Insider Confidence On Display: Frederec Green Acquires $129K In Delek Logistics Partners Stock

On June 13, Frederec Green, Director at Delek Logistics Partners DKL executed a significant insider buy, as disclosed in the latest SEC filing.

What Happened: Green demonstrated confidence in Delek Logistics Partners by purchasing 3,053 shares, as reported in a Form 4 filing with the U.S. Securities and Exchange Commission on Friday. The total value of the transaction is $129,996.

At Friday morning, Delek Logistics Partners shares are down by 0.0%, trading at $43.33.

About Delek Logistics Partners

Delek Logistics Partners LP owns and operates logistics and marketing assets for crude oil and intermediate and refined products. The company's segment includes gathering and processing; wholesale marketing and terminalling; storage and transportation and investment in pipeline joint ventures. It generates maximum revenue from the wholesale marketing and terminalling segment, which provides marketing services for the refined products output of the Delek Holdings' refineries, engages in wholesale activity at its terminals and terminals owned by third parties, whereby it purchases light product for sale and exchange to third parties, and provides terminalling services at its refined products terminals to independent third parties and Delek Holdings.

Delek Logistics Partners: Financial Performance Dissected

Revenue Growth: Delek Logistics Partners's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2025, the company experienced a revenue decline of approximately -0.85%. This indicates a decrease in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.

Exploring Profitability:

• Gross Margin: The company shows a low gross margin of 21.51%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.

• Earnings per Share (EPS): Delek Logistics Partners's EPS reflects a decline, falling below the industry average with a current EPS of 0.73.

Debt Management: With a high debt-to-equity ratio of 22.14, Delek Logistics Partners faces challenges in effectively managing its debt levels, indicating potential financial strain.

Exploring Valuation Metrics Landscape:

• Price to Earnings (P/E) Ratio: The current P/E ratio of 14.54 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.

• Price to Sales (P/S) Ratio: The Price to Sales ratio is 2.3, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): At 11.14, the company's EV/EBITDA ratio outperforms industry norms, reflecting positive market perception. This positioning indicates optimistic expectations for the company's future performance.

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

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Why Insider Transactions Are Important

It's important to note that insider transactions alone should not dictate investment decisions, but they can provide valuable insights.

Within the legal framework, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.

However, insider sells may not always signal a bearish view and can be influenced by various factors.

Understanding Crucial Transaction Codes

Surveying the realm of stock transactions, investors often give prominence to those unfolding in the open market, systematically detailed in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C denotes the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Delek Logistics Partners's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.