ARKO Petroleum Corp. (APC) vs Delek US Holdings, Inc. (DK)

ARKO Petroleum Corp. and Delek US Holdings, Inc. are both Oil & Gas Refining & Marketing companies. Delek US Holdings, Inc. is the larger, with a market value of $3.9B against $704.0M — 5.6× the size. Delek US Holdings, Inc. trades at the lower P/E: 3.3× against 15.3×. Delek US Holdings, Inc. has the higher net margin (8.70% vs 0.65%) and the lower return on invested capital (30.4% vs 162.5%). Across the 19 metrics below, Delek US Holdings, Inc. leads on 11 and ARKO Petroleum Corp. on 8.

Valuation

Metric APC DK Oil & Gas Refining & Marketing median
P/E 15.25 3.32 7.77
P/S 0.11 0.29 0.31
P/B 2.84 2.35 1.82
Price to free cash flow 30.27 3.27 5.68
EV/EBITDA 0.69 2.66 4.82
EV/Sales 0.15 0.44 0.44
Earnings yield 6.56% 30.13% 11.67%
Free cash flow yield 3.30% 30.57% 15.57%

Profitability

Metric APC DK Oil & Gas Refining & Marketing median
Gross margin 24.14% 15.04% 15.04%
Operating margin 21.56% 13.32% 9.16%
Net margin 0.65% 8.70% 3.96%
Free cash flow margin 0.36% 13.11% 7.06%
Return on equity 26.62% 111.83% 24.84%
Return on assets 3.33% 15.17% 6.65%
Return on invested capital 162.45% 30.35% 20.02%

Growth

Metric APC DK Oil & Gas Refining & Marketing median
Revenue growth (TTM) — 27.13% 27.30%
EPS growth (last fiscal year) (18.20%) 95.67% 37.92%
Revenue growth, 5-year CAGR — 7.99% 13.17%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric APC DK Oil & Gas Refining & Marketing median
Debt to equity 1.18 2.03 0.48
Current ratio 1.18 1.33 1.33
Net debt to EBITDA 3.47 3.73 2.07

Dividend

Metric APC DK Oil & Gas Refining & Marketing median
Dividend yield — 1.59% 2.25%
Payout ratio — 0.05 0.19

Size

Metric APC DK Oil & Gas Refining & Marketing median
Market cap 704.04m 3.92b 3.74b

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