HF Sinclair initiated with an Outperform at BMO Capital

BMO Capital initiated coverage of HF Sinclair with an Outperform rating and $65 price target. The analyst likes the company’s greater scale and business diversification and expects its execution to improve across refining and renewable diesel. Prior share price overhangs are abating, and HF Sinclair’s premium refining markets provide it with “top-tier margins,” while its low leverage enables strong capital returns, the analyst tells investors in a research note. The firm views the stock’s valuation as inexpensive.