Last Updated: 13 Sep 2024
Executive Summary
Delek Logistics Partners LP (DKL) is a master limited partnership that owns and operates logistics and marketing assets for crude oil and refined and intermediate products in the United States. The company has a market capitalization of $1.99 billion and trades on the NYSE. DKL's latest stock price is $42.25.
Company Overview
Delek Logistics Partners LP was formed in 2012 and is headquartered in Brentwood, Tennessee. The company's assets include crude oil pipelines, refined product pipelines, and storage terminals. DKL's customers include refiners, producers, and marketers of crude oil and refined products.
Fundamental Analysis
DKL's financial performance has been strong in recent years. The company's revenue and earnings have grown steadily, and its profit margin has improved. DKL's trailing price-to-earnings ratio is 14.52, which is in line with the industry average. The company's forward price-to-earnings ratio is 10.33, which is attractive relative to its peers.
Technical Analysis
DKL's stock price has been in a downtrend since early 2022. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is below 50, which indicates that the stock is oversold.
Short Term Outlook
DKL's stock price is likely to remain under pressure in the short term. The company's earnings are expected to decline in the next quarter due to lower demand for crude oil and refined products. The stock's technical indicators are also bearish, which suggests that the stock could continue to decline in the near term.
Long Term Outlook
DKL's long-term outlook is more positive. The company's assets are strategically located in major refining and marketing hubs. DKL is also well-positioned to benefit from the growing demand for crude oil and refined products in the United States.
Analyst Recommendations
Two analysts have a buy rating on DKL, while one analyst has a hold rating. The average analyst target price is $45.33, which represents a potential upside of 7.3% from the current price.
