📊 DK Key Takeaways
Is Delek US Holdings, Inc. (DK) a Good Investment?
Delek US Holdings faces severe profitability challenges with negative net income and deteriorating returns on equity and assets despite moderate operating margins. The company's highly leveraged balance sheet (5.91x debt-to-equity) combined with weak liquidity metrics (0.82x current ratio) and minimal free cash flow generation creates financial stress. Declining revenue (-9.5% YoY) in a capital-intensive refining business suggests structural headwinds that constrain recovery potential.
Delek US Holdings shows weak fundamental quality: revenue declined, net income turned negative, and free cash flow was essentially breakeven despite sizable operating cash flow. While the business remains operationally viable with positive operating income and decent interest coverage, the combination of very high leverage, low equity, and sub-1.0 current liquidity leaves little margin for error in a cyclical refining environment.
Why Buy Delek US Holdings, Inc. Stock? DK Key Strengths
- Positive operating cash flow of $535.8M demonstrates underlying operational cash generation capability
- Interest coverage ratio of 9.6x indicates sufficient ability to service debt obligations currently
- Substantial cash reserves of $625.8M provides near-term liquidity buffer for operations
- Positive operating income of $301.0M and operating cash flow of $535.8M indicate the core business is still generating cash before capital spending
- Interest coverage of 9.6x suggests near-term interest obligations are currently manageable
- Cash balance of $625.8M provides some liquidity support despite balance sheet pressure
DK Stock Risks: Delek US Holdings, Inc. Investment Risks
- Negative net margin (-0.2%) and net income decline of -152.7% YoY indicate fundamental profitability deterioration
- Highly leveraged capital structure with debt-to-equity of 5.91x and long-term debt of $3.2B limits financial flexibility
- Weak liquidity position with current ratio of 0.82x and quick ratio of 0.53x creates refinancing and operational risk
- Revenue contraction of 9.5% YoY combined with minimal free cash flow (0.1% FCF margin) suggests difficulty funding growth or debt reduction
- Negative ROE (-4.2%) and ROA (-0.3%) indicate shareholder value destruction in the current environment
- Net income of -$22.8M and a net margin of -0.2% show profitability has deteriorated materially
- Debt-to-equity of 5.91x and long-term debt of $3.23B versus only $547.3M of equity indicate an overstretched capital structure
- Current ratio of 0.82x, quick ratio of 0.53x, and free cash flow of just $6.3M point to weak liquidity and limited financial flexibility
Key Metrics to Watch
- Net income trend and path to profitability - critical for viability assessment
- Debt-to-equity ratio reduction and refinancing ability - monitor leverage reduction progress
- Free cash flow generation and sustainability - essential for debt servicing and financial stability
- Revenue stabilization and operating margin resilience - indicators of competitive positioning in refining sector
- Current ratio improvement and working capital management - signals of operational health
- Free cash flow after capital expenditures
- Debt reduction and liquidity ratios
Delek US Holdings, Inc. (DK) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 0.1% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.
DK Profit Margin, ROE & Profitability Analysis
DK vs Energy Sector: How Delek US Holdings, Inc. Compares
How Delek US Holdings, Inc. compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Delek US Holdings, Inc. Stock Overvalued? DK Valuation Analysis 2026
Based on fundamental analysis, Delek US Holdings, Inc. shows some fundamental concerns relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Delek US Holdings, Inc. Balance Sheet: DK Debt, Cash & Liquidity
DK Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Delek US Holdings, Inc.'s revenue has grown significantly by 55% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.30 reflects profitable operations.
DK Revenue Growth, EPS Growth & YoY Performance
DK Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $2.9B | -$76.8M | $-1.20 |
| Q2 2025 | $2.8B | -$37.2M | $-0.58 |
| Q1 2025 | $2.6B | -$32.6M | $-0.51 |
| Q3 2024 | $3.0B | -$76.8M | $-1.20 |
| Q2 2024 | $3.4B | -$8.3M | $-0.13 |
| Q1 2024 | $3.2B | -$32.6M | $-0.51 |
| Q3 2023 | $4.7B | $7.4M | $0.10 |
| Q2 2023 | $4.2B | -$8.3M | $-0.13 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Delek US Holdings, Inc. Dividends, Buybacks & Capital Allocation
DK SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Delek US Holdings, Inc. (CIK: 0001694426)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DK
What is the AI rating for DK?
Delek US Holdings, Inc. (DK) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 81% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are DK's key strengths?
Claude: Positive operating cash flow of $535.8M demonstrates underlying operational cash generation capability. Interest coverage ratio of 9.6x indicates sufficient ability to service debt obligations currently. ChatGPT: Positive operating income of $301.0M and operating cash flow of $535.8M indicate the core business is still generating cash before capital spending. Interest coverage of 9.6x suggests near-term interest obligations are currently manageable.
What are the risks of investing in DK?
Claude: Negative net margin (-0.2%) and net income decline of -152.7% YoY indicate fundamental profitability deterioration. Highly leveraged capital structure with debt-to-equity of 5.91x and long-term debt of $3.2B limits financial flexibility. ChatGPT: Net income of -$22.8M and a net margin of -0.2% show profitability has deteriorated materially. Debt-to-equity of 5.91x and long-term debt of $3.23B versus only $547.3M of equity indicate an overstretched capital structure.
What is DK's revenue and growth?
Delek US Holdings, Inc. reported revenue of $10.7B.
Does DK pay dividends?
Delek US Holdings, Inc. pays dividends, with $62.0M distributed to shareholders in the trailing twelve months.
Where can I find DK SEC filings?
Official SEC filings for Delek US Holdings, Inc. (CIK: 0001694426) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DK's EPS?
Delek US Holdings, Inc. has a diluted EPS of $-0.38.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is DK a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Delek US Holdings, Inc. has a SELL rating with 81% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is DK stock overvalued or undervalued?
Valuation metrics for DK: ROE of -4.2% (sector avg: 14%), net margin of -0.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy DK stock in 2026?
Our dual AI analysis gives Delek US Holdings, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is DK's free cash flow?
Delek US Holdings, Inc.'s operating cash flow is $535.8M, with capital expenditures of $529.5M. FCF margin is 0.1%.
How does DK compare to other Energy stocks?
Vs Energy sector averages: Net margin -0.2% (avg: 12%), ROE -4.2% (avg: 14%), current ratio 0.82 (avg: 1.3).
Is Delek US Holdings, Inc. carrying too much debt?
DK has a debt-to-equity ratio of 5.91x, which is above the Energy sector average of 0.6x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.