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Marathon Oil (MRO) Stock Sinks As Market Gains: What You Should Know
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Marathon Oil (MRO - Free Report) closed at $24.66 in the latest trading session, marking a -1.56% move from the prior day. This change lagged the S&P 500's 1.13% gain on the day. Elsewhere, the Dow gained 0.74%, while the tech-heavy Nasdaq added 0.91%.
Prior to today's trading, shares of the energy company had gained 14.54% over the past month. This has outpaced the Oils-Energy sector's gain of 8.56% and the S&P 500's gain of 2.65% in that time.
Investors will be hoping for strength from Marathon Oil as it approaches its next earnings release. In that report, analysts expect Marathon Oil to post earnings of $0.78 per share. This would mark year-over-year growth of 271.43%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.57 billion, up 46.85% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.12 per share and revenue of $6.22 billion, which would represent changes of +98.73% and +13.79%, respectively, from the prior year.
Any recent changes to analyst estimates for Marathon Oil should also be noted by investors. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 10.08% higher. Marathon Oil currently has a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Marathon Oil is currently trading at a Forward P/E ratio of 8.03. Its industry sports an average Forward P/E of 12.17, so we one might conclude that Marathon Oil is trading at a discount comparatively.
Investors should also note that MRO has a PEG ratio of 0.56 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. MRO's industry had an average PEG ratio of 0.5 as of yesterday's close.
The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 36, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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Marathon Oil (MRO) Stock Sinks As Market Gains: What You Should Know
Marathon Oil (MRO - Free Report) closed at $24.66 in the latest trading session, marking a -1.56% move from the prior day. This change lagged the S&P 500's 1.13% gain on the day. Elsewhere, the Dow gained 0.74%, while the tech-heavy Nasdaq added 0.91%.
Prior to today's trading, shares of the energy company had gained 14.54% over the past month. This has outpaced the Oils-Energy sector's gain of 8.56% and the S&P 500's gain of 2.65% in that time.
Investors will be hoping for strength from Marathon Oil as it approaches its next earnings release. In that report, analysts expect Marathon Oil to post earnings of $0.78 per share. This would mark year-over-year growth of 271.43%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.57 billion, up 46.85% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.12 per share and revenue of $6.22 billion, which would represent changes of +98.73% and +13.79%, respectively, from the prior year.
Any recent changes to analyst estimates for Marathon Oil should also be noted by investors. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 10.08% higher. Marathon Oil currently has a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Marathon Oil is currently trading at a Forward P/E ratio of 8.03. Its industry sports an average Forward P/E of 12.17, so we one might conclude that Marathon Oil is trading at a discount comparatively.
Investors should also note that MRO has a PEG ratio of 0.56 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. MRO's industry had an average PEG ratio of 0.5 as of yesterday's close.
The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 36, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.