In the latest trading session, Marathon Petroleum (MPC - Free Report) closed at $55.12, marking a -1.36% move from the previous day. This change lagged the S&P 500's 0.77% gain on the day. Meanwhile, the Dow gained 0.44%, and the Nasdaq, a tech-heavy index, added 1.06%.
Coming into today, shares of the refiner had gained 18.62% in the past month. In that same time, the Oils-Energy sector gained 4.22%, while the S&P 500 gained 5.12%.
MPC will be looking to display strength as it nears its next earnings release. On that day, MPC is projected to report earnings of $1.62 per share, which would represent a year-over-year decline of 28.63%. Our most recent consensus estimate is calling for quarterly revenue of $30.93 billion, up 37.8% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.50 per share and revenue of $115.53 billion. These totals would mark changes of -33.63% and +18.97%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for MPC. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 6.61% lower. MPC currently has a Zacks Rank of #3 (Hold).
In terms of valuation, MPC is currently trading at a Forward P/E ratio of 12.41. This represents a discount compared to its industry's average Forward P/E of 14.62.
Investors should also note that MPC has a PEG ratio of 1.44 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Oil and Gas - Refining and Marketing stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 74, which puts it in the top 29% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.