What are Wall Street Analysts’ Ratings for Murphy Oil?
What Are Analysts Saying about Murphy Oil’s 1Q16 Earnings?
Wall Street ratings for Murphy Oil
Currently, ~79% of Wall Street analysts rate Murphy Oil (MUR) as a “hold” and ~21% of analysts rate it as a “sell.” There is no “buy” rating on the stock. The median price target from these recommendations is $24.63, which is ~30% lower than its April 28, 2016, closing price of $35.40.
Based on the median price targets of analysts’ recommendations, upstream companies Antero Resources (AR), Memorial Resource Development (MRD), and Carrizo Oil & Gas (CRZO) have potential upsides of ~9%, ~32%, and ~6%, respectively, from their April 28, 2016, closing prices.
Memorial Resource Development has the advantage of 100% hedge protection for its 2016 production. The SPDR S&P Oil and Gas Exploration & Production ETF (XOP) generally invests at least 80% of its total assets in oil and gas exploration companies. The Direxion Daily S&P Oil & Gas Exp. & Prod. Bull 3x Shares ETF (GUSH) is a leveraged ETF that invests in oil and gas exploration and production companies.
Murphy Oil’s individual recommendations
As shown in the above table, the most recent recommendation of “underweight/in-line” comes from Morgan Stanley, which was issued on April 28, 2016. Morgan Stanley assigned Murphy Oil the lowest target price of $13.00, which is ~63% lower than its April 28, 2016, closing price of $35.40. Morgan Stanley expects the target price to reach within the next 12 months from the date of recommendation.
Murphy Oil’s highest target price
The highest target price for Murphy Oil comes from UBS. It assigned Murphy Oil the target price of $36.00, which is ~2% higher than the April 28 closing price of $35.40. UBS issued its Murphy Oil recommendation on April 28, 2016, and did not mention any target date for the target price.
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