Par Pacific Holdings Inc (PARR-N)

We reiterate PARR, owner and operator of refining assets in Hawaii, the Pacific North West and Montana, as a TOP PICK.  Recently reported quarterly earnings showed growing cash reserves, as debt is retired and shares bought back.  Management is working on $30-$40 million in annual cost savings to stabilize quarterly earnings going forward.  It trades at 11x earnings, under book value and supports a 26% ROE.  We recommend trailing up the stop (from $13.00) to $14.50, looking to achieve $23.00 -- upside potential of 31%.  Yield 0%

PARR owns and operates refineries suppling products like gasoline and diesel in Hawaii, Washington, and Wyoming -- markets that are growing in demand.  It trades at 12x earnings, under book value and supports a 43% ROE.  We recommend setting a stop-loss at $13, looking to achieve $23 -- upside potential of 27%.  Yield 0% 

Our PAST TOP PICK with PARR has triggered its stop at $20.  To remain disciplined, we recommend covering the position at this time.  

PARR operates under the brand of Hele in Hawaii marketing retail gasoline and diesel as well in other markets such as Wyoming, Washington and Montana.  It trades at 8x earnings, 1.2x book and supports a 44% ROE.  Analysts have built in a bearish earnings outlook ahead of the next earnings report next week, which leaves room for share price rebound if earnings surprise to the upside.  The company has been prudently using some cash reserves to aggressively retire debt and buy back shares.  We recommend setting a stop-loss at $20, looking to achieve $35 -- upside potential of 35%.  Yield 0% 

PARR is responsible for over 180,000 bpd of refined product refining, supplying Hawaii with approximately 80,000 bpd, Montana with over 50,000 bpd, and Wyoming with over 15,000 bpd.  As the summer driving season approaches, refining margins will grow.  It trades at 7x earnings, 1.3x book value, and supports a 44% ROE.  We recommend setting a stop-loss at $21, looking to achieve $41.50 -- upside potential of 45%.  Yield 0%