3 Oil Refiners on Sale from Falling Crude Prices: PBF, MPC, DK

Though most of the energy sector is under pressure recently, refiners are posting good results amid the turmoil. These stocks have been put on sale temporarily by the market, and have great chances to beat earnings going into the future which will send these stocks to new highs. 
The market has rallied sharply since indices hit their recent lows in the middle of October.  Both the S&P 500 and DJIA are back at all-time highs as “risk on” money has flooded back into the market on better than expected third quarter earnings results and as money managers take one last stab at beating their benchmarks before year-end bonuses are determined.
One sector that has not participated in the rally and has posted losses in October is the energy complex which has been hit hard by falling oil prices.  The recent, more than $25 a barrel, fall in oil prices has hit the entire sector, pummeling the small exploration and production sector particularly brutally.
Refinery stocks have not been immune to this pull back but seem to be posting stellar results this quarter. This counterintuitively makes senses as the cost of their primary feedstock has plunged faster than the price of refined products.  Several major independents have crushed expectations and both Chevron’s (NYSE: CVX) and ExxonMobil’s (NYSE: XOM) better than expected results last week were driven by their refinery operations.
Let’s take a look at a few attractive and cheap refinery stocks where the recent downturn looks overdone.
First up is PBF Energy (NYSE: PBF) whose stock rallied sharply this week after posting earnings that just crushed bottom line expectations on a better than expected 8.2% year-over-year rise in revenues during the quarter.  Even with the rise this week, the shares are almost $7 a share below their recent highs this summer and go for a little less than $26 a share. (more)

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