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Marathon Petroleum (MPC) Gains But Lags Market: What You Should Know
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Marathon Petroleum (MPC - Free Report) closed the most recent trading day at $105.37, moving +1.22% from the previous trading session. This move lagged the S&P 500's daily gain of 2.65%. Meanwhile, the Dow gained 1.86%, and the Nasdaq, a tech-heavy index, added 0.24%.
Prior to today's trading, shares of the refiner had gained 8.83% over the past month. This has outpaced the Oils-Energy sector's loss of 4.88% and the S&P 500's loss of 8.99% in that time.
Marathon Petroleum will be looking to display strength as it nears its next earnings release, which is expected to be November 1, 2022. On that day, Marathon Petroleum is projected to report earnings of $6.96 per share, which would represent year-over-year growth of 853.42%. Our most recent consensus estimate is calling for quarterly revenue of $37.15 billion, up 13.92% from the year-ago period.
MPC's full-year Zacks Consensus Estimates are calling for earnings of $22.47 per share and revenue of $166.38 billion. These results would represent year-over-year changes of +817.14% and +37.59%, respectively.
It is also important to note the recent changes to analyst estimates for Marathon Petroleum. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.25% higher. Marathon Petroleum is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Marathon Petroleum is holding a Forward P/E ratio of 4.63. For comparison, its industry has an average Forward P/E of 5.72, which means Marathon Petroleum is trading at a discount to the group.
Also, we should mention that MPC has a PEG ratio of 0.2. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Oil and Gas - Refining and Marketing was holding an average PEG ratio of 0.47 at yesterday's closing price.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 1, putting it in the top 1% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Marathon Petroleum (MPC) Gains But Lags Market: What You Should Know
Marathon Petroleum (MPC - Free Report) closed the most recent trading day at $105.37, moving +1.22% from the previous trading session. This move lagged the S&P 500's daily gain of 2.65%. Meanwhile, the Dow gained 1.86%, and the Nasdaq, a tech-heavy index, added 0.24%.
Prior to today's trading, shares of the refiner had gained 8.83% over the past month. This has outpaced the Oils-Energy sector's loss of 4.88% and the S&P 500's loss of 8.99% in that time.
Marathon Petroleum will be looking to display strength as it nears its next earnings release, which is expected to be November 1, 2022. On that day, Marathon Petroleum is projected to report earnings of $6.96 per share, which would represent year-over-year growth of 853.42%. Our most recent consensus estimate is calling for quarterly revenue of $37.15 billion, up 13.92% from the year-ago period.
MPC's full-year Zacks Consensus Estimates are calling for earnings of $22.47 per share and revenue of $166.38 billion. These results would represent year-over-year changes of +817.14% and +37.59%, respectively.
It is also important to note the recent changes to analyst estimates for Marathon Petroleum. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.25% higher. Marathon Petroleum is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Marathon Petroleum is holding a Forward P/E ratio of 4.63. For comparison, its industry has an average Forward P/E of 5.72, which means Marathon Petroleum is trading at a discount to the group.
Also, we should mention that MPC has a PEG ratio of 0.2. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Oil and Gas - Refining and Marketing was holding an average PEG ratio of 0.47 at yesterday's closing price.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 1, putting it in the top 1% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.