NYSE:HFC

Stock Analysis Report

Executive Summary

HollyFrontier Corporation operates as an independent petroleum refiner in the United States.

Snowflake

Fundamentals

Adequate balance sheet average dividend payer.


Similar Companies

Share Price & News

How has HollyFrontier's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

HFC

-1.8%

US Oil and Gas

0.4%

US Market


1 Year Return

-13.3%

HFC

-21.8%

US Oil and Gas

6.9%

US Market

Return vs Industry: HFC exceeded the US Oil and Gas industry which returned -21.5% over the past year.

Return vs Market: HFC underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

HFCIndustryMarket
7 Day1.7%-1.8%0.4%
30 Day3.3%-6.6%-1.2%
90 Day12.9%-9.2%-0.4%
1 Year-11.0%-13.3%-18.9%-21.8%9.3%6.9%
3 Year147.1%124.2%-8.3%-16.5%45.8%36.4%
5 Year46.8%22.7%-24.8%-35.3%62.9%45.1%

Price Volatility Vs. Market

How volatile is HollyFrontier's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is HollyFrontier undervalued compared to its fair value and its price relative to the market?

10.11x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: HFC ($54.8) is trading above our estimate of fair value ($47.12)

Significantly Undervalued: HFC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HFC is poor value based on its PE Ratio (10.1x) compared to the Oil and Gas industry average (9.8x).

PE vs Market: HFC is good value based on its PE Ratio (10.1x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: HFC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: HFC is overvalued based on its PB Ratio (1.5x) compared to the US Oil and Gas industry average (0.9x).


Next Steps

Future Growth

How is HollyFrontier forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-0.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HFC's earnings are forecast to decline over the next 3 years (-0.7% per year).

Earnings vs Market: HFC's earnings are forecast to decline over the next 3 years (-0.7% per year).

High Growth Earnings: HFC's earnings are forecast to decline over the next 3 years.

Revenue vs Market: HFC's revenue is expected to decline over the next 3 years (-0.6% per year).

High Growth Revenue: HFC's revenue is forecast to decline over the next 3 years (-0.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: HFC's Return on Equity is forecast to be low in 3 years time (12.9%).


Next Steps

Past Performance

How has HollyFrontier performed over the past 5 years?

25.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: HFC's earnings have grown significantly by 25.6% per year over the past 5 years.

Accelerating Growth: HFC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HFC had negative earnings growth (-33.4%) over the past year, making it difficult to compare to the Oil and Gas industry average (22.6%).


Return on Equity

High ROE: HFC's Return on Equity (15.6%) is considered low.


Return on Assets

ROA vs Industry: HFC has a higher Return on Assets than the Oil and Gas industry average last year.


Return on Capital Employed

ROCE Improving: HFC has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is HollyFrontier's financial position?


Financial Position Analysis

Short Term Liabilities: HFC's short term assets ($3.5B) exceeds its short term liabilities ($1.7B)

Long Term Liabilities: HFC's short term assets (3.5B) do not cover its long term liabilities (3.9B)


Debt to Equity History and Analysis

Debt Level: HFC's debt to equity ratio (37.8%) is considered satisfactory

Reducing Debt: HFC's debt to equity ratio has increased from 15.4% to 37.8% over the past 5 years.

Debt Coverage: HFC's debt is well covered by operating cash flow (72.8%).

Interest Coverage: HFC's interest payments on its debt are well covered by EBIT (14x coverage).


Balance Sheet

Inventory Level: HFC has a high level of physical assets or inventory.

Debt Coverage by Assets: HFC's debt is covered by short term assets (assets are 1.405880x debt).


Next Steps

Dividend

What is HollyFrontier's current dividend yield, its reliability and sustainability?

2.41%

Current Dividend Yield


Dividend Yield vs Market

company2.4%marketbottom25%1.4%markettop25%3.7%industryaverage4.2%forecastin3Years2.5%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: HFC's dividend (2.41%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: HFC's dividend (2.41%) is low compared to the top 25% of dividend payers in the US market (3.72%).

Stable Dividend: HFC's dividend payments have been volatile in the past 10 years.

Growing Dividend: HFC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (24.3%), HFC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HFC's dividends in 3 years are forecast to be well covered by earnings (29% payout ratio).


Next Steps

Management

What is the CEO of HollyFrontier's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

George Damiris (59yo)

3.8yrs

Tenure

US$11,350,368

Compensation

Mr. George J. Damiris has been the Chief Executive Officer and President of HollyFrontier Corporation since January 1, 2016. Mr. Damiris has been Chief Executive Officer of Holly Logistic Services, LLC, th ...


CEO Compensation Analysis

Compensation vs. Market: George's total compensation ($USD11.35M) is about average for companies of similar size in the US market ($USD6.79M).

Compensation vs Earnings: George's compensation has been consistent with company performance over the past year.


Management Age and Tenure

3.8yrs

Average Tenure

60yo

Average Age

Experienced Management: HFC's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

8.8yrs

Average Tenure

64.5yo

Average Age

Experienced Board: HFC's board of directors are considered experienced (8.8 years average tenure).


Insider Trading

Insider Buying: HFC insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$124,30006 Aug 19
Franklin Myers
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares2,500
Max PriceUS$49.72
BuyUS$124,06209 May 19
Franklin Myers
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares2,900
Max PriceUS$42.78
SellUS$497,43025 Feb 19
Michael Jennings
EntityIndividual
Role
Member of the Board of Directors
Director
Shares9,000
Max PriceUS$55.27
SellUS$844,08015 Feb 19
Turtle Creek Management, LLC
EntityCompany
Shares17,000
Max PriceUS$51.06
SellUS$92,42904 Dec 18
Robert Kostelnik
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,500
Max PriceUS$62.29

Ownership Breakdown


Management Team

  • Jack Reid (83yo)

    Executive VP

    • Tenure: 0yrs
    • Compensation: US$271.54k
  • William Gray (78yo)

    Senior VP

    • Tenure: 0yrs
    • Compensation: US$110.35k
  • George Damiris (59yo)

    CEO, President & Director

    • Tenure: 3.8yrs
    • Compensation: US$11.35m
  • Stephen Wise

    Treasurer & VP

    • Tenure: 0yrs
  • Rich Voliva (41yo)

    CFO & Executive VP

    • Tenure: 2.6yrs
    • Compensation: US$3.27m
  • John Gann (61yo)

    Chief Accounting Officer

    • Tenure: 0yrs
  • James Stump (51yo)

    Senior Vice President of Refining

    • Tenure: 8.3yrs
    • Compensation: US$2.22m
  • Tom Creery (60yo)

    Senior Vice President of Commercial

    • Tenure: 3.8yrs
    • Compensation: US$2.12m
  • Paige Kester

    Vice President of Aquisitions & Corporate Development

    • Tenure: 6.8yrs
  • Craig Biery

    Director of Investor Relations

    • Tenure: 0yrs

Board Members

  • Franklin Myers (66yo)

    Independent Chairman of the Board

    • Tenure: 0.7yrs
    • Compensation: US$299.03k
  • Mike Jennings (53yo)

    Director

    • Tenure: 8.8yrs
    • Compensation: US$467.03k
  • James Lee (70yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$282.53k
  • George Damiris (59yo)

    CEO, President & Director

    • Tenure: 3.8yrs
    • Compensation: US$11.35m
  • Doug Bech (73yo)

    Independent Lead Director

    • Tenure: 0yrs
    • Compensation: US$331.03k
  • Bob Kostelnik (67yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$308.63k
  • Anna Catalano (60yo)

    Independent Director

    • Tenure: 1.9yrs
    • Compensation: US$282.63k
  • Lel Echols (63yo)

    Independent Director

    • Tenure: 10.8yrs
    • Compensation: US$310.03k
  • Mike Rose (72yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$302.53k
  • Anne-Marie Ainsworth (63yo)

    Independent Director

    • Tenure: 1.9yrs
    • Compensation: US$285.03k

Company Information

HollyFrontier Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: HollyFrontier Corporation
  • Ticker: HFC
  • Exchange: NYSE
  • Founded: 1947
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: US$8.953b
  • Shares outstanding: 163.37m
  • Website: https://www.hollyfrontier.com

Number of Employees


Location

  • HollyFrontier Corporation
  • 2828 North Harwood
  • Suite 1300
  • Dallas
  • Texas
  • 75201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HFCNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
HL8DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968

Biography

HollyFrontier Corporation operates as an independent petroleum refiner in the United States. The company operates through three segments: Refining, Lubricants and Specialty Products, and HEP. It primarily  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 23:36
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.