Hallador Energy price target raised to $13 from $9 at B. Riley

B. Riley raised the firm’s price target on Hallador Energy (HNRG) to $13 from $9 and keeps a Buy rating on the shares. Hallador Energy reported Q3 adjusted EBITDA below the firm’s estimate, with the miss primarily due to lower revenue, while costs exceeded the firm’s expectations, the analyst tells investors in a research note. The major highlight of the event was the announcement that the company signed a non-binding term sheet with a major global data center developer to sell energy, utilizing an “in front of the meter” approach to avoid regulatory challenges associated with “behind the meter” structures, with management indicating that if the deal is successful, it would secure most of the plant’s energy and capacity at prices exceeding the forward curve for over a decade. Hallador should benefit in the medium- to long-term from rising power prices and a growing demand for baseload capacity.