Delek Logistics Partners LP

Phillips 66 is viewed as the most credible potential acquirer of Delek US Holdings, whose stock has surged 141% year to date past Wall Street's $64 consensus target. Delek closed at $71.47 on August 21, 2026, near its 52-week high, and an acquirer would gain four refineries with roughly 302,000 barrels per day of capacity plus a 63% controlling stake in Delek Logistics Partners. Marathon Petroleum and Valero Energy each hold about $8 billion in cash but prefer buybacks or demand stronger strategic fit, while Energy Transfer faces leverage and capex constraints. Three Delek executives sold shares on August 17 and 18, 2026, described as routine pre-scheduled sales, and the stock's run-up has compressed the rational takeover premium.

Delek Logistics Partners raised its quarterly distribution by half a cent to $1.135 per share on July 22, marking its third increase this year and 54th consecutive quarterly hike. The midstream company's annual dividend now stands at $4.54 per share, yielding 7.7% after the stock slumped nearly 13% on August 13 following a 4 million-share offering at $50 per share, well below its prior close of $60. The offering dilutes investors by $200 million against a market capitalization of $2.8 billion, with proceeds partly used to retire debt at 6.05% interest. Delek Logistics is up 17.2% year to date, and parent Delek US has reduced its ownership stake from 79% four years ago to about 63%, with Delek expecting 80% of 2026 EBITDA to come from third parties.

The Strait of Hormuz remains a live flashpoint for global oil markets, keeping risk premiums embedded in tanker rates and crude logistics. Scorpio Tankers reported its strongest quarter in company history with adjusted EBITDA above $300 million and product tanker rates above $30,000 per day, while International Seaways posted record Q2 2026 free cash flow and net income of $295 million, or $5.91 per diluted share, with average spot earnings of roughly $51,500 per day. Delek Logistics Partners reaffirmed full-year 2026 adjusted EBITDA guidance of $520 million to $560 million, citing higher crude prices tied to Middle East conflict as a demand driver. Iran said its shipping agreement with Oman is nearing completion but warned the corridor will not fully reopen until the U.S. meets broader demands including sanctions relief and compensation. Energy has been the top-performing S&P 500 sector in 2026, gaining more than 30% year-to-date, though FactSet projects 2027 sector-wide earnings growth to turn negative as geopolitical tensions ease.

Delek Logistics Partners LP reported a quarterly record adjusted EBITDA of $144 million for the second quarter of 2026, up from $127 million in the same period last year, and reaffirmed its full-year 2026 adjusted EBITDA guidance of $520 million to $560 million. The company also announced its 54th consecutive quarterly distribution increase, raising the payout to $1.135 per unit. Gathering and Processing segment adjusted EBITDA surged to $104 million from $78 million a year ago, driven by record Delaware crude gathering volumes of over 157,000 barrels per day and produced water volumes exceeding 687,000 barrels per day. Wholesale Marketing and Terminalling adjusted EBITDA fell to $13 million from $23 million, while Storage and Transportation adjusted EBITDA edged down to $16 million from $17 million. The company issued $800 million in senior notes due 2034 to refinance debt, reducing annual interest costs, and maintained liquidity of approximately $1.1 billion, though leverage rose to 4.23 times.