Delek US (NYSE:DK) Trading Down 4.5% on Disappointing Earnings

Delek US Holdings, Inc. (NYSE:DK - Get Free Report)'s share price traded down 4.5% during mid-day trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $15.52 and last traded at $15.67. 459,869 shares were traded during mid-day trading, a decline of 61% from the average session volume of 1,187,593 shares. The stock had previously closed at $16.40.

The oil and gas company reported ($2.54) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($1.53) by ($1.01). Delek US had a negative net margin of 2.27% and a negative return on equity of 28.21%. The firm had revenue of $2.37 billion for the quarter, compared to analysts' expectations of $2.58 billion. During the same period last year, the firm posted ($1.46) EPS. Delek US's revenue was down 39.8% on a year-over-year basis.

Delek US Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 10th. Shareholders of record on Monday, March 3rd will be given a dividend of $0.255 per share. This represents a $1.02 dividend on an annualized basis and a yield of 6.25%. The ex-dividend date of this dividend is Monday, March 3rd. Delek US's dividend payout ratio (DPR) is presently -11.54%.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on DK shares. Mizuho decreased their target price on Delek US from $26.00 to $25.00 and set a "neutral" rating for the company in a research report on Monday, December 16th. Wells Fargo & Company decreased their target price on Delek US from $17.00 to $15.00 and set an "underweight" rating for the company in a research report on Wednesday. JPMorgan Chase & Co. upped their target price on Delek US from $21.00 to $22.00 and gave the stock a "neutral" rating in a research report on Tuesday, December 10th. Finally, Wolfe Research raised Delek US from an "underperform" rating to a "peer perform" rating in a research report on Friday, January 3rd. Five research analysts have rated the stock with a sell rating and six have assigned a hold rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $20.90.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of DK. Rubric Capital Management LP acquired a new position in shares of Delek US in the third quarter worth about $37,500,000. Philosophy Capital Management LLC acquired a new stake in Delek US during the third quarter valued at approximately $21,471,000. Millennium Management LLC raised its stake in Delek US by 1,199.2% during 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 buying an additional 803,274 shares in the last quarter. Deprince Race & Zollo Inc. acquired a new stake in Delek US during the fourth quarter valued at approximately $13,680,000. Finally, FMR LLC raised its stake in Delek US by 47.3% during the third quarter. FMR LLC now owns 1,707,773 shares of the oil and gas company's stock valued at $32,021,000 after buying an additional 548,777 shares in the last quarter. Institutional investors and hedge funds own 97.01% of the company's stock.

Delek US Price Performance

The company has a 50 day simple moving average of $18.16 and a 200-day simple moving average of $18.52. The stock has a market cap of $1.03 billion, a price-to-earnings ratio of -3.36 and a beta of 1.20. The company has a quick ratio of 0.67, a current ratio of 1.04 and a debt-to-equity ratio of 3.18.

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.