Whitehaven Coal shares gain as Morgan Stanley reiterates 'overweight' rating

The news: Whitehaven Coal was the best performing ASX 200 stock in afternoon trade as Morgan Stanley reiterated its 'overweight' rating on the coal miner.

The numbers: Whitehaven shares were up 3.9% to $5.81, taking gains to more than 30% since early April.

Morgan Stanley, which has a $6.20 price target on Whitehaven, said the company is on target to achieve $100 million in annual run-rate cost savings across its Queensland assets by the end of FY25.

The context: Following a visit to Whitehaven's Blackwater and Daunia metallurgical coal mines in Queensland's Bowen Basin, Morgan Stanley analysts said strong operational improvements and cost-out initiatives should continue to benefit both production and the company's cost base.