Morgan Stanley Cuts Delek US (NYSE:DK) Price Target to $22.00

Delek US (NYSE:DK) had its price objective cut by equities research analysts at Morgan Stanley from $24.00 to $22.00 in a note issued to investors on Monday, Benzinga reports. The brokerage currently has an “underweight” rating on the oil and gas company’s stock. Morgan Stanley’s price target indicates a potential upside of 14.88% from the stock’s previous close.

A number of other research analysts also recently issued reports on DK. Wolfe Research initiated coverage on shares of Delek US in a research report on Thursday, July 18th. They issued an “underperform” rating and a $19.00 price target on the stock. Scotiabank dropped their target price on shares of Delek US from $27.00 to $25.00 and set a “sector perform” rating on the stock in a research report on Friday, July 12th. Wells Fargo & Company boosted their target price on shares of Delek US from $20.00 to $21.00 and gave the company an “underweight” rating in a research report on Tuesday, September 3rd. StockNews.com upgraded shares of Delek US from a “sell” rating to a “hold” rating in a research note on Friday. Finally, Piper Sandler reduced their price target on shares of Delek US from $30.00 to $25.00 and set a “neutral” rating for the company in a research report on Friday, June 14th. Four research analysts have rated the stock with a sell rating, eight have assigned a hold rating and one has given a buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $25.27.

Delek US Stock Performance

DK traded down $0.25 during trading on Monday, hitting $19.15. The stock had a trading volume of 344,237 shares, compared to its average volume of 1,034,811. The company has a 50 day moving average price of $21.25 and a 200-day moving average price of $25.35. The firm has a market cap of $1.23 billion, a price-to-earnings ratio of -15.48 and a beta of 1.14. Delek US has a one year low of $18.35 and a one year high of $33.60. The company has a debt-to-equity ratio of 2.50, a current ratio of 0.98 and a quick ratio of 0.58.

Delek US (NYSE:DK) last posted its quarterly earnings results on Tuesday, August 6th. The oil and gas company reported ($0.92) earnings per share for the quarter, beating analysts’ consensus estimates of ($1.42) by $0.50. The company had revenue of $3.42 billion for the quarter, compared to the consensus estimate of $3.31 billion. Delek US had a negative net margin of 0.69% and a negative return on equity of 4.53%. The firm’s quarterly revenue was down 18.4% compared to the same quarter last year. During the same period last year, the company posted $1.00 EPS. As a group, research analysts predict that Delek US will post -2.87 EPS for the current year.

Insider Buying and Selling

In related news, CEO Avigal Soreq acquired 5,651 shares of the firm’s stock in a transaction that occurred on Friday, August 9th. The shares were bought at an average cost of $20.42 per share, for a total transaction of $115,393.42. Following the completion of the transaction, the chief executive officer now owns 188,881 shares in the company, valued at $3,856,950.02. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 1.80% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Encompass Capital Advisors LLC purchased a new stake in Delek US in the second quarter worth $22,833,000. Point72 Asset Management L.P. purchased a new stake in Delek US in the second quarter worth $19,806,000. Norges Bank purchased a new stake in Delek US in the fourth quarter worth $16,341,000. SIR Capital Management L.P. lifted its position in Delek US by 37.2% during the second quarter. SIR Capital Management L.P. now owns 876,133 shares of the oil and gas company’s stock valued at $21,693,000 after buying an additional 237,734 shares during the period. Finally, Acadian Asset Management LLC lifted its position in Delek US by 627.2% during the first quarter. Acadian Asset Management LLC now owns 266,663 shares of the oil and gas company’s stock valued at $8,191,000 after buying an additional 229,992 shares during the period. Institutional investors own 97.01% of the company’s stock.

About Delek US

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.