Delek US (NYSE:DK) Stock Price Down 4% - Here's What Happened

Key Points

• Delek US Holdings, Inc. experienced a 4% decline in stock price, trading at $28.52, with a significant drop in trading volume compared to its average.
• Wall Street analysts have mixed ratings on Delek US, with price targets ranging from $20.00 to $34.00, and a majority recommending a Hold rating.
• The company reported a negative earnings per share of ($0.56) for the last quarter, while also declaring a quarterly dividend of $0.255 per share, indicating a yield of 3.6% despite posting a year-over-year revenue decline.

Delek US Holdings, Inc. (NYSE:DK - Get Free Report)'s share price was down 4% during mid-day trading on Thursday . The stock traded as low as $28.55 and last traded at $28.52. Approximately 1,442,785 shares changed hands during trading, a decline of 16% from the average daily volume of 1,721,280 shares. The stock had previously closed at $29.71.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on DK shares. Citigroup reaffirmed a "neutral" rating and set a $30.00 price objective (up from $15.00) on shares of Delek US in a research report on Wednesday, July 16th. Bank of America lifted their price objective on shares of Delek US from $14.00 to $24.00 and gave the stock an "underperform" rating in a research report on Wednesday, September 3rd. Cowen reissued a "sell" rating on shares of Delek US in a research report on Friday, August 8th. TD Cowen reduced their price target on shares of Delek US from $18.00 to $15.00 and set a "sell" rating for the company in a research report on Friday, August 8th. Finally, Piper Sandler boosted their price target on shares of Delek US from $29.00 to $34.00 and gave the company a "neutral" rating in a research report on Thursday, September 11th. Three analysts have rated the stock with a Buy rating, six have issued a Hold rating and five have issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Reduce" and a consensus target price of $25.54.

Delek US Trading Up 10.2%

The company has a debt-to-equity ratio of 10.48, a current ratio of 0.80 and a quick ratio of 0.50. The business's 50 day moving average price is $25.20 and its 200-day moving average price is $19.76. The firm has a market capitalization of $1.89 billion, a price-to-earnings ratio of -2.55 and a beta of 1.09.

Delek US (NYSE:DK - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The oil and gas company reported ($0.56) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.92) by $0.36. Delek US had a negative net margin of 7.11% and a negative return on equity of 79.27%. The business had revenue of $2.76 billion for the quarter, compared to analyst estimates of $2.68 billion. During the same period in the previous year, the business posted ($0.92) earnings per share. The business's revenue was down 16.4% compared to the same quarter last year. Equities analysts forecast that Delek US Holdings, Inc. will post -5.5 EPS for the current fiscal year.

Delek US Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, August 18th. Shareholders of record on Monday, August 11th were given a dividend of $0.255 per share. This represents a $1.02 annualized dividend and a yield of 3.3%. The ex-dividend date was Monday, August 11th. Delek US's dividend payout ratio is presently -8.30%.

Insider Transactions at Delek US

In other Delek US news, CFO Robert G. Wright sold 7,135 shares of the stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $29.24, for a total value of $208,627.40. Following the completion of the transaction, the chief financial officer directly owned 48,294 shares of the company's stock, valued at approximately $1,412,116.56. This trade represents a 12.87% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Company insiders own 1.90% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. T. Rowe Price Investment Management Inc. acquired a new stake in shares of Delek US in the first quarter valued at approximately $13,728,000. Nuveen LLC acquired a new stake in shares of Delek US in the first quarter valued at approximately $13,629,000. Harel Insurance Investments & Financial Services Ltd. grew its position in shares of Delek US by 113.5% in the second quarter. Harel Insurance Investments & Financial Services Ltd. now owns 1,601,777 shares of the oil and gas company's stock valued at $33,926,000 after purchasing an additional 851,458 shares during the last quarter. Millennium Management LLC grew its position in shares of Delek US by 1,199.2% in the fourth quarter. Millennium Management LLC now owns 870,257 shares of the oil and gas company's stock valued at $16,100,000 after purchasing an additional 803,274 shares during the last quarter. Finally, Callodine Capital Management LP grew its position in shares of Delek US by 1,827.6% in the first quarter. Callodine Capital Management LP now owns 674,661 shares of the oil and gas company's stock valued at $10,167,000 after purchasing an additional 639,661 shares during the last quarter. 97.01% of the stock is owned by hedge funds and other institutional investors.

Delek US Company Profile

Delek US Holdings, Inc engages in the integrated downstream energy business in the United States. The company operates through Refining, Logistics, and Retail segments. The Refining segment processes crude oil and other feedstock for the manufacture of various grades of gasoline, diesel fuel, aviation fuel, asphalt, and other petroleum-based products that are distributed through owned and third-party product terminal.