Research from Water Tower Research, Water Tower Research

Water Tower Research

Water Tower Research is a leading equity research firm that provides research on micro, small and mid cap companies.

Water Tower Research was founded by Wall Street veterans after witnessing a fundamental shift in the investment research industry with the result being a declining knowledge base among investors, a lack of awareness and a shrinking pool of fundamental research being conducted on companies across the small-cap and micro-cap spectrum. The same issues are now increasingly occurring in the mid-cap space. This sea change within the investment community is impacting not only the companies themselves but also current shareholders and potential investors. With significantly less active sell-side sponsorship by Wall Street, a substantial information gap has developed between companies and various constituents in the financial community. The net result is fewer channels for insight and information to flow between companies and investors.

Research from Water Tower Research

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<div><ul><li>Darling Ingredients, Inc. (NYSE: DAR) is a global leader in sustainable solutions, transforming animal by-products, used cooking oil, and food waste into ingredients for food, feed, and fuel. </li><li>The company’s Diamond Green Diesel (DGD) JV with Valero (VLO) is the largest renewable fuels producer in the US, with 1.2 billion gallons of renewable diesel (RD) and sustainable aviation fuel (SAF) capacity.</li><li>DAR results beat expectations, with 4Q25 Combined Adjusted EBITDA of $336 million ($279 million FactSet consensus). By business segment: Feed EBITDA $193 million ($169 million consensus), Food EBITDA $82 million ($72 million consensus), and Fuel EBITDA $85 million (including DGD) ($45.5 million consensus).</li></ul></div>

Darling Ingredients, Inc. (NYSE: DAR) is a global leader in sustainable solutions, transforming animal by-products, used cooking oil, and food waste into ingredients for food, feed, and fuel. The company’s Diamond Green Diesel (DGD) JV with Valero (VLO) is the largest renewable fuels producer in the US, with 1.2 billion gallons of renewable diesel (RD) and sustainable aviation fuel (SAF) capacity.DAR results beat expectations, with 4Q25 Combined Adjusted EBITDA of $336 million ($279 million FactSet consensus). By business segment: Feed EBITDA $193 million ($169 million consensus), Food EBITDA $82 million ($72 million consensus), and Fuel EBITDA $85 million (including DGD) ($45.5 million consensus).

DAR: 4Q25 a Beat Across Feed, Food, and Fuel; Constructive 2026 Outlook