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Marathon Petroleum (MPC) Stock Sinks As Market Gains: Here's Why

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Marathon Petroleum (MPC - Free Report) closed the most recent trading day at $148.68, moving -0.85% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 1.77%. At the same time, the Dow added 1.42%, and the tech-heavy Nasdaq gained 2.28%.

Shares of the refiner witnessed a loss of 2.46% over the previous month, trailing the performance of the Oils-Energy sector with its gain of 0.43% and outperforming the S&P 500's loss of 5.73%.

Analysts and investors alike will be keeping a close eye on the performance of Marathon Petroleum in its upcoming earnings disclosure. The company's earnings report is set to go public on May 6, 2025. The company is expected to report EPS of $0, down 100% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $30.09 billion, down 9.41% from the prior-year quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $7.51 per share and revenue of $123.3 billion. These totals would mark changes of -21.03% and -12.19%, respectively, from last year.

Investors should also pay attention to any latest changes in analyst estimates for Marathon Petroleum. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 11.39% decrease. Marathon Petroleum is holding a Zacks Rank of #3 (Hold) right now.

With respect to valuation, Marathon Petroleum is currently being traded at a Forward P/E ratio of 19.98. This denotes a premium relative to the industry's average Forward P/E of 16.69.

One should further note that MPC currently holds a PEG ratio of 3.33. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Oil and Gas - Refining and Marketing industry had an average PEG ratio of 2.77.

The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 82, putting it in the top 33% of all 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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