Investment thesis:
Since our last take on HollyFrontier Corp (HFC), our bearish view did not concretize, as the company's refining business delivered above consensus results on the 2Q2019 contributing to boost earnings, enhance its margins and double its cash on hand.
Going forward and even if gasoline cracks have plunged, we believe that the company will partly offset that by lifting its blend output. Besides, the recent attack on Saudi's largest refinery complex has weakened global supply of refining products, which is positive for the firm's core activity.
That being said, we are