Delek Logistics Partners, L.P. (DKL) vs World Kinect Corporation (WKC)

Delek Logistics Partners, L.P. and World Kinect Corporation are both Oil & Gas Refining & Marketing companies. Delek Logistics Partners, L.P. is the larger, with a market value of $3.0B against $1.9B — 1.6× the size. World Kinect Corporation has negative trailing earnings, so its P/E is not meaningful; Delek Logistics Partners, L.P. trades at 17.7×. Delek Logistics Partners, L.P. grew revenue faster over the last twelve months: 30.3% against 21.1%. Delek Logistics Partners, L.P. has the higher net margin (12.9% vs −0.37%) and the higher return on invested capital (4.97% vs −1.54%). Both pay a dividend; Delek Logistics Partners, L.P. yields more (11.1% vs 2.34%). Across the 21 metrics below, Delek Logistics Partners, L.P. leads on 14 and World Kinect Corporation on 7.

Valuation

Metric DKL WKC Oil & Gas Refining & Marketing median
P/E 17.68 n/m 8.38
P/S 2.25 0.04 0.33
P/B n/m 1.46 1.70
Price to free cash flow 22.86 22.93 5.86
EV/EBITDA 15.59 8.16 4.96
EV/Sales 4.26 0.05 0.46
Earnings yield 5.66% (7.96%) 9.67%
Free cash flow yield 4.37% 4.36% 15.55%

Profitability

Metric DKL WKC Oil & Gas Refining & Marketing median
Gross margin 17.58% 2.54% 10.93%
Operating margin 15.32% (0.10%) 7.14%
Net margin 12.85% (0.37%) 2.70%
Free cash flow margin 9.84% 0.18% 6.17%
Return on equity (826.14%) (11.46%) 21.95%
Return on assets 5.48% (2.55%) 5.76%
Return on invested capital 4.97% (1.54%) 13.74%

Growth

Metric DKL WKC Oil & Gas Refining & Marketing median
Revenue growth (TTM) 30.33% 21.06% 26.02%
EPS growth (last fiscal year) 10.37% (1,072.57%) 37.92%
Revenue growth, 5-year CAGR 12.46% 12.64% 13.17%
Net income growth, 5-year CAGR 4.66% 0.00% 0.00%

Health

Metric DKL WKC Oil & Gas Refining & Marketing median
Debt to equity (34.54) 0.54 0.41
Current ratio 0.96 1.04 1.31
Net debt to EBITDA 7.63 1.81 2.07

Dividend

Metric DKL WKC Oil & Gas Refining & Marketing median
Dividend yield 11.13% 2.34% 2.20%
Payout ratio 1.97 — 0.25

Size

Metric DKL WKC Oil & Gas Refining & Marketing median
Market cap 2.96b 1.87b 3.91b

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