BTU Investor Announcement: Peabody Sued on behalf of Investors to Recover Losses after Mine Production Issues Lead to 10% Stock Drop

A securities fraud class action lawsuit has been filed on behalf of Peabody investors after its stock plummeted over 9% because Peabody allegedly misled investors regarding the coal production at Centurion, its flagship premium hard coking coal mine.

Peabody Energy Corporation (NYSE: BTU) and certain of the Company's senior executives for securities fraud after its significant stock drop resulting from potential violations of the federal securities laws.

Lead Plaintiff Deadline: August 24, 2026 Alleged Misconduct: Securities fraud relating to Peabody's statements about the coal production at Centurion, its flagship premium hard coking coal mine. Largest Alleged Stock Drop: March 30, 2026 – 9.7% stock drop

The complaint asserts securities fraud claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors in Peabody common stock. The class action is pending in the U.S. District Court for the Eastern District of Missouri. It is captioned McGeachy v. Peabody, et al. , No. 26-cv-01020.

Peabody is a producer of metallurgic and thermal coal that owns interests in 16 active coal mining operations in the United States and Australia. According to the complaint, during the relevant period, Peabody announced it would be increasing production from its flagship premium hard coking coal mine, Centurion due to an acceleration of longwall operations. Peabody stated that shipments of Centurion's premium hard coking coal would expand sevenfold in 2026 to 3.5 million tons and even more beyond that time. On February 5, 2026, Peabody indicated that the team was "putting the finishing touches on the Centurion mine in advance of starting longwall mining, well ahead of its original schedule." As alleged , in truth, the Centurion mine was facing significant commissioning challenges resulting in increased costs and volume decreases in its production.

Why did Peabody's Stock Drop? On March 30, 2026, Peabody announced lower sales volume from the Centurion mine due to a delivery of only 250,000 tons in the first quarter. Peabody attributed the low volume to "greater than anticipated mine commissioning challenges." This news caused the price of Peabody common stock to drop $3.82 per share, or 9.7%, from $39.50 per share on March 27, 2026, to $35.68 per share on March 30, 2026. Then, on May 5, 2026, Peabody announced additional delays to the commissioning of the Centurion mine as well as increased costs and lower volume. Peabody stated it only expected to sell about 300,000 tons in the second quarter and reduced its full year sales outlook for Centurion from 3.5 million tons to 2.5 million tons. This news caused the price of Peabody common stock to drop $1.52 per share, or 5.7%, from $26.52 per share on May 4, 2026, to $25.00 per share on May 5, 2025.