Hallador Energy (HNRG) Gained Over 5% This Week. Here is Why.

The share price of Hallador Energy Company (NASDAQ:HNRG) surged by 5.04% between May 14 and May 21, 2025, putting it among the Energy Stocks that Gained the Most This Week. Let’s shed some light on the development.

With its roots in oil and gas exploration, Hallador Energy Company (NASDAQ:HNRG) has evolved to concentrate on coal development and transportation delivery.

Hallador Energy Company (NASDAQ:HNRG) received a boost this week after Northland Capital Markets began coverage of the stock, assigning the stock an Outperform rating and setting a price target of $23. Northland analyst Jeff Grampp highlighted Hallador’s status as a vertically integrated independent power producer, noting its acquisition of a 1 GW power plant in 2022. He also believes that a significant growth driver for the company could be its ongoing negotiations to secure a long-term contract with a data center for the majority of its capacity. Moreover, Hallador’s low-priced legacy power contracts are set to expire in 2025, which the analyst expects will provide a boost to the company’s financial performance starting next year.

It is also worth mentioning that Hallador Energy Company (NASDAQ:HNRG) posted better-than-expected results for its Q1 2025 last month. The company’s EPS of $0.23 beat estimates by a significant $0.39, while its revenue also surged by 7.4% YoY to $117.8 million, topping expectations by over $19 million.

While we acknowledge the potential of HNRG to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than HNRG but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

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Disclosure: None.