What High Diesel Prices Mean for These 5 Energy Stocks
Diesel prices are still running hot months after a Middle East supply shock.
Diesel prices, currently standing at $6.199 per gallon, have dropped from their 2026 peak of $6.529 but remain significantly higher than a year ago. This surge in diesel prices is primarily due to a disruption in Strait of Hormuz shipping, which has caused a supply shock and limited global diesel exports. While this situation is problematic for consumers at the pump, it does not necessarily spell disaster for all companies involved in the oil industry.
Marathon Petroleum, which refines crude into diesel, gasoline, and jet fuel, is the most directly impacted. The company's refining margin doubled in the second quarter of 2026 to $36.33 per barrel, up from $17.58 a barrel a year earlier. Marathon Petroleum's refining segment reported adjusted earnings before interest, taxes, depreciation, and amortization of $6.7 billion, up from $1.9 billion.
However, Marathon Petroleum has experienced previous downturns and has taken steps to adapt, such as selling its Speedway gas stations and spinning off its pipeline business. Chevron and ExxonMobil, on the other hand, are integrated majors that produce, refine, and sell fuels. Their higher margins resulting from the diesel price increase are secondary to their overall business performance.
Energy Transfer and Enterprise Products Partners, which own pipelines, storage tanks, and terminals, benefit from long-term contracts that guarantee payments regardless of shipping, making them more immune to fluctuations in diesel prices. Despite the current high diesel prices, the EIA anticipates these prices to remain elevated through October before easing as supply and refinery output catch up.
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