DKL News & Analysis

Delek Logistics (DKL) Raises Dividend to $1.135 Amid Share Offering

Delek Logistics Partners (NYSE: DKL) raised its quarterly dividend by $0.005 to $1.135 per share on July 22, marking its third increase this year and the 54th consecutive quarter of dividend boosts. The company announced a 4 million-share offering at $50 per share, which is lower than its closing price of $60 on August 12, causing a nearly 13% drop in stock price on August 13. This brings Delek's dividend yield to 7.7%, attractive considering its annual payout of $4.54 per share. The increase in dividends indicates a strong commitment to returning value to shareholders despite the dilution from the share offering, which affects roughly $200 million of its $2.8 billion market cap.