DKL vs GEL: Diverging Paths for These Energy Midstream MLPs
Key Takeaways
- DKL and GEL are both energy midstream MLPs, but they are diverging sharply in momentum and market positioning.
- DKL has posted a strong year-to-date return of roughly 30%, while GEL has lagged with a single-digit gain and recently traded near its 52-week low.
- DKL offers a higher distribution yield (around 8%) and has raised its payout for 29 consecutive quarters; GEL's yield is lower and its balance-sheet leverage is significantly higher.
- GEL is valued on an elevated trailing P/E (price-to-earnings) multiple of roughly 67x, whereas DKL trades near 19x.
- DKL benefits from growth projects in the Permian's Delaware Basin, while GEL faces operational setbacks and reduced adjusted EBITDA guidance.
Why These Two Midstream Names Stand Out
Investors following the energy infrastructure space often look at master limited partnerships for their fee-based cash flows and quarterly distributions. DKL (Delek Logistics Partners, LP) and GEL (Genesis Energy, L.P.) fit that profile, yet recent performance has driven their results in opposite directions. In my view, this comparison highlights differences in business models, momentum, risk, and positioning that matter most to income-focused investors tracking distribution sustainability and leverage. I also checked this using Tickeron’s AI Screener to see how the two compare within the broader midstream group.
Delek Logistics Partners (DKL) Overview and Recent Performance
Delek Logistics Partners, LP owns and operates crude oil, intermediate, and refined products logistics and marketing assets. These include gathering and processing, pipelines, storage, terminalling, and water services, all tied to the Delek US refining system for relatively stable, fee-based cash flows.
Recently, DKL has been one of the stronger performers in its peer group. Year-to-date returns sit near 30%, with one-year returns also above 30%, ahead of the broader Oils-Energy sector. Units have traded in a 52-week range of roughly $42 to $61. Support has come from a 29th consecutive quarterly distribution increase and an expanded revolving credit facility. Growth is supported by the ramp of the Libby 2 gas processing plant and related infrastructure in the Delaware Basin. Low volatility, with a five-year beta near 0.4, and an approximate 8% yield add to the income appeal, though some models indicate the units have moved ahead of near-term fair-value estimates.
Genesis Energy (GEL) Overview and Recent Performance
Genesis Energy, L.P. provides midstream services across three segments: offshore pipeline transportation (including Gulf of America crude oil and natural gas infrastructure), marine transportation, and onshore transportation and services that also cover sulfur removal and an alkali (soda ash) business acquired from Tronox.
GEL has shown weaker recent momentum. After volatility, units have moved toward the lower end of a 52-week range of roughly $13.55 to $18.64 and recently touched a 52-week low, leaving the stock roughly flat to modestly higher year-to-date. Sentiment has been pressured by operational setbacks, project delays, and a reduction in adjusted EBITDA guidance to around $575 million for the year, implying a modest year-over-year decline. The partnership also carries meaningful leverage, with a debt-to-equity ratio well above typical midstream peers. These factors have weighed on relative performance, even as analysts note potential long-term catalysts from major capital projects nearing completion. From what I see, I checked the price action here using Tickeron’s AI Real Time Patterns for additional context on recent trends.
Head-to-Head Comparison
Although both are energy midstream MLPs, their profiles differ in several important ways. DKL focuses on onshore crude and refined products logistics tied to a refining sponsor, which supports relatively stable, contract-based cash flows and lower volatility (beta near 0.4). GEL has more diversified but operationally complex exposure across offshore pipelines, marine vessels, and an alkali business, which adds commodity and execution sensitivity.
On growth drivers, DKL’s catalyst centers on Delaware Basin gathering and processing expansion, while GEL’s ties to completing large capital projects and deleveraging. Risk profiles also diverge: DKL trades near a 19x P/E with a debt-to-EBITDA ratio around 7x, whereas GEL screens expensive at roughly 67x trailing P/E, shows high debt-to-equity leverage, and carries an interest-coverage ratio near 1x. Market sentiment has favored DKL’s momentum and distribution growth over GEL’s turnaround narrative, though GEL’s cash-flow-based valuation models suggest more apparent long-term upside if execution improves. One thing that stands out is how these valuation gaps have widened recently.
AI Verdict on the Relative Outlook
Based on observable factors, the AI assessment would likely favor DKL in the current environment. The signal set—consistent upward trend, 29 consecutive distribution increases, lower beta, a clearer near-term growth catalyst, and stronger year-to-date relative performance—tilts the balance toward DKL. By contrast, GEL presents a more mixed picture: a higher-valuation multiple, elevated leverage, reduced guidance, and price action near 52-week lows point to weaker trend consistency despite potentially attractive longer-term cash-flow upside. This reflects a probabilistic assessment of current positioning rather than a definitive forecast; shifts in execution, energy prices, or capital-allocation policy could change the relative outlook.
Enhancing Research with Tickeron’s AI Tools
When comparing names like these, I often turn to Tickeron’s Trending AI Robots to review automated strategies that align with midstream trends. The platform curates best-performing bots with performance data and signal consistency, helping me cross-check momentum and risk factors in a systematic way without replacing my own analysis.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
Momentum Indicator for GEL turns negative, indicating new downward trend
GEL saw its Momentum Indicator move below the 0 level on September 04, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 94 similar instances where the indicator turned negative. In 63 of the 94 cases, the stock moved further down in the following days. The odds of a decline are at 67%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Moving Average Convergence Divergence Histogram (MACD) for GEL turned negative on September 02, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 60 similar instances when the indicator turned negative. In 38 of the 60 cases the stock turned lower in the days that followed. This puts the odds of success at 63%.
GEL moved below its 50-day moving average on September 15, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for GEL crossed bearishly below the 50-day moving average on September 21, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 8 of 17 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 47%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where GEL declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 62%.
The Aroon Indicator for GEL entered a downward trend on October 02, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where GEL's RSI Oscillator exited the oversold zone, 22 of 28 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 79%.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 19 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
GEL may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 16 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (26.596) is normal, around the industry mean (179.095). GEL has a moderately high P/E Ratio (66.952) as compared to the industry average of (22.536). Projected Growth (PEG Ratio) (0.750) is also within normal values, averaging (13.660). Dividend Yield (0.052) settles around the average of (0.050) among similar stocks. P/S Ratio (1.023) is also within normal values, averaging (4.657).
The Tickeron Profit vs. Risk Rating rating for this company is 24 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 41, placing this stock better than average.
The Tickeron PE Growth Rating for this company is 46 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 49 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of 49 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 75 (best 1 - 100 worst), indicating slightly worse than average price growth. GEL’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
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an operator of natural gas pipelines
Industry OilGasPipelines
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