I think you mean PBF buys Torrrance, not Anacortes refinery. The Torrance facility has had a number of issues with fires and breakdowns, so maybe TSO just didn't want to be on the hook for the needed upgrades that CA would require before reopening it
Whether the export ban lift comes to fruition now or after the next president takes office(more likely), does this lifting of the ban make it more or less likely that TSO will pursue acquisitions like HFC?.
yep. and the reason this nevers gets translated into a respectable PE multiple, is that when these blowouts happen they typically vanish. Seasonally, margins crash to negative every winter for a few months., long enough for Wall Street to dismiss the bankability of the earnings flow. Maybe this winter they will just dive and not crash. Maybe slowly we can see PE of double digits. And if so, they TSO goes to 130-150. Hope so. Long with leverage.
$24.60 per barrel were reported for the Tesoro Index in California.
Retail margins were just under $.98 per gallon, net after transport. That was 75% higher than Q2.
Those sorts of numbers suggest that EPS could EASILY surpass $6 per share.
It would have been well-nigh impossible for TSO to have obtained regulatory approval to purchase yet another California refinery. Such concentration in one market would simply not be permitted.
why did TSO let PBF buy the Exxon refinery at Anacortes ? PBF only paid $34/barrel which is a steal.
TSO paid $45/barrel for its last refinery buy. Looks like this one slipped thru Goff's fingers.
they publish an index on their website. shows margin incentives in all three regions, and then quarterly they compare actual capture vs. potential. more precise than any one crude type or crack spread.
I noticed that TSO often doesn't seem to trade in lockstep with the other refiners. Today for instance TSO is flat to up slightly while the others are down 2-3 % Why the difference? Which type/grade of crude is most relevant to evaluating Tesoro?
one Yahoo analyst has Q3 earnings at almost $7/share. you think the stock should trade at less than 5 PE multiple?? really? Don't you think some hedge fund would step in an buy at that price and extract the value??
Oh yeah. On the 24th of August TSO was at $90 when you said it was heading to $60. What is it today? $94. Some big drop you forecasted. There is absolutely nothing in the fundamentals that would allow fall to $60. TSO is absolute value bargain now below $95. SHORTs lose big! You lose big!
I'll pretend you're not as stupid as you appear.
One of the largest independent refiners and marketers of petroleum products in the United States, Tesoro boasts a track of above-average earnings growth of 21.4% over the past 5 years. This trend is likely to continue with an expected 74% earnings growth for this fiscal year. The stock has seen solid earnings estimate revisions of 35.3% over the past 30 days for the current fiscal year.
From a balance sheet perspective, Tesoro has lower debt with debt-to-equity ratio of 0.52 while return on equity (ROE) is high at 18.9% – above the industry average of 15.6%. Additionally, it yields 2.17% in annual dividend. The stock has a Zacks Rank #2 and a solid Zacks Industry Rank in the top 15% (read: 3 Reasons Value Stock Investors Will Love Tesoro Corporation).
Sentiment: Strong Buy
You must be the short who keeps trying to drive the stock down by spreading false or misleading information.
I bet you are the one who thought spewing the bull about air powered cars would get rid of the need for gasoline. And also, how many aliases do you have? Shorts in TSO are desperate. Ha Ha Ha...nice to see a short lose and show their stupidity.
GIVE UP! If you are short this stock you lose!
Last month these same fast money guys said it was going to 120. Advice on TV is often worth what you pay for it.
TSO is in the sweet spot of retail margins. West Coast margins are holding at 10-15$/bbl above rest of US. HFC is another locally favored name in the space.
Look at that 2016 estimate.....about 65% of the 2015 estimate. When these refiners turn it will be ugly for a few years. Happens every time. Similar to MU (Micron tech). When the cycle turns.....you better be ready to exit.