Delek US Holdings, Inc. (DK) stock analysis

P/E against its history

Not enough price and earnings history to compare.

P/E below the industry

Delek US's P/E of 3.6 is below the Petroleum Refining median of 13.9.

EV/EBITDA below its 5-year median

Delek US's EV/EBITDA of 2.9 is below its 5-year median of 7.2.

P/S below the industry

Delek US's price-to-sales of 0.30 is below the Petroleum Refining median of 0.60 (book value is negative, so we use sales).

Trading below fair value

The share price of $67.16 is below our fair value estimate of $240.46.

Margin of safety over 20%

The price is 72.1% below fair value, more than the 20% cushion we look for.

Revenue growing under 10% a year

Revenue grew -18.5% a year over the last three fiscal years, short of the 10% we look for.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing faster than the industry

Revenue grew 27.1% over the last twelve months; the Petroleum Refining median is 18.4%.

Guidance issued

The latest outlook (2026 adjusted EBITDA, Feb 27, 2026) was issued for the first time, so it neither adds nor takes away points.

Gross margin improving

Gross margin was 15.0% over the last twelve months, against 2.4% a year earlier.

Return on equity

Needs positive equity and five years of results.

Return on invested capital

Needs operating income and invested capital.

Return on equity against the industry

Needs positive equity.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin above its 5-year average

Net margin was 8.7% over the last twelve months, against a 5-year average of -0.9%.

Net margin above the industry

Delek US's net margin of 8.7% is above the Petroleum Refining median of 7.0%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 52.9% of total debt.

Interest coverage

Interest expense is not reported separately.

Short-term assets cover short-term debts

Current assets are 1.33 times current liabilities.

Bankruptcy risk in the grey zone

The Altman Z-score is 2.90; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Delek US paid dividends worth 1.1% of the share price over the last twelve months.

Yield below Treasuries

The 1.1% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Delek US yields 1.1%.

Dividend was cut

The dividend per share fell by more than 10% at least once in the last 10 fiscal years.

Covered by earnings

Dividends take 5.3% of net income.

Covered by free cash flow

Dividends take 5.2% of free cash flow.