Crossamerica Partners (CAPL) AI Stock Analysis

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Crossamerica Partners

(NYSE:CAPL)

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Rating:50Neutral

Price Target:$20.50▲(3.17% Upside)

Action:reiterated

Date:11/05/26

CrossAmerica scores below average, driven primarily by its strained financial structure: heavy debt of roughly $827 million, negative partner capital, and distributions that consume most of available cash leave little margin for error. Dependable cash generation — about $90 million of free cash flow — is the key support for both the credit and the 10.4% distribution yield, and a reasonable 15.7x P/E adds valuation appeal. Technicals are a further drag, with the units trading below all major moving averages on negative MACD momentum. The latest earnings call was mixed: strong year-to-date EBITDA and cash flow growth and improving merchandise margins were offset by a 6% quarterly EBITDA decline, pressured fuel volumes, thinner distribution coverage, and slightly higher leverage. A recently extended credit facility maturity to 2031 modestly reduces near-term refinancing risk. Overall, this is an income-oriented story with elevated balance sheet risk.

Positive Factors

Strong Cash GenerationMeaningfully positive operating and free cash flow provides internal funding for maintenance capital, debt service, and selected growth investments. Although free cash flow has declined from its 2022 peak, its current scale remains a durable support for liquidity and operating resilience.

Negative Factors

High Leverage and Negative EquityHigh debt combined with negative equity leaves the partnership with a limited capital cushion and less flexibility when operating conditions weaken. Leverage can constrain investment and distributions, while interest obligations increase the sensitivity of equity value and cash allocation to earnings volatility.

Crossamerica Partners Business Overview & Revenue Model

Company Description

CrossAmerica Partners LP primarily operates in the United States, focusing on three main areas: the bulk supply of motor fuels, the management of convenience stores, and the acquisition and leasing of properties vital for retail fuel sales. The entit...

How the Company Makes Money

CAPL primarily makes money through downstream fuel distribution and convenience retail operations. (1) Wholesale fuel distribution: CAPL purchases motor fuel (e.g., gasoline and distillates) and sells it to third-party dealers and company-operated si...

Crossamerica Partners Earnings Call Summary

Earnings Call Date:Nov 04, 2026(Q3-2026)|% Change Since:-1.97%|Next Earnings Date:Mar 01, 2027

Earnings Call SentimentPositive

The call was cautiously positive. Management reported significant year-to-date gains in Adjusted EBITDA and Distributable Cash Flow, stronger merchandise performance, lower operating expenses, asset-sale proceeds, and reduced cash interest expense. These positives were offset by substantial third-quarter fuel-volume pressure, lower quarterly EBITDA, net income, Distributable Cash Flow, and distribution coverage, as well as softer near-term retail volume trends.

Positive Updates

Strong Year-to-Date Performance

Supported by a very strong first half, Adjusted EBITDA was up 22% and Distributable Cash Flow was up 30% year-over-year through the first nine months of 2026.

Negative Updates

Third-Quarter Adjusted EBITDA and Net Income Decline

Third-quarter Adjusted EBITDA declined 6% year-over-year to $38.7 million from $41.3 million, while net income declined to $8.8 million from $13.6 million. The EBITDA decline was primarily driven by lower motor fuel volume in both retail and wholesale.

Company Guidance

Management said it is continuing its targeted real estate efforts in 2026, with a strong pipeline for the balance of the year, though at a lower level than in 2025; it is managing its leverage ratio at approximately four times on a Credit Facility-defined basis, remains focused on company-operated locations, especially in food-related investments, and is looking to close out 2026 strong while maintaining discipline with its balance sheet and generating value for unitholders.

Crossamerica Partners Financial Statement Overview

Summary

A mixed-to-weak financial profile. The balance sheet is the clear weak point (score 24): roughly $827 million of debt against about $976 million of assets, with partner capital negative at about -$85 million and deteriorating as distributions exceed earnings, leaving no equity cushion and real refinancing/interest-rate risk. The income statement is middling (score 49): revenue has fallen every year since the 2022 peak to about $3.7 billion, though gross margin expanded to roughly 14% on a trailing-twelve-month basis and net income improved to about $48 million, albeit on a razor-thin 1.7% net margin. Cash flow is the standout strength (score 62): operating cash flow of about $115 million and free cash flow near $90 million, comfortably exceeding net income, though most of it is committed to debt service and distributions.

Income Statement

49Neutral

Balance Sheet

24Negative

Cash Flow

62Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.08B	3.66B	4.10B	4.39B	4.97B	3.58B
Gross Profit	403.11M	336.22M	398.32M	382.27M	375.77M	276.95M
EBITDA	158.23M	187.81M	147.32M	166.02M	177.13M	114.53M
Net Income	47.71M	41.83M	19.89M	40.10M	61.97M	21.65M
Balance Sheet
Total Assets	975.82M	964.73M	1.11B	1.18B	1.26B	1.34B
Cash, Cash Equivalents and Short-Term Investments	11.86M	3.14M	3.38M	4.99M	16.05M	7.65M
Total Debt	827.17M	907.90M	908.56M	910.47M	943.35M	996.55M
Total Liabilities	1.06B	1.04B	1.14B	1.15B	1.18B	1.28B
Stockholders Equity	-115.59M	-72.04M	-24.78M	30.75M	79.13M	56.56M
Cash Flow
Free Cash Flow	89.88M	55.77M	61.46M	82.45M	130.97M	53.61M
Operating Cash Flow	115.00M	91.50M	87.78M	117.08M	161.32M	95.47M
Investing Cash Flow	9.28M	68.44M	-16.31M	-28.18M	-46.40M	-298.69M
Financing Cash Flow	-122.22M	-160.18M	-73.08M	-99.97M	-106.51M	210.36M

Crossamerica Partners Technical Analysis

Technical Analysis SentimentNegative

Last Price19.87

Price Trends

50DMA21.27Negative

100DMA21.51Negative

200DMA20.94Negative

Market Momentum

MACD-0.43Positive

RSI38.69Neutral

STOCH35.41Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CAPL, the sentiment is Negative. The current price of 19.87 is below the 20-day moving average (MA) of 20.97, below the 50-day MA of 21.27, and below the 200-day MA of 20.94, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 38.69 is Neutral, neither overbought nor oversold. The STOCH value of 35.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CAPL.

Crossamerica Partners Risk Analysis

Crossamerica Partners disclosed 72 risk factors in its most recent earnings report. Crossamerica Partners reported the most risks in the "Finance & Corporate" category.

Finance & Corporate30
Tech & Innovation2
Legal & Regulatory14
Production12
Ability to Sell8
Macro & Political6

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

1 New Risk

1.Capital expenditures are subject to risks that could adversely affect our business, financial condition and results of operations and reduce our ability to make distributions to unitholders.Q4, 2025

Crossamerica Partners Peers Comparison

Overall Rating

UnderperformOutperform

Sector (65)

Financial Indicators

CAPL against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PARR	78Outperform	$3.56B	3.70	55.18%	―	29.06%	298.17%
Sector *	65Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
GLP	65Neutral	$1.51B	7.99	27.62%	7.11%	29.54%	162.03%
SUN	64Neutral	$13.38B	10.59	21.79%	5.01%	135.84%	104.10%
WKC	56Neutral	$1.80B	-11.96	-13.12%	2.47%	21.07%	62.41%
APC	52Neutral	$732.58M	15.14	8.02%	5.39%	―	―
CAPL	50Neutral	$773.77M	15.51	-55.84%	10.57%	9.12%	3.86%

* Energy Sector Average

Performance Comparison

CAPL and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
CAPL	Crossamerica Partners LP	19.87	0.66	3.42%
GLP	Global Partners	43.47	2.76	6.78%
WKC	World Kinect Corporation	34.79	10.52	43.38%
SUN	Sunoco LP	64.98	15.59	31.57%
PARR	Par Pacific Holdings	72.03	28.23	64.45%
APC	ARKO Petroleum Corp. Class A	14.67	-2.19	-13.00%

Crossamerica Partners Corporate Events

DividendsFinancial DisclosuresM&A Transactions

CrossAmerica Partners Reports Lower Third-Quarter Financial Results

Negative

Nov 4, 2026

On November 4, 2026, CrossAmerica Partners reported third-quarter net income of $8.8 million, Adjusted EBITDA of $38.7 million and distributable cash flow of $21.8 million, down from $13.6 million, $41.3 million and $27.8 million, respectively, a yea...

DividendsFinancial Disclosures

CrossAmerica Partners Maintains Q3 Distribution, Earnings Upcoming

Positive

Oct 21, 2026

On October 21, 2026, CrossAmerica Partners LP announced that the board of its general partner approved a quarterly cash distribution of $0.5250 per unit for the third quarter of 2026, unchanged from the second quarter and equivalent to $2.10 per unit...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 05, 2026

Crossamerica Partners AI Stock Analysis