Par Pacific Story

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PARR -- USA Stock  

USD 6.47  0.02  0.31%

Whilst many millenniums are getting more into energy space, it makes sense to sum up Par Pacific Holdings. We will evaluate why we are still confident in anticipation of a recovery. Is the firm valuation justified? I am going to cover Par Pacific Holdings perspective on valuation to give you a better outlook on taking a position in it.
Published over a month ago
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Will Par Pacific (NYSE:PARR) continue to add value to retail investors?
The entity currently holds 1.02 B in liabilities with Debt to Equity (D/E) ratio of 2.37, implying Par Pacific greatly relies on financing operations through barrowing. We provide trade recommendations to complement the recent expert consensus on Par Pacific Holdings. Our dynamic recommendation engine exercises a multidimensional algorithm to analyze the firm's potential to grow using all technical and fundamental data available at the time.
We determine the current worth of Par Pacific Holdings using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Par Pacific Holdings based exclusively on its fundamental and basic technical indicators. By analyzing Par Pacific's financials, quarterly and monthly indicators, and related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Par Pacific's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Par Pacific. We calculate exposure to Par Pacific's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Par Pacific's related companies.

Par Pacific Holdings Investment Alerts

Par Pacific investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Par Pacific Holdings performance across your portfolios.Please check all investment alerts for Par Pacific

Par Pacific Valuation Ratios as Compared to Competition

Our valuation model uses many indicators to compare Par Pacific value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Par Pacific competition to find correlations between indicators driving the intrinsic value of Par Pacific.

How Par Pacific utilizes its cash?

To perform a cash flow analysis of Par Pacific, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Par Pacific is receiving and how much cash it distributes out in a given period. The Par Pacific cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Par Pacific Net Cash Flow from Operations is relatively stable at the moment as compared to the past year. Par Pacific reported last year Net Cash Flow from Operations of 105.63 Million

Going after Par Pacific Financials

The firm reported the previous year's revenue of 5.41 B. Net Loss for the year was (242.36 M) with profit before overhead, payroll, taxes, and interest of 597.93 M.

Margins Breakdown

Par Pacific profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Par Pacific itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Par Pacific profit margins.
Profit Margin
Operating Margin
Operating Margin2.96
EBITDA Margin3.1
Gross Margin11.36
Profit Margin0.81

Par Pacific Earnings Before Interest Taxes and Depreciation Amortization EBITDA is increasing over the last 8 years. The latest value of Par Pacific Earnings Before Interest Taxes and Depreciation Amortization EBITDA is 227,560,789. Par Pacific Net Income Per Employee is relatively stable at the moment. Additionally, Par Pacific Revenue Per Employee is increasing over the last 8 years. The latest value of Par Pacific Revenue Per Employee is 3,278,647. Par Pacific Earnings Before Interest Taxes and Depreciation Amortization EBITDA is relatively stable at the moment. Par Pacific Net Income Per Employee is increasing over the last 8 years. The latest value of Par Pacific Net Income Per Employee is 31,272. Additionally, Par Pacific Revenue Per Employee is increasing over the last 8 years. The latest value of Par Pacific Revenue Per Employee is 3,278,647.

Another 3 percent spike for Par Pacific

Latest value at risk is at -8.51. As of the 10th of August, Par Pacific holds the risk adjusted performance of (0.07), and Coefficient Of Variation of (2,178). Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Par Pacific, as well as the relationship between them. Put it differently, you can use this information to find out if the company will indeed mirror its model of past market data, or the prices will eventually revert. We were able to interpolate data for nineteen technical drivers for Par Pacific Holdings, which can be compared to its competitors. Please check Par Pacific Holdings information ratio, potential upside, as well as the relationship between the Potential Upside and kurtosis to decide if Par Pacific Holdings is priced some-what accurately, providing market reflects its current price of 8.06 per share. Given that Par Pacific has jensen alpha of (0.30), we recommend you to check out Par Pacific Holdings's recent market performance to make sure the company can sustain itself at a future point.

The Current Takeaway on Par Pacific Investment

While some other firms under the oil & gas refining & marketing industry are still a bit expensive, Par Pacific may offer a potential longer-term growth to retail investors. The inconsistency in the assessment between current Par Pacific valuation and our trade advice on Par Pacific is due to the recent market swings and your selection of investing horizon. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Par Pacific.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Par Pacific Holdings. Please refer to our Terms of Use for any information regarding our disclosure principles.

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