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Marathon Petroleum (MPC) closed the latest trading day at $140.53, indicating a -1.55% change from the previous session's end. This change lagged the S&P 500's daily gain of 0.55%. On the other hand, the Dow registered a loss of 0.06%, and the technology-centric Nasdaq increased by 1.24%.
Market participants will be closely following the financial results of Marathon Petroleum in its upcoming release. The company plans to announce its earnings on February 4, 2025. On that day, Marathon Petroleum is projected to report earnings of $0.28 per share, which would represent a year-over-year decline of 92.96%. In the meantime, our current consensus estimate forecasts the revenue to be $31.93 billion, indicating a 13.29% decline compared to the corresponding quarter of the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Marathon Petroleum. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
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, 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 last 30 days, the Zacks Consensus EPS estimate has moved 7.14% lower. Currently, Marathon Petroleum is carrying a Zacks Rank of #5 (Strong Sell).
In the context of valuation, Marathon Petroleum is at present trading with a Forward P/E ratio of 15.1. Its industry sports an average Forward P/E of 14.58, so one might conclude that Marathon Petroleum is trading at a premium comparatively.
Meanwhile, MPC's PEG ratio is currently 2.52. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Oil and Gas - Refining and Marketing was holding an average PEG ratio of 2.37 at yesterday's closing price.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 187, this industry ranks in the bottom 26% of all industries, numbering over 250.