Delek US Holdings Analysts Boost Their Forecasts After Q3 Results

Core Insights - Delek US Holdings, Inc. reported third-quarter sales of $2.887 billion, exceeding analyst expectations of $2.763 billion [1] - The company posted adjusted earnings of $7.13 per share, a significant improvement from a loss of $1.45 per share in the same quarter last year [1] Financial Performance - The strong performance in the third quarter is attributed to effective EOP (End of Period) contributions, which have exceeded previous guidance [2] - Delek US's free cash flow generation is expected to improve significantly in both the short and long term due to clarity on SREs (Strategic Resource Enhancements) [2] Market Position and Future Outlook - Delek US is strengthening its position in the Permian basin, with a raised guidance for processing plant contributions to $500 – $520 million [2] - The company is making progress on its midstream assets, with ongoing AGI (Asset Growth Initiatives) and increasing economic separation from DK [2] Analyst Ratings and Price Targets - Wells Fargo analyst Sam Margolin maintained an Overweight rating on Delek US and raised the price target from $43 to $53 [5] - Scotiabank analyst Paul Cheng maintained a Sector Perform rating and increased the price target from $33 to $40 [5]