HF Sinclair Corp Strong Beat, Sector Tailwinds, Raise PT to $105

研报英文原文证据摘录

HF Sinclair Corp Strong Beat, Sector Tailwinds, Raise PT to $105

7 53 4.44

Capital Allocation: The company is evaluating several projects that management Q4E 1.81 1.81 0 2.50

believes would be accretive to earnings and create attractive shareholder value. 12/26E 9.43 11.80 25 11.92

Excess capital will either be invested in these opportunities or returned to 12/27E 7.04 8.32 18 9.16

shareholders. 12/28E 7.45 7.46 0 6.13

Balance Sheet Philosophy: Management reiterated that it has no intention of Manav Gupta

holding surplus cash on the balance sheet, emphasizing a disciplined capital Analyst

allocation framework. manav.gupta@ubs.com

+1-212-713 4399

Strategic transaction to create value Saumya Jain

DINO announced plans to pursue a separation of its Lubricants & Specialties segment Associate Analyst

through the capital markets, creating a new independent, publicly traded company. As saumya.jain@ubs.com

an independent company, Lubricants & Specialties will operate a capital-light business +1-212-882 0089

model built for greater financial flexibility and stronger, more consistent free cash flow. Sumantra Banerjee

Targeted completion in 2H 2027. DINO is looking at a tax efficient transaction, a key Associate Analyst

reason for spin vs. sale. sumantra.banerjee@ubs.com

+1-212-713 5104

Adjusting estimates

Highlights (US$m) 12/23 12/24 12/25 12/26E 12/27E 12/28E 12/29E 12/30E

Revenues 31,964 28,580 26,869 33,875 31,622 31,958 31,938 31,938

EBIT (UBS) 2,437 316 1,393 2,800 1,882 1,596 1,765 1,765

Net earnings (UBS) 1,819 194 950 2,107 1,405 1,178 1,312 1,312

EPS (UBS, diluted) (US$) 9.57 1.01 5.10 11.80 8.32 7.46 8.75 9.01

DPS (net) (US$) 1.80 1.89 2.04 2.18 2.40 2.64 2.91 3.20

Net (debt) / cash (1,385) (1,488) (1,791) (175) 305 422 953 1,654