Delek Logistics Partners (NYSE:DKL) Issues Earnings Results, Misses Estimates By $0.39 EPS

Delek Logistics Partners (NYSE:DKL) released its quarterly earnings results on Wednesday. The oil and gas producer reported $0.54 earnings per share for the quarter, missing analysts’ consensus estimates of $0.93 by ($0.39), FiscalAI reports. Delek Logistics Partners had a net margin of 16.00% and a return on equity of 1,917.10%. The firm had revenue of $384.76 million for the quarter, compared to analysts’ expectations of $293.64 million.

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

• Record quarterly performance: Adjusted EBITDA reached approximately $144 million, up from $127 million a year ago, while full-year 2026 guidance of $520 million–$560 million was reaffirmed. Distributable cash flow coverage remained solid at 1.33x.
• Strong operating momentum across the Permian: Delaware crude gathering volumes reached a record 157,000 barrels per day, produced-water volumes rose to more than 687,000 barrels per day, and gas volumes increased to over 80 MMcf per day. Management expects a further step-up as the Libby sour-gas solution comes online later this year.
• Growth investments are nearing completion: The company is advancing its Libby Gas Complex, first AGI well, sour-gas gathering infrastructure, and compression capacity, with approximately $180 million–$190 million of 2026 growth capital expected to generate up to $75 million of run-rate EBITDA.
• Capital returns and liquidity remained favorable: DKL approved its 54th consecutive distribution increase, raising the quarterly payout to $1.135 per unit, while refinancing activities lowered debt costs and extended maturities. Liquidity was approximately $1.1 billion.
• Some financial pressure remains: Leverage increased modestly to 4.23x due to growth spending, above management’s long-term 3.5x target, and wholesale marketing and terminaling EBITDA fell to approximately $13 million from $23 million a year earlier.

Delek Logistics Partners Trading Down 2.9%

DKL stock traded down $1.67 during midday trading on Wednesday, hitting $56.41. The company had a trading volume of 136,940 shares, compared to its average volume of 76,354. The stock has a market cap of $3.00 billion, a price-to-earnings ratio of 17.85, a PEG ratio of 0.63 and a beta of 0.46. Delek Logistics Partners has a 52 week low of $41.72 and a 52 week high of $61.50. The company has a current ratio of 0.96, a quick ratio of 0.92 and a debt-to-equity ratio of 386.77. The stock’s 50 day moving average price is $53.47 and its 200 day moving average price is $52.22.

Delek Logistics Partners Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, August 10th. Shareholders of record on Monday, August 3rd will be given a $1.135 dividend. The ex-dividend date is Monday, August 3rd. This is an increase from Delek Logistics Partners’s previous quarterly dividend of $1.13. This represents a $4.54 annualized dividend and a yield of 8.0%. Delek Logistics Partners’s dividend payout ratio is presently 143.67%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in DKL. Van ECK Associates Corp raised its holdings in Delek Logistics Partners by 4.9% during the 4th quarter. Van ECK Associates Corp now owns 5,547 shares of the oil and gas producer’s stock valued at $248,000 after buying an additional 258 shares during the last quarter. Wells Fargo & Company MN grew its holdings in Delek Logistics Partners by 31.7% in the 4th quarter. Wells Fargo & Company MN now owns 13,523 shares of the oil and gas producer’s stock worth $603,000 after acquiring an additional 3,257 shares during the last quarter. American Financial Group Inc. grew its holdings in Delek Logistics Partners by 3.0% in the 4th quarter. American Financial Group Inc. now owns 17,000 shares of the oil and gas producer’s stock worth $759,000 after acquiring an additional 500 shares during the last quarter. JPMorgan Chase & Co. increased its position in shares of Delek Logistics Partners by 1.1% in the fourth quarter. JPMorgan Chase & Co. now owns 431,845 shares of the oil and gas producer’s stock valued at $19,269,000 after acquiring an additional 4,879 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of Delek Logistics Partners by 4.1% in the third quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,584,902 shares of the oil and gas producer’s stock valued at $72,176,000 after acquiring an additional 61,840 shares during the period. 11.75% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on DKL. UBS Group initiated coverage on Delek Logistics Partners in a report on Thursday, July 16th. They issued a “neutral” rating and a $56.00 price objective for the company. Weiss Ratings cut Delek Logistics Partners from a “buy (b)” rating to a “buy (b-)” rating in a report on Tuesday, May 12th. Mizuho boosted their target price on Delek Logistics Partners from $45.00 to $52.00 and gave the stock a “neutral” rating in a research report on Tuesday, April 21st. Zacks Research raised Delek Logistics Partners from a “strong sell” rating to a “hold” rating in a research note on Monday, June 22nd. Finally, Raymond James Financial reissued an “outperform” rating and set a $60.00 price target on shares of Delek Logistics Partners in a research note on Thursday, April 30th. Two equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $55.40.

Delek Logistics Partners Company Profile

Delek Logistics Partners L.P. (NYSE: DKL) is a master limited partnership formed in 2011 through contributions of pipeline, terminal and crude oil gathering assets by its sponsor, Delek US Holdings, Inc Headquartered in Brentwood, Tennessee, the partnership is managed by Delek Logistics GP, LLC, an affiliate of Delek US. Delek Logistics Partners owns and operates an integrated network of petroleum pipelines and terminals that support the movement, storage and throughput of crude oil and refined products.

The partnership’s core operations include crude oil gathering and processing systems, long-haul pipeline transportation and storage terminal services.