Marathon Petroleum (NYSE:MPC) Issues Earnings Results, Beats Estimates By $0.90 EPS

Marathon Petroleum (NYSE:MPC) issued its quarterly earnings data on Tuesday. The oil and gas company reported $1.87 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.97 by $0.90, Briefing.com reports. Marathon Petroleum had a return on equity of 24.05% and a net margin of 4.79%. The business had revenue of $35.37 billion during the quarter, compared to analyst estimates of $34.34 billion. During the same period in the prior year, the company posted $8.14 EPS. The business’s revenue for the quarter was down 14.9% compared to the same quarter last year.

Marathon Petroleum Stock Up 3.6 %

Shares of NYSE:MPC traded up $5.34 during mid-day trading on Wednesday, reaching $154.90. 1,149,780 shares of the stock were exchanged, compared to its average volume of 2,666,601. The company has a quick ratio of 0.90, a current ratio of 1.31 and a debt-to-equity ratio of 0.86. The company has a market cap of $51.84 billion, a P/E ratio of 7.85, a P/E/G ratio of 2.74 and a beta of 1.38. Marathon Petroleum has a one year low of $140.98 and a one year high of $221.11. The stock’s 50 day simple moving average is $161.59 and its 200-day simple moving average is $170.42.

Marathon Petroleum Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, December 10th. Shareholders of record on Wednesday, November 20th will be issued a $0.91 dividend. This is an increase from Marathon Petroleum’s previous quarterly dividend of $0.83. This represents a $3.64 annualized dividend and a dividend yield of 2.35%. The ex-dividend date of this dividend is Wednesday, November 20th. Marathon Petroleum’s dividend payout ratio is 17.34%.

Marathon Petroleum announced that its Board of Directors has initiated a stock repurchase program on Tuesday, November 5th that allows the company to repurchase $5.00 billion in shares. This repurchase authorization allows the oil and gas company to purchase up to 10% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board of directors believes its shares are undervalued.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on MPC shares. Tudor, Pickering, Holt & Co. downgraded Marathon Petroleum from a “buy” rating to a “sell” rating in a research report on Monday, September 9th. Bank of America initiated coverage on Marathon Petroleum in a report on Thursday, October 17th. They issued a “neutral” rating and a $174.00 target price for the company. Tudor Pickering downgraded shares of Marathon Petroleum from a “strong-buy” rating to a “strong sell” rating in a research note on Monday, September 9th. Jefferies Financial Group upped their price target on shares of Marathon Petroleum from $222.00 to $231.00 and gave the stock a “buy” rating in a research note on Monday, July 15th. Finally, Mizuho dropped their price target on shares of Marathon Petroleum from $198.00 to $193.00 and set a “neutral” rating on the stock in a research note on Monday, September 16th. Two research analysts have rated the stock with a sell rating, six have given a hold rating, nine have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $185.67.

About Marathon Petroleum

Marathon Petroleum Corporation, together with its subsidiaries, operates as an integrated downstream energy company primarily in the United States. The company operates through Refining & Marketing, and Midstream segments. The Refining & Marketing segment refines crude oil and other feedstocks at its refineries in the Gulf Coast, Mid-Continent, and West Coast regions of the United States; and purchases refined products and ethanol for resale and distributes refined products, including renewable diesel, through transportation, storage, distribution, and marketing services.