An Earnings Beat: U.S. refiner HollyFrontier Corporation HFC reported net income per share (excluding special items) of $2.25, beating the Zacks Consensus Estimate of $1.99 and ahead of the year-ago period profit of 70 cents.
Estimate Revision Trend & Surprise History: The stock had seen the Zacks Consensus Estimate for fourth-quarter earnings being revised upward by 3 cents over the last 30 days.
Coming to earnings surprise history, the company has a mixed record: its beaten estimates in two of the last four quarters, as shown in the chart below:
HollyFrontier Corporation Price and EPS Surprise
HollyFrontier Corporation Price and EPS Surprise | HollyFrontier Corporation Quote
Revenues Lags Estimates: Revenues of $4.3 billion missed the consensus mark of $5.9 billion but were ahead of the fourth-quarter 2017 sales of $4 billion.
Key Tidbits: Adjusted EBITDA from the Refining segment, which is the main contributor to HollyFrontier’s earnings, was $583.4 million, up from the year-ago quarter’s income of $233.1 million. A 76.7% jump in the refining margins drove the results.
Lubricants and Specialty Products unit generated negative EBITDA of $3.9 million as against the profit of $40.5 million reported in the year-ago quarter owing to continued weakness base oil market weakness and turnaround activities in Mississauga plant in the quarter-under-review.
The company’s midstream unit Holly Energy Partners' EBITDA was $89.9 million, down from $124.6 million in fourth-quarter 2017. Lower volumes from UNEV pipeline and maintenance downtime at Woods Cross during the quarter impacted the results.
Zacks Rank: Currently, HollyFrontier carries a Zacks Rank #5 (Strong Sell).
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
Check back later for our full write up on this HollyFrontier earnings report later!
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-holds for the year?
Who wouldn't? Our annual Top 10s have beaten the market with amazing regularity. In 2018, while the market dropped -5.2%, the portfolio scored well into double-digits overall with individual stocks rising as high as +61.5%. And from 2012-2017, while the market boomed +126.3, Zacks' Top 10s reached an even more sensational +181.9%.
See Latest Stocks Today >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
HollyFrontier Corporation (HFC) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research