• In January 2026, Performance Shipping announced a three-year time charter agreement with PBF Holding Company, a PBF Energy subsidiary, for its Aframax tanker M/T P. Monterey, expected to generate about US$33,000,000 in gross revenue over the minimum term.
• The deal highlights PBF Energy’s effort to reinforce its logistics footprint through longer-term shipping arrangements that can support greater operational planning and supply security.
• We’ll now explore how this new three-year tanker charter with Performance Shipping influences PBF Energy’s investment narrative and long-term logistics positioning.

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What Is PBF Energy's Investment Narrative?

To own PBF Energy, you need to be comfortable with a cyclical refiner that is currently unprofitable but trading on what looks like a low sales multiple, while management continues to return cash via dividends and past buybacks. The key near term catalysts remain refining margins, the upcoming Q4 2025 earnings release on 12 February 2026, and any changes to throughput guidance or capital allocation. Against that backdrop, the new three year charter with Performance Shipping looks more like a tactical logistics upgrade than a needle mover for earnings, though it does fit a pattern of tightening up operations and supply security. Given recent share price strength and an analyst target that now sits below the market price, risk appetite around refining margins and dividend sustainability still matters more than this shipping deal.

However, one risk that stands out here is not immediately obvious from the headline numbers, and investors should understand it. PBF Energy's shares are on the way up, but they could be overextended by 9%. Uncover the fair value now.

Exploring Other Perspectives

Five Simply Wall St Community fair value views span from US$20.00 to a very large US$350.33, underlining just how differently people see PBF. Set that against the current focus on margin volatility and dividend cover, and it is clear you are weighing very different futures for the same refiner.

Explore 5 other fair value estimates on PBF Energy - why the stock might be worth 39% less than the current price!

Build Your Own PBF Energy Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your PBF Energy research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free PBF Energy research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate PBF Energy's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.