Back to top

Image: Bigstock

Marathon Petroleum (MPC) Dips More Than Broader Market: What You Should Know

Read MoreHide Full Article

Marathon Petroleum (MPC - Free Report) ended the recent trading session at $144.76, demonstrating a -0.36% swing from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.33%. Elsewhere, the Dow lost 0.22%, while the tech-heavy Nasdaq lost 0.56%.

The the stock of refiner has fallen by 12.39% in the past month, lagging the Oils-Energy sector's loss of 10.39% and the S&P 500's gain of 1.83%.

Investors will be eagerly watching for the performance of Marathon Petroleum in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on November 5, 2024. The company is expected to report EPS of $0.97, down 88.08% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $31.58 billion, indicating a 24.07% decrease compared to the same quarter of the previous year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.48 per share and revenue of $134.66 billion, indicating changes of -59.88% and -10.41%, respectively, compared to the previous year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Marathon Petroleum. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 17.47% downward. Marathon Petroleum is holding a Zacks Rank of #5 (Strong Sell) right now.

Looking at its valuation, Marathon Petroleum is holding a Forward P/E ratio of 15.32. This signifies a discount in comparison to the average Forward P/E of 16.09 for its industry.

It is also worth noting that MPC currently has a PEG ratio of 2.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As the market closed yesterday, the Oil and Gas - Refining and Marketing industry was having an average PEG ratio of 2.55.

The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 247, which puts it in the bottom 2% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Marathon Petroleum Corporation (MPC) - free report >>

Published in