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Marathon Oil (MRO) Gains But Lags Market: What You Should Know

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Marathon Oil (MRO - Free Report) closed at $27.65 in the latest trading session, marking a +0.55% move from the prior day. This move lagged the S&P 500's daily gain of 0.87%. Meanwhile, the Dow experienced a rise of 0.67%, and the technology-dominated Nasdaq saw an increase of 1.11%.

The the stock of energy company has risen by 1.48% in the past month, lagging the Oils-Energy sector's gain of 3.26% and overreaching the S&P 500's loss of 3.97%.

The upcoming earnings release of Marathon Oil will be of great interest to investors. The company's earnings report is expected on May 1, 2024. The company's upcoming EPS is projected at $0.53, signifying a 20.9% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.58 billion, indicating a 5.7% decrease compared to the same quarter of the previous year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.74 per share and a revenue of $6.78 billion, indicating changes of +4.98% and +1.26%, respectively, from the former year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Marathon Oil. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 12.1% increase. Marathon Oil presently features a Zacks Rank of #3 (Hold).

From a valuation perspective, Marathon Oil is currently exchanging hands at a Forward P/E ratio of 10.05. This valuation marks a discount compared to its industry's average Forward P/E of 15.33.

The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 27, placing it within the top 11% of over 250 industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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