DA DAR Darling Ingredients Загрузка... : Бычьи и медвежьи мнения аналитиков

Renewable diesel margins remain constructive due to a short RIN market, but the value of the D4 RIN is under pressure; management expects the next RVO rule (Set 3) to lower obligations, indicating current renewable fuel margins may be near a cyclical peak. — This suggests policymakers will likely recalibrate blending mandates to match actual production capacity, potentially capping future RIN values and limiting producer earnings potential beyond 2027.

RIN bank is expected to be exhausted between end of 2026 and mid-2027, which could cause RIN prices to spike further, materially impacting fuel prices and potentially leading to policy intervention. — RIN price volatility is a key swing factor for fuel costs and policies, impacting renewable fuel producers and obligated parties.

Renewable fuel policies (RVO) are a key driver for vegetable oil demand, with soft seed oils seeing durable tailwinds, while geopolitical conflicts remain a headwind to volumes and margins. — The shift in vegetable oil growth from palm to soft oils highlights a durable multi-year trend that benefits processors of soy and soft seeds in North and South America.

Author cites DAR as a current winning long position and advises never reducing a winner below.

Author rhetorically pitches DAR (Darling Ingredients) as a long within the Hedgeye Energy.