UPDATE: Dahlman Rose Initiates Hold on Hallador Energy

Dahlman Rose initiates its coverage on Hallador Energy (NASDAQ: HNRG) with a Hold rating as the company is seen as an Illinois basin pure play but sees current valuation as fair.

Dahlman says, “We see Hallador as having a good mix of low-cost operations and good reserve life, without the overhang of union exposure or major liabilities. This could also be attractive for potential larger suitors in the Illinois Basin. In the meantime, we do like the company's stable, predictable earnings stream, but see the shares near fair value, using a 6x forward multiple.”

HNRG closed at $10.18 per share on Friday.