier in the week helped drive the New Hope share price 6.4% higher across Monday and Tuesday's trading. But with coal prices retracing, the ASX 200 coal miner is now down almost 13% from Tuesday's close.

What else is pressuring the New Hope share price?

Investors may be hitting the sell button amid news that Indian-based coal giant Adani Group is looking to offload its coal shipments at discounted prices.

According to anonymous sources cited by Bloomberg, Adani is "offering to sell several coal shipments from Australia and Indonesia at discounts".

Those discounts were said to be roughly 4% below Asia's price benchmarks.

Also potentially impacting the New Hope share price, The Australian reported that major shareholder GQG Partners had sold $336 million of Whitehaven Coal shares for $7.90 apiece.

That's a steep discount to Tuesday's closing price of $8.66 per share. But more than 3% above the current Whitehaven share price of $7.66.

New Hope share price snapshot

With today's precipitous intraday fall factored in, the New Hope shares have fallen into the red for 2023.

But, as you can see in the chart below, the ASX 200 coal stock remains up an impressive 115% over the past 12 months.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Energy Shares

A uranium plant worker in full protective gear removes his head covering and holds it in his hand as he smiles slightly to have his picture taken.
Energy Shares

Deep Yellow delivers key Tumas milestones and secures project progress in Namibia

| James Mickleboro

The company has completed key Tumas Project milestones, securing water supply and finalising local ownership in Namibia.

Read more »

Numerous Australian dollar notes laid out.
Dividend Investing

How many Woodside shares do I need to buy to earn $10,000 a year in passive income?

| Bernd Struben

Atop its soaring share price, I think Woodside is an attractive passive income investment.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Dividend Investing

Everything you need to know about the Woodside dividend

| Tristan Harrison

Here’s how big the next dividend will be.

Read more »

Hand flipping wooden cube block to change between up and down with percentage sign symbol next to it.
Energy Shares

Here's what brokers tip for Woodside shares over the next 12 months

| Samantha Menzies

Are the shares a buy after the oil and gas giant posted its FY26 results this morning?

Read more »

Pensioner looking at his laptop.
Earnings Results

Viva Energy Group posts record 1H26 earnings, boosts dividend

| James Mickleboro

The company will pay an interim dividend of 7.73 cents per share, which is at the top end of policy.

Read more »

An oil worker in front of a pumpjack using a tablet.
Earnings Results

Woodside Energy half-year results: US$1,672 million profit and 57 US cents dividend

| James Mickleboro

The energy giant has released its half-year results this morning.

Read more »

Woman filling her car with fuel.
Energy Shares

By August 2027, $5,000 invested in Ampol shares could turn into…

| Samantha Menzies

The petroleum company posted its first-half FY26 results this morning.

Read more »

Man holding out $50 and $100 notes in his hands, symbolising ex dividend.
Energy Shares

Everything you need to know about the PLS Group dividend

| Tristan Harrison

Supercharged profit has allowed the ASX lithium share to resume dividends.

Read more »