CVR Energy Q3 sales and adjusted EPS beat estimates on higher crack spreads

Overview

• US petroleum refiner's Q3 sales and adjusted EPS beat analyst expectations

• Company to acquire Marathon Petroleum’s St. Paul Park and Mandan refineries and marketing business

• $253 mln liability removed after EPA granted full waiver for Wynnewood refinery

Outlook

• Company expects Q4 2026 petroleum throughput of 210,000-225,000 bpd

• Company sees Q4 2026 crude utilization at 95%-100%

• Company forecasts Q4 2026 nitrogen fertilizer ammonia utilization rate of 88%-93%

Result Drivers

• RECORD CRACK SPREADS - Co said record crack spreads and strong operations drove best quarterly results in its history

• EPA WAIVER IMPACT - $253 mln liability removed from balance sheet after EPA granted full waiver for Wynnewood refinery

• NITROGEN FERTILIZER TURNAROUND - Planned turnaround at East Dubuque facility led to downtime and lower segment results

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "sell" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and 4 "sell" or "strong sell"

• The average consensus recommendation for the oil & gas refining and marketing peer group is "buy."

• Wall Street's median 12-month price target for CVR Energy Inc is $47.00, about 16% below its November 2 closing price of $55.92

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 32 three months ago

Reuters Recommended Reads

• Nov 3 - CVR Energy to buy two Marathon refineries, marketing business for $4.2 billion

• Nov 3 - Marathon beats third-quarter estimates, to sell two refineries to CVR Energy

• Nov 3 - Marathon Petroleum Q3 adjusted EPS beats estimates on higher crack spreads

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)