Credit Suisse analyst Curt Woodworth started coverage of Peabody Energy with an Outperform rating and a $42 price target as he believes the market has fundamentally mispriced the equity. The shares have significantly de-rated post events at N. Goonyella and have sold off in fairly tight correlation with the recent move lower in Newcastle thermal, he contends. With seaborne thermal prices near bottom, spot coking coal moving back up, and Peabody Energy likely to provide positive updates on the N. Goonyella transition to 10 North, Woodworth believes risk/reward today is "highly compelling."