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UPDATE: Goldman Sachs Initiates Delek Logistics Partners at Buy on Growth Visibility

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UPDATE: Bank of America Initiates Delek Logistics at Buy on Solid Assets
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Goldman Sachs initiated coverage on Delek Logistics Partners (NYSE: DKL) with a Buy rating and a $26 price target.

Goldman Sachs noted, "DKL's crude and refined product assets generate stable cash flows underpinned by long-term contracts with minimum volume commitments and inflation-indexed fee escalators. The Right of First Offer (ROFO) for assets currently held by its parent enhances future distributable cash flow growth visibility and provides meaningful potential upside to our estimates. DKL has an attractive 7.0% upfront yield and a strong balance sheet with a 2.3X Debt/EBITDA ratio."

Delek Logistics Partners closed at $22.16 on Monday.

Latest Ratings for DKL

DateFirmActionFromTo
May 2015BarclaysMaintainsEqual-weight
Apr 2015BarclaysMaintainsEqual-weight
Dec 2014BarclaysMaintainsEqual-weight

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View the Latest Analyst Ratings

Posted-In: Goldman SachsAnalyst Color Initiation Intraday Update Analyst Ratings

 

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