PBFX - PBF Logistics: Deleveraging Might Be The Plan But It Should Be Over Soon

• PBF Logistics reduced their distributions by 42% earlier in 2020, and during their recent conference call, management spoke of deleveraging.
• This appears to be their focus for the time, but it should not last too long since their leverage is only moderate.
• They should produce ample free cash flow after distribution payments, meaning that they can deleverage even further in the coming years if desired.
• This means their ability to grow and possibly even reinstate their previous distributions is very solid and could occur within one to three years.
• Given this situation, I believe that maintaining my bullish rating is appropriate.

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