The New Hope Corporation Limited (ASX: NHC) share price had a tough run on the market today.
New Hope shares sunk 9% to finish at $5.84. For perspective, the S&P/ASX 200 Energy Index (ASX: XEJ) closed 1.84% in the red.
Let's take a look at what weighed on this ASX 200 coal share today.
Image source: Getty Images
What's going on?
New Hope was not the only ASX 200 coal share to decline today. Whitehaven Coal Ltd (ASX: WHC) shares lost nearly 7%, while Coronado Global Resources Inc (ASX: CRN) shares slipped more than 2%.
A decline in the coal price may have weighed on coal explorers today. The Sydney Morning Herald reported coal prices fell 12.7%, impacting the coal sector.
Asia-Pacific coal, the leading thermal coal index, dropped 10% to its lowest level in 9 months this week, Montel Group reported.
New Hope has not reported any price-sensitive news to the market this year. However, in 2022, New Hope delivered a record return to shareholders on the back of "record coal prices".
The Federal Government's office of the chief economist is predicting the metallurgical coal price to fall from US$404 a tonne in FY22 to US$262 in FY23.
However, thermal coal prices are forecast to grow from US$245 a tonne in FY22 to US$360 a tonne in FY24.
New Hope is predicted to pay the highest dividend yield of any ASX 200 share in FY24. Consensus estimates tip a dividend yield of 19.5%, my Foolish colleague James reported this week.
Morgans is tipping an 80 cent per share dividend yield in 2024, while Citi analysts predict the dividend could be a whopping $1.93 a share.
New Hope share price snapshot
The New Hope Corporation share price has fallen nearly 160% in the last year.
New Hope has a market capitalisation of more than $5 billion based on the current share price.
