Delek Logistics Partners (NYSE:DKL) Announces Earnings Results

Delek Logistics Partners (NYSE:DKL) posted its quarterly earnings results on Friday. The oil and gas producer reported $0.85 earnings per share for the quarter, missing analysts’ consensus estimates of $0.97 by ($0.12), FiscalAI reports. The company had revenue of $372.44 million during the quarter, compared to the consensus estimate of $355.44 million. Delek Logistics Partners had a net margin of 12.85% and a negative return on equity of 935.80%.

Here are the key takeaways from Delek Logistics Partners’ conference call:

• Delek Logistics raised its 2026 Adjusted EBITDA guidance to $530 million-$560 million, citing continued strong performance across its segments.
• The $180 million-$190 million 2026 growth-capital program is expected to generate up to $15 million of run-rate EBITDA in 2026 and an additional $60 million in 2027.
• The company completed construction of its first sour-gas compressor station and is commissioning the associated AGI well at Libby; management expects a substantial gas-volume increase as the system comes online and is evaluating further capacity expansion.
• Quarterly Adjusted EBITDA was approximately $143 million, while distributable cash flow was $73 million and coverage was 1.11x. The partnership also approved its 55th consecutive distribution increase, to $1.14 per unit.
• A $220 million equity offering and debt refinancing strengthened the balance sheet, with quarter-end leverage at 3.85x and liquidity of about $1.3 billion; the offering also reduced Delek’s ownership to approximately 58%.

Delek Logistics Partners Price Performance

DKL stock traded up $0.75 during midday trading on Friday, reaching $51.99. 141,488 shares of the company were exchanged, compared to its average volume of 79,634. Delek Logistics Partners has a one year low of $42.82 and a one year high of $61.50. The firm has a market capitalization of $2.97 billion, a price-to-earnings ratio of 18.11 and a beta of 0.43. The business has a 50-day moving average price of $55.63 and a two-hundred day moving average price of $53.41.

Delek Logistics Partners Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, November 10th. Shareholders of record on Tuesday, November 3rd will be given a dividend of $1.14 per share. This represents a $4.56 dividend on an annualized basis and a yield of 8.8%. This is a positive change from Delek Logistics Partners’s previous quarterly dividend of $1.1350. The ex-dividend date of this dividend is Tuesday, November 3rd. Delek Logistics Partners’s dividend payout ratio (DPR) is presently 158.19%.

Insider Buying and Selling

In related news, Chairman Ezra Yemin bought 6,000 shares of Delek Logistics Partners stock in a transaction that occurred on Thursday, August 13th. The stock was acquired at an average price of $50.00 per share, with a total value of $300,000.00. Following the acquisition, the chairman owned 168,217 shares of the company’s stock, valued at approximately $8,410,850. This represents a 3.70% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, President Avigal Soreq bought 2,500 shares of Delek Logistics Partners stock in a transaction that occurred on Thursday, August 13th. The shares were bought at an average cost of $50.00 per share, with a total value of $125,000.00. Following the acquisition, the president directly owned 84,782 shares in the company, valued at $4,239,100. This trade represents a 3.04% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last three months, insiders purchased 15,000 shares of company stock valued at $750,000. 1.00% of the stock is currently owned by insiders.

Analyst Ratings Changes

Several research firms have recently commented on DKL. UBS Group increased their price objective on Delek Logistics Partners from $55.00 to $57.00 and gave the company a “neutral” rating in a report on Monday, September 21st. Weiss Ratings upgraded shares of Delek Logistics Partners from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, October 2nd. Finally, Zacks Research downgraded shares of Delek Logistics Partners from a “strong-buy” rating to a “hold” rating in a report on Tuesday, September 22nd. Two investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $55.60.

About Delek Logistics Partners

Delek Logistics Partners, L.P. (NYSE: DKL) is a master limited partnership that owns and operates midstream energy infrastructure and provides logistics services for crude oil, refined products and other hydrocarbons. The partnership is sponsored by Delek US Holdings, Inc, an independent refiner and marketer of petroleum products.

Delek Logistics’ operations include crude oil gathering, transportation and storage; refined products transportation and terminalling; wholesale marketing; rail and truck services; and other logistics activities.