Delek US Holdings (DK) shares climbed 4% after Freedom Broker upgraded the independent refiner to Buy from Hold, raising the price target to $88 from $86 .
Key drivers cited:
- Strong Q3 Performance: Nearly doubled adjusted net income to $843M ($13.55/share) due to surging crack spreads and full refinery utilization .
- Balance Sheet Improvement: Reduced net debt by $506.4M sequentially, leading to a net cash position for the parent entity .
- Shareholder Returns: Increased quarterly dividend by 18% to $0.30/share and authorized up to $100M in Q4 share buybacks .
The upgrade suggests significant upside potential following a recent 20% pullback, with analysts highlighting durable downside support from a strengthened balance sheet and heightened distributions .
Delek US rises as Freedom Broker upgrades to Buy on refining strength
STREETINSIDER.COMNov 11, 2:50 PM UTC
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