(MPC) Marathon Petroleum - Overview
Sector: Energy | Industry: Oil & Gas Refining & Marketing | Exchange: NYSE (USA) | Market Cap: 74.453m USD | Total Return: 64% in 12m
Industry Rotation: +16.5
Avg Turnover: 565M
EPS Trend: -78.8%
Qual. Beats: 2
Rev. Trend: -95.3%
Qual. Beats: 1
Warnings
No concerns identified
Tailwinds
Confidence, Garp
Marathon Petroleum Corporation (MPC) is a leading downstream energy firm operating an integrated network across the United States. The company’s primary operations are divided into three segments: Refining & Marketing, Midstream, and Renewable Diesel. Headquartered in Ohio, MPC manages a diverse portfolio of refineries in the Gulf Coast, Mid-Continent, and West Coast regions, producing transportation fuels, asphalt, and petrochemicals.
The business model relies on a vast logistics infrastructure, including pipelines, terminals, and marine vessels, to transport crude oil and refined products. As a major player in the refining sector, MPCs profitability is heavily influenced by the crack spread, which is the pricing difference between a barrel of crude oil and the petroleum products refined from it. Additionally, the company is expanding its footprint in the energy transition space by converting traditional facilities to process renewable feedstocks into diesel.
For a deeper look into the companys valuation metrics and historical performance, consider reviewing the data available on ValueRay. MPC distributes its products through a mix of wholesale markets, spot markets, and a network of branded retail outlets, including the ARCO brand.
- Crack spreads and refining margins dictate core segment profitability and cash flow
- MPLX partnership distributions provide stable midstream earnings and support aggressive buybacks
- Crude oil price volatility and feedstock cost differentials impact operational output margins
- Renewable diesel production scaling faces regulatory shifts and biofuel credit pricing risks
- Federal environmental mandates and carbon intensity regulations increase long-term compliance costs
| Net Income: 4.63b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 1.00 > 1.0 |
| NWC/Revenue: 3.16% < 20% (prev 3.21%; Δ -0.05% < -1%) |
| CFO/TA 0.11 > 3% & CFO 9.44b > Net Income 4.63b |
| Net Debt (32.17b) to EBITDA (12.39b): 2.60 < 3 |
| Current Ratio: 1.18 > 1.5 & < 3 |
| Outstanding Shares: last quarter (295.0m) vs 12m ago -5.75% < -2% |
| Gross Margin: 8.80% > 18% (prev 0.06%; Δ 873.9% > 0.5%) |
| Asset Turnover: 159.9% > 50% (prev 168.7%; Δ -8.78% > 0%) |
| Interest Coverage Ratio: 6.36 > 6 (EBITDA TTM 12.39b / Interest Expense TTM 1.43b) |
| A: 0.05 (Total Current Assets 28.70b - Total Current Liabilities 24.41b) / Total Assets 88.19b |
| B: 0.45 (Retained Earnings 39.97b / Total Assets 88.19b) |
| C: 0.11 (EBIT TTM 9.12b / Avg Total Assets 84.91b) |
| D: 0.62 (Book Value of Equity 39.87b / Total Liabilities 64.76b) |
| Altman-Z'' Score: 3.16 = A |
| DSRI: 1.22 (Receivables 14.63b/12.11b, Revenue 135.75b/137.68b) |
| GMI: 0.69 (GM 8.80% / 6.08%) |
| AQI: 1.03 (AQ_t 0.23 / AQ_t-1 0.22) |
| SGI: 0.99 (Revenue 135.75b / 137.68b) |
| TATA: -0.05 (NI 4.63b - CFO 9.44b) / TA 88.19b) |
| Beneish M-Score: -3.17 (Cap -4..+1) = AA |
Over the past week, the price has changed by +4.12%, over one month by +21.13%, over three months by +31.81% and over the past year by +64.01%.
- StrongBuy: 7
- Buy: 5
- Hold: 8
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 258.8 | 0.2% |
P/E Forward = 7.0472
P/S = 0.5477
P/B = 4.2671
P/EG = 0.9459
Revenue TTM = 135.75b USD
EBIT TTM = 9.12b USD
EBITDA TTM = 12.39b USD
Long Term Debt = 30.71b USD (from longTermDebt, last quarter)
Short Term Debt = 2.62b USD (from shortTermDebt, last quarter)
Debt = 34.33b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 32.17b USD (from netDebt column, last quarter)
Enterprise Value = 106.63b USD (74.45b + Debt 34.33b - CCE 2.15b)
Interest Coverage Ratio = 6.36 (Ebit TTM 9.12b / Interest Expense TTM 1.43b)
EV/FCF = 18.70x (Enterprise Value 106.63b / FCF TTM 5.70b)
FCF Yield = 5.35% (FCF TTM 5.70b / Enterprise Value 106.63b)
FCF Margin = 4.20% (FCF TTM 5.70b / Revenue TTM 135.75b)
Net Margin = 3.41% (Net Income TTM 4.63b / Revenue TTM 135.75b)
Gross Margin = 8.80% ((Revenue TTM 135.75b - Cost of Revenue TTM 123.81b) / Revenue TTM)
Gross Margin QoQ = 9.57% (prev 8.86%)
Tobins Q-Ratio = 1.21 (Enterprise Value 106.63b / Total Assets 88.19b)
Interest Expense / Debt = 1.08% (Interest Expense 370.0m / Debt 34.33b)
Taxrate = 17.70% (183.0m / 1.03b)
NOPAT = 7.51b (EBIT 9.12b * (1 - 17.70%))
Current Ratio = 1.18 (Total Current Assets 28.70b / Total Current Liabilities 24.41b)
Debt / Equity = 2.05 (Debt 34.33b / totalStockholderEquity, last quarter 16.75b)
Debt / EBITDA = 2.60 (Net Debt 32.17b / EBITDA 12.39b)
Debt / FCF = 5.64 (Net Debt 32.17b / FCF TTM 5.70b)
Total Stockholder Equity = 16.95b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.46% (Net Income 4.63b / Total Assets 88.19b)
RoE = 27.33% (Net Income TTM 4.63b / Total Stockholder Equity 16.95b)
RoCE = 19.14% (EBIT 9.12b / Capital Employed (Equity 16.95b + L.T.Debt 30.71b))
RoIC = 15.40% (NOPAT 7.51b / Invested Capital 48.75b)
WACC = 6.08% (E(74.45b)/V(108.78b) * Re(8.47%) + D(34.33b)/V(108.78b) * Rd(1.08%) * (1-Tc(0.18)))
Discount Rate = 8.47% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -10.33%
[DCF] Terminal Value 83.09% ; FCFF base≈5.20b ; Y1≈4.07b ; Y5≈2.64b
[DCF] Fair Price = 160.7 (EV 79.10b - Net Debt 32.17b = Equity 46.93b / Shares 291.9m; r=6.08% [WACC]; 5y FCF grow -26.03% → 3.0% )
EPS Correlation: -78.80 | EPS CAGR: -36.99% | SUE: 1.75 | # QB: 2
Revenue Correlation: -95.34 | Revenue CAGR: -5.76% | SUE: 3.25 | # QB: 1
EPS current Quarter (2026-06-30): EPS=11.26 | Chg30d=+43.98% | Revisions=+41% | Analysts=15
EPS next Quarter (2026-09-30): EPS=8.56 | Chg30d=+29.29% | Revisions=+41% | Analysts=15
EPS current Year (2026-12-31): EPS=28.16 | Chg30d=+35.34% | Revisions=+38% | GrowthEPS=+163.1% | GrowthRev=+9.2%
EPS next Year (2027-12-31): EPS=22.38 | Chg30d=+20.87% | Revisions=+60% | GrowthEPS=-20.5% | GrowthRev=-7.4%
[Analyst] Revisions Ratio: +60%