DELEK US HOLDINGS INC (DK)

US24665A1034 - Common Stock

25.92  -1.24 (-4.57%)

After market: 25.92 0 (0%)

Fundamental Rating

3

Overall DK gets a fundamental rating of 3 out of 10. We evaluated DK against 213 industry peers in the Oil, Gas & Consumable Fuels industry. DK scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. DK has a expensive valuation and it also scores bad on growth.



1

1. Profitability

1.1 Basic Checks

In the past year DK was profitable.
DK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: DK reported negative net income in multiple years.
Of the past 5 years DK 4 years had a positive operating cash flow.

1.2 Ratios

DK has a worse Return On Assets (-1.07%) than 82.55% of its industry peers.
With a Return On Equity value of -9.02%, DK is not doing good in the industry: 82.55% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 3.66%, DK is doing worse than 73.11% of the companies in the same industry.
Industry RankSector Rank
ROA -1.07%
ROE -9.02%
ROIC 3.66%
ROA(3y)0.51%
ROA(5y)-0.79%
ROE(3y)5.08%
ROE(5y)-5.3%
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

In the last couple of years the Profit Margin of DK has declined.
DK's Operating Margin of 1.20% is on the low side compared to the rest of the industry. DK is outperformed by 82.55% of its industry peers.
DK's Operating Margin has declined in the last couple of years.
DK has a Gross Margin of 5.36%. This is amonst the worse of the industry: DK underperforms 82.55% of its industry peers.
DK's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 1.2%
PM (TTM) N/A
GM 5.36%
OM growth 3YN/A
OM growth 5Y-20.98%
PM growth 3YN/A
PM growth 5Y-48.79%
GM growth 3Y-12.61%
GM growth 5Y-23.75%

4

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DK is destroying value.
DK has less shares outstanding than it did 1 year ago.
The number of shares outstanding for DK has been reduced compared to 5 years ago.
The debt/assets ratio for DK has been reduced compared to a year ago.

2.2 Solvency

DK has an Altman-Z score of 2.61. This is not the best score and indicates that DK is in the grey zone with still only limited risk for bankruptcy at the moment.
DK has a Altman-Z score of 2.61. This is in the better half of the industry: DK outperforms 68.87% of its industry peers.
The Debt to FCF ratio of DK is 4.75, which is a neutral value as it means it would take DK, 4.75 years of fcf income to pay off all of its debts.
DK has a better Debt to FCF ratio (4.75) than 62.26% of its industry peers.
A Debt/Equity ratio of 2.90 is on the high side and indicates that DK has dependencies on debt financing.
The Debt to Equity ratio of DK (2.90) is worse than 88.21% of its industry peers.
Industry RankSector Rank
Debt/Equity 2.9
Debt/FCF 4.75
Altman-Z 2.61
ROIC/WACC0.36
WACC10.15%

2.3 Liquidity

DK has a Current Ratio of 1.04. This is a normal value and indicates that DK is financially healthy and should not expect problems in meeting its short term obligations.
DK's Current ratio of 1.04 is on the low side compared to the rest of the industry. DK is outperformed by 60.38% of its industry peers.
A Quick Ratio of 0.64 indicates that DK may have some problems paying its short term obligations.
The Quick ratio of DK (0.64) is worse than 75.47% of its industry peers.
Industry RankSector Rank
Current Ratio 1.04
Quick Ratio 0.64

2

3. Growth

3.1 Past

DK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -82.76%.
Measured over the past years, DK shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.70% on average per year.
Looking at the last year, DK shows a very negative growth in Revenue. The Revenue has decreased by -17.71% in the last year.
DK shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.58% yearly.
EPS 1Y (TTM)-82.76%
EPS 3YN/A
EPS 5Y-9.7%
EPS Q2Q%-129.93%
Revenue 1Y (TTM)-17.71%
Revenue growth 3Y32.32%
Revenue growth 5Y10.58%
Sales Q2Q%-17.75%

3.2 Future

The Earnings Per Share is expected to decrease by -10.87% on average over the next years. This is quite bad
Based on estimates for the next years, DK will show a decrease in Revenue. The Revenue will decrease by -9.91% on average per year.
EPS Next Y-72.11%
EPS Next 2Y-33.29%
EPS Next 3Y-56.63%
EPS Next 5Y-10.87%
Revenue Next Year-19.35%
Revenue Next 2Y-12.72%
Revenue Next 3Y-9.91%
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.

3

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 22.54 indicates a rather expensive valuation of DK.
70.75% of the companies in the same industry are cheaper than DK, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 28.20. DK is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 19.88, DK is valued on the expensive side.
68.40% of the companies in the same industry are cheaper than DK, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 20.02. DK is around the same levels.
Industry RankSector Rank
PE 22.54
Fwd PE 19.88

4.2 Price Multiples

DK's Enterprise Value to EBITDA ratio is in line with the industry average.
94.34% of the companies in the same industry are more expensive than DK, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 3.16
EV/EBITDA 6.24

4.3 Compensation for Growth

DK's earnings are expected to decrease with -56.63% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-33.29%
EPS Next 3Y-56.63%

3

5. Dividend

5.1 Amount

DK has a Yearly Dividend Yield of 3.62%.
DK's Dividend Yield is comparable with the industry average which is at 5.99.
Compared to an average S&P500 Dividend Yield of 2.37, DK pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.62%

5.2 History

The dividend of DK decreases each year by -1.80%.
DK has been paying a dividend for at least 10 years, so it has a reliable track record.
DK has decreased its dividend recently.
Dividend Growth(5Y)-1.8%
Div Incr Years1
Div Non Decr Years1

5.3 Sustainability

The earnings of DK are negative and hence is the payout ratio. DK will probably not be able to sustain this dividend level.
DK's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-79.51%
EPS Next 2Y-33.29%
EPS Next 3Y-56.63%

DELEK US HOLDINGS INC

NYSE:DK (5/29/2024, 3:15:00 PM)

After market: 25.92 0 (0%)

25.92

-1.24 (-4.57%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.66B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 3.62%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 22.54
Fwd PE 19.88
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -1.07%
ROE -9.02%
ROCE
ROIC
ROICexc
ROICexgc
OM 1.2%
PM (TTM) N/A
GM 5.36%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover2.26
Health
Industry RankSector Rank
Debt/Equity 2.9
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.04
Quick Ratio 0.64
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-82.76%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-72.11%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-17.71%
Revenue growth 3Y32.32%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y