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Marathon Petroleum (MPC) Rises But Trails Market: What Investors Should Know

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The most recent trading session ended with Marathon Petroleum (MPC - Free Report) standing at $133.98, reflecting a +0.45% shift from the previouse trading day's closing. The stock lagged the S&P 500's daily gain of 0.73%. Elsewhere, the Dow saw an upswing of 0.16%, while the tech-heavy Nasdaq appreciated by 0.98%.

Shares of the refiner witnessed a loss of 15.84% over the previous month, trailing the performance of the Oils-Energy sector with its loss of 9.2% and the S&P 500's gain of 0.34%.

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 February 4, 2025. The company's upcoming EPS is projected at $0.25, signifying a 93.72% drop compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $31.93 billion, down 13.29% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.91 per share and a revenue of $138.87 billion, signifying shifts of -58.06% and -7.61%, respectively, from the last year.

Any recent changes to analyst estimates for Marathon Petroleum should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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 take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 moved 2.21% lower. Marathon Petroleum is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, Marathon Petroleum currently has a Forward P/E ratio of 13.46. This valuation marks a discount compared to its industry's average Forward P/E of 13.47.

Also, we should mention that MPC has a PEG ratio of 2.24. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Oil and Gas - Refining and Marketing stocks are, on average, holding a PEG ratio of 2.24 based on yesterday's closing prices.

The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 172, positioning it in the bottom 32% 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.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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