Update: Delek Logistics Partners' Q2 Earnings Please Investors With 85% Y/Y Net Income Growth And 20% Distribution Growth
Martin Vlcek • Fri, Aug. 8
- Net income increased 85% Y/Y and distribution payments rose 20.3% Y/Y. Current distribution yield is ~4.9%.
- I am reiterating my long thesis with a target price of $40, giving the stock a ~11% upside plus a ~5% cash distribution yield for a total one-year 16% return.
- The long thesis worked well, with DKL increasing its cash distributions by 20% Y/Y on strong results. DKL is a long-term, buy-and-hold investment for income investors.