HollyFrontier downgraded to Neutral from Outperform at Macquarie Macquarie believes the government's forced usage of biofuels is causing unintended consequences that will negatively impact refiners and may result in high RIN prices. The firm recommends taking profits in refiners with the greatest RIN risks and downgraded Valero (VLO) and HollyFrontier (HFC) to Neutral and CVR Energy (CVR) to Underperform.
HollyFrontier jumps after report of Tesoro takeover interest Shares of oil refiner HollyFrontier (HFC) are jumping in early trading after Reuters reported that Tesoro (TSO) made a takeover bid for its smaller peer earlier this year and may still be interested in a potential deal. The companies held talks in the first quarter, but negotiations broke down after HollyFrontier's board rejected Tesoro's terms, including the price it proposed, according to the report, which added that Tesoro is still interested in a deal and the talks may be restarted. HollyFrontier gained about 6.5% to $49 per share in early trading, while Tesoro shares are down 1% to $96.76.