Citigroup (NYSE:C) Slashes Alpha (NYSE:ANR), Arch Coal (NYSE:ACI), Patriot (NYSE:PCX) on Reserves Valuation

Citing the recent run-up in the valuation of coal reserves, Citigroup (NYSE:C) downgraded Alpha Natural Resources (NYSE:ANR), Patriot Coal (NYSE:PCX) and Arch Coal (NYSE:ACI).

Arch Coal they downgraded from "Buy" to "Hold"; Patriot Coal from "Hold" to "Sell"; Alpha Natural Resources from "Buy" to "Hold."

One company in the sector they're still bullish on is Peabody Energy (NYSE:BTU), which Citi sees as the "only coal company offering significant production growth."

Citigroup raised their price target on Peabody from $57 to $74, while maintaining a "Buy" rating on them.

Arch was trading at $31.52, down $0.83, or 2.57 percent, as of 12:12 PM EST. Citi raised their price target on them from $30 to $33.

Alpha Natural Resources was trading at $52.63, down $1.85, or 3.40 percent. Citi raised their price target on them from $55 to $58.

Patriot Coal was trading at $16.51, down $0.82, or 4.73 percent.

Peabody Energy was at $61.35, down $0.12, or 0.20 percent.