Murphy USA (MUSA) closed the most recent trading day at $285.47, moving -0.19% from the previous trading session. This move was narrower than the S&P 500’s daily loss of 1.2%. Meanwhile, the Dow lost 1.1%, and the Nasdaq, a tech-heavy index, lost 2.86%.
Coming into today, shares of the gasoline station operator had lost 2.99% in the past month. In that same time, the Oils-Energy sector lost 3.14%, while the S&P 500 lost 4.77%.
Murphy USA will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $3.67, down 13.24% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.65 billion, up 18.54% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $26.99 per share and revenue of $23.73 billion. These totals would mark changes of +80.9% and +36.66%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Murphy USA. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.05% higher. Murphy USA is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Murphy USA is holding a Forward P/E ratio of 10.6. This represents a premium compared to its industry’s average Forward P/E of 5.36.
The Oil and Gas – Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 37, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MUSA in the coming trading sessions, be sure to utilize Zacks.com.
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Source: Nas Daq