Alliance Resource Partners LP (ARLP) stock plunged 5.16% in pre-market trading on Monday, following the company's disappointing fourth-quarter earnings release.
ARLP reported Q4 earnings of $0.12 per diluted unit, sharply missing analysts' estimates of $0.61 per unit. The company's revenue for the quarter also fell short, coming in at $590.1 million compared to the expected $633.6 million.
The significant miss on both earnings and revenue seems to have rattled investors, leading to a sell-off in ARLP's stock price during the pre-market session. Companies that fail to meet analysts' expectations often face negative market reactions, as the shortfall raises concerns about the company's performance and future prospects.