HF Sinclair Under Investigation for Securities Law Violations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy DINO?
Source: Globenewswire
- Executive Leave Impact: HF Sinclair's CEO Tim Go has taken a voluntary leave, resulting in a more than 10% drop in share price during pre-market trading on February 18, which not only undermines investor confidence but may also tarnish the company's reputation in the market.
- Audit Committee Review: The company's Audit Committee is reviewing matters related to its disclosure processes, leading to the release of unaudited fourth quarter and full year 2025 financial results, which could alter investors' perceptions of the company's financial health and increase uncertainty around future financial reporting.
- Investor Claim Opportunities: Block & Leviton is investigating whether HF Sinclair has violated securities laws and may file actions on behalf of investors to recover losses, providing affected investors with potential avenues for claims and enhancing their legal support.
- Whistleblower Reward Program: Individuals with non-public information about HF Sinclair may receive rewards of up to 30% of any successful recovery through the SEC's whistleblower program, which not only encourages information disclosure but could also expose the company to greater legal risks.
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Analyst Views on DINO
Wall Street analysts forecast DINO stock price to rise
11 Analyst Rating
7 Buy
4 Hold
0 Sell
Moderate Buy
Current: 57.850
Low
53.00
Averages
61.36
High
68.00
Current: 57.850
Low
53.00
Averages
61.36
High
68.00
About DINO
HF Sinclair Corporation is an independent energy company that produces and markets light products, such as gasoline, diesel fuel, jet fuel, renewable diesel and other specialty products. Its segments include Refining, Renewables, Marketing, Lubricants & Specialties, and Midstream. The Refining segment includes the operations of its El Dorado, Tulsa, Puget Sound, Navajo, Woods Cross, Parco and Casper Refineries and Asphalt. The Renewables segment includes the operations of the Artesia, Cheyenne and Sinclair RDUs and the Artesia PTU. The Marketing segment includes branded fuel sales. The Lubricants & Specialties segment includes the operations of its Petro-Canada Lubricants, Red Giant Oil and Sonneborn businesses in addition to specialty lubricant products produced at its Tulsa West refinery. The Midstream segment includes petroleum product and crude pipelines, terminal, tankage and loading rack facilities, and refinery processing units that primarily support its refining operations.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Earnings Announcement: HF Sinclair is set to release its Q4 2023 earnings on February 18 before market open, with consensus EPS estimate at $0.45 and revenue forecast at $6.07 billion, reflecting a 6.6% year-over-year decline.
- Historical Performance: Over the past two years, HF Sinclair has consistently beaten EPS estimates 100% of the time, indicating strong earnings stability, while it has surpassed revenue estimates 50% of the time, showcasing adaptability amid market fluctuations.
- Expectation Adjustments: In the last three months, EPS estimates have seen no upward revisions but 12 downward adjustments, indicating cautious market sentiment regarding the company's future profitability; similarly, revenue estimates have faced 7 downward revisions, reflecting concerns over overall demand.
- Market Analyst Insights: Despite challenges, analysts maintain an optimistic outlook for HF Sinclair, particularly in light of a positive refining backdrop, as Piper Sandler has upgraded its rating, suggesting continued confidence in shareholder distributions.
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- Leadership Change: HF Sinclair appointed Franklin Myers as interim CEO and president, leading to a nearly 14% drop in stock price, indicating market unease regarding the leadership transition and its implications for future performance.
- Earnings Highlights: The company reported an adjusted net income of $221 million for the fourth quarter, translating to $1.20 per share, a significant rebound from a $191 million loss a year earlier, reflecting improved core operations and market demand recovery.
- Segment Performance: The refining segment's adjusted EBITDA improved to $403 million from a $169 million loss in the prior year, driven by higher refining margins and small refinery Renewable Identification Number waivers, showcasing the company's resilience in a competitive market.
- Cash Flow and Capital Allocation: HF Sinclair generated $8 million in net cash from operations in the fourth quarter, with total cash and equivalents reaching $978 million, up $178 million year-over-year, demonstrating financial stability and commitment to shareholder returns through dividends and buybacks.
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- Executive Leave Impact: HF Sinclair's CEO Tim Go has taken a voluntary leave, resulting in a more than 10% drop in share price during pre-market trading on February 18, which not only undermines investor confidence but may also tarnish the company's reputation in the market.
- Audit Committee Review: The company's Audit Committee is reviewing matters related to its disclosure processes, leading to the release of unaudited fourth quarter and full year 2025 financial results, which could alter investors' perceptions of the company's financial health and increase uncertainty around future financial reporting.
- Investor Claim Opportunities: Block & Leviton is investigating whether HF Sinclair has violated securities laws and may file actions on behalf of investors to recover losses, providing affected investors with potential avenues for claims and enhancing their legal support.
- Whistleblower Reward Program: Individuals with non-public information about HF Sinclair may receive rewards of up to 30% of any successful recovery through the SEC's whistleblower program, which not only encourages information disclosure but could also expose the company to greater legal risks.
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Company's Current Status: The company has stated that business operations are proceeding as usual despite recent changes in leadership.
CEO Departure: The CEO's voluntary departure has prompted a review of disclosure matters within the company.
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- Dividend Declaration: HF Sinclair has declared a quarterly dividend of $0.50 per share, consistent with previous distributions, demonstrating the company's ongoing ability to maintain stable cash flows, which is likely to attract income-seeking investors.
- Yield Metrics: The forward yield of 3.46% reflects the company's competitiveness in the current market environment, potentially increasing investor interest in its stock.
- Financial Performance: HF Sinclair reported a non-GAAP EPS of $1.20, beating estimates by $0.75, with revenue of $6.46 billion exceeding expectations by $390 million, indicating strong performance in profitability and revenue growth.
- Market Outlook: Despite facing cyclical market challenges, HF Sinclair continues to demonstrate its capacity for shareholder distributions, suggesting that the company may maintain dividend payments in the future, thereby bolstering investor confidence.
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