Par Pacific Holdings (PARR) Stock Analysis & Winston Score

Par Pacific Holdings is an energy company that refines crude oil into everyday fuels like gasoline, diesel, and jet fuel. It sells these products to gas stations, airlines, the military, and other large fuel buyers. The company operates refineries in Hawaii, Wyoming, Montana, and Washington state, with Hawaii being its largest and most important location. Par Pacific makes most of its money on the "crack spread" — the difference between what it pays for crude oil and what it charges for finished fuel. It also owns a network of retail gas stations and convenience stores, mostly in Hawaii, which adds a steadier stream of income. The company's Hawaii refinery has a natural advantage because the islands are far from the mainland, making it hard for outside competitors to undercut local fuel prices. The biggest risk the business faces is that crack spreads can shrink quickly when crude oil prices rise faster than fuel prices, which can squeeze profits sharply.