A month has gone by since the last earnings report for MPLX LP (MPLX Quick QuoteMPLX - Free Report) . Shares have added about 0.4% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is MPLX LP due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.

MPLX Q3 Earnings Miss Estimates, Revenues Fall Year Over Year

MPLX reported third-quarter earnings of 89 cents per unit, which missed the Zacks Consensus Estimate of 91 cents. The bottom line also declined from the year-ago quarter’s level of 96 cents.

Total quarterly revenues of $2,912 million surpassed the Zacks Consensus Estimate of $2,665 million. However, the top line declined from the prior-year quarter’s figure of $3,401 million.

Weak quarterly earnings can be attributed to the increase in total costs and expenses.

Segmental Highlights

MPLX’s adjusted EBITDA from the Logistics and Storage segment increased to $1,091 million from $969 million registered a year ago.  Increased rates and growth in throughput aided the segment. Total pipeline throughputs in the third quarter were 5.9 million barrels per day, up a marginal 2% from the year-ago period’s level.

Adjusted EBITDA from the Gathering and Processing segment totaled $505 million, up from $502 million in the prior-year quarter. The segment was favored by increased gathering throughput volumes. Gathering throughput volumes averaged 6.3 billion cubic feet per day (Bcf/d), implying a 3% improvement from the year-ago period’s level. Natural gas processed volumes of 9.0 Bcf/d marked a 5% increase year over year.

Costs and Expenses

In third-quarter 2023, MPLX’s total costs and expenses were $1,758 million, up from the year-ago quarter’s figure of $1,727 million.

Cash Flow

Distributable cash flow in the quarter totaled $1,373 million, providing 1.6X distribution coverage, up from $1,264 million recorded in the year-ago quarter.

Adjusted free cash flow in the quarter under review increased to $1,004 million from $777 million in the corresponding period of 2022.

Balance Sheet

As of Sep 30, 2023, the partnership’s cash and cash equivalents were $960 million. Its total debt amounted to $20.4 billion.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed an upward trend in fresh estimates.

VGM Scores

Currently, MPLX LP has a subpar Growth Score of D, however its Momentum Score is doing a bit better with a C. Following the exact same course, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, MPLX LP has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

MPLX LP belongs to the Zacks Oil and Gas - Production and Pipelines industry. Another stock from the same industry, Kinder Morgan (KMI Quick QuoteKMI - Free Report) , has gained 5.9% over the past month. More than a month has passed since the company reported results for the quarter ended September 2023.

Kinder Morgan reported revenues of $3.91 billion in the last reported quarter, representing a year-over-year change of -24.5%. EPS of $0.25 for the same period compares with $0.25 a year ago.

Kinder Morgan is expected to post earnings of $0.30 per share for the current quarter, representing a year-over-year change of -3.2%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.5%.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Kinder Morgan. Also, the stock has a VGM Score of D.