NYSE:DINO
HF Sinclair Corp
HF Sinclair Corp (DINO) is a major US refiner and marketer generating $26.87B in annual revenue with strong cash flow from operations of $1.31B.
Key Metrics
Investment Thesis
Bull Case
HF Sinclair offers a compelling value play with strong free cash flow generation of $1.31B allowing for consistent dividend payments and share repurchases totaling over $700M annually. The stock provides exposure to the essential energy sector with a diversified asset base that can weather commodity cycles better than non-integrated peers.
Bear Case
Revenue contraction from $38.20B in 2022 to $26.87B indicates sustained demand or margin pressure challenges that may persist if global economic growth slows. The company carries significant long-term debt of $2.77B against total liabilities of $7.26B, creating leverage risks during periods of rising interest rates or lower credit spreads.
About HF Sinclair Corp
HF Sinclair Corporation (DINO) is a leading independent refiner and marketer of petroleum products operating primarily across the United States. The company serves consumers, industrial customers, and transportation sectors by refining crude oil into gasoline, diesel, jet fuel, and lubricants while managing an extensive network of service stations. Key revenue streams include integrated refining operations, wholesale marketing, and retail fuel sales.
Analysis
Management Discussion
Recent financial performance shows a recovery in profitability with net profit rising to $586M in 2025 after a significant drop to $184M in 2024, suggesting operational stabilization. The company generated robust operating profit of $927M supported by high cash flow from operations despite substantial capital expenditures of $449M and debt repayments reflected in negative financing cash flows.
Industry Overview
The US refining industry is characterized by consolidation and a shift toward cleaner fuels as regulatory standards tighten on emissions. Competitors face similar pressures to optimize asset efficiency while managing the transition from traditional hydrocarbons to alternative energy solutions within a capital-intensive environment.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $38.20B | $31.96B | $28.58B | $26.87B |
| Cost of Revenue | $30.68B | $25.78B | $27.02B | $24.57B |
| Gross Profit | $7.52B | $6.18B | $1.56B | $2.30B |
| Operating Expenses | $2.33B | $2.44B | $1.30B | $1.37B |
| Operating Income | $4.05B | $2.20B | $261.0M | $927.0M |
| G&A | $426.5M | $498.2M | $447.0M | $456.0M |
| Stock-Based Comp | $30.3M | $41.1M | $23.0M | $33.0M |
| D&A | $656.8M | $770.6M | $832.0M | $909.0M |
| Depreciation | $442.2M | $474.3M | $509.0M | $515.0M |
| Amortization | $51.0M | $55.1M | $55.0M | $55.0M |
| Other OpEx | $1.91B | $1.94B | $849.0M | $918.0M |
| Non-Operating Income | $-118.2M | $-50.1M | $-43.0M | $-195.0M |
| Interest Expense | $175.6M | $190.8M | — | — |
| Interest Income | $30.2M | $93.5M | $75.0M | $42.0M |
| Pre-Tax Income | $3.94B | $2.15B | $218.0M | $732.0M |
| Income Tax | $894.9M | $441.6M | $34.0M | $146.0M |
| Continuing Ops | $3.04B | $1.71B | $184.0M | $586.0M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $3.04B | $1.71B | $184.0M | $586.0M |
| Minority Interest | $118.5M | $121.2M | $7.0M | $7.0M |
| Net to Common | $2.92B | $1.59B | $177.0M | $579.0M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $6.75B | $6.15B | $5.01B | $4.81B |
| Cash & Equivalents | $1.67B | $1.35B | $800.0M | $978.0M |
| Accounts Receivable | $1.70B | $1.73B | $1.25B | $1.14B |
| Inventory | $3.21B | $2.92B | $2.80B | $2.57B |
| Other Current Assets | $165.6M | $145.8M | $165.0M | $125.0M |
| Long-Term Assets | $11.38B | $11.57B | $11.63B | $11.70B |
| Intangibles | $463.7M | $410.6M | $351.0M | $301.0M |
| Goodwill | $2.98B | $2.98B | $2.98B | $2.98B |
| Operating Leases | $351.1M | $348.0M | $355.0M | $349.0M |
| Other LT Assets | $7.31B | $7.57B | $7.68B | $7.84B |
| Total Assets | $18.13B | $17.72B | $16.64B | $16.51B |
| Current Liabilities | $3.25B | $2.77B | $3.04B | $2.48B |
| Accounts Payable | $2.33B | $2.21B | $2.24B | $1.90B |
| Current Debt | $307.0M | $0 | $350.0M | $0 |
| Current Leases | $109.9M | $107.0M | $77.0M | $85.0M |
| Taxes Payable | $7.8M | $8.8M | $3.0M | $5.0M |
| Other Current Liab | $0 | $0 | $0 | $0 |
| Long-Term Liabilities | $4.86B | $4.70B | $4.25B | $4.78B |
| Long-Term Debt | $2.95B | $2.74B | $2.29B | $2.77B |
| LT Operating Leases | $254.2M | $249.5M | $301.0M | $289.0M |
| Other LT Liab | $1.66B | $1.72B | $1.67B | $1.72B |
| Total Liabilities | $8.11B | $7.48B | $7.30B | $7.26B |
| Shareholders' Equity | $10.02B | $10.24B | $9.35B | $9.25B |
| Retained Earnings | $4.13B | $5.38B | $5.17B | $5.37B |
| AOCI | $-22.0M | $-11.8M | $-47.0M | $-26.0M |
| Treasury Stock | $1.34B | — | — | — |
| Total L&E | $18.13B | $17.72B | $16.64B | $16.51B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $3.04B | $1.71B | $184.0M | $586.0M |
| Non-Cash Adjustments | $253.5M | $742.4M | $1.57B | $988.0M |
| Working Capital Changes | $482.5M | $-156.0M | $-642.0M | $-259.0M |
| Cash from Operations | $3.78B | $2.30B | $1.11B | $1.31B |
| Capital Expenditures | $485.0M | $353.5M | $470.0M | $449.0M |
| Cash from Investing | $-774.5M | $-371.3M | $-468.0M | $-516.0M |
| Debt Repayments | $41.4M | $307.8M | — | — |
| Share Buybacks | $1.37B | $999.3M | $672.0M | $354.0M |
| Dividends Paid | $255.9M | $340.7M | $386.0M | $376.0M |
| Cash from Financing | $-1.56B | $-2.24B | $-1.18B | $-631.0M |
| FX Effect | $-11.3M | $6.7M | $-14.0M | $10.0M |
| Net Change in Cash | $1.43B | $-311.3M | $-554.0M | $178.0M |
| Beginning Cash | $234.4M | $1.67B | $1.35B | $800.0M |
| Ending Cash | $1.67B | $1.35B | $800.0M | $978.0M |
Frequently Asked Questions
How does HF Sinclair Corp make money?
The company's financials reflect four primary segments: Integrated Refining which processes crude oil into various fuel grades; Marketing & Distribution which handles wholesale supply chains to commercial fleets and stations; Retail Operations generating direct consumer sales through its extensive station network; and Specialty Products including lubricants, additives, and alternative fuel solutions.
What are the main risks for DINO?
Investors must monitor crude oil price volatility which directly impacts gross profit margins given the high cost of revenue at $24.57B. Regulatory changes regarding environmental compliance and carbon emissions pose potential costs for refining operations. Refining capacity utilization rates fluctuate with economic cycles, affecting total assets efficiency and cash flow generation.
What is DINO's competitive advantage?
HF Sinclair benefits from a highly integrated business model that captures value across the entire crude-to-retail chain, providing margin protection during volatile oil cycles. The company maintains a strategic geographic footprint with refining assets in key coastal and inland markets ensuring robust distribution access. Strong balance sheet management is evident with $978M in cash and significant capital expenditures directed toward operational efficiency.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.