MPLX LP (MPLX) Gains But Lags Market: What You Should Know
In the latest trading session, MPLX LP (MPLX) closed at $31.62, marking a +0.73% move from the previous day. The stock lagged the S&P 500's daily gain of 2.24%. At the same time, the Dow added 1.55%, and the tech-heavy Nasdaq gained 0.48%.
Heading into today, shares of the company had lost 5.45% over the past month, lagging the Oils-Energy sector's gain of 1.6% and the S&P 500's loss of 4.46% in that time.
Wall Street will be looking for positivity from MPLX LP as it approaches its next earnings report date. In that report, analysts expect MPLX LP to post earnings of $0.75 per share. This would mark year-over-year growth of 10.29%. Meanwhile, our latest consensus estimate is calling for revenue of $2.33 billion, down 0.52% from the prior-year quarter.
MPLX's full-year Zacks Consensus Estimates are calling for earnings of $3.14 per share and revenue of $9.42 billion. These results would represent year-over-year changes of +9.79% and -6.04%, respectively.
It is also important to note the recent changes to analyst estimates for MPLX LP. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. The Zacks Consensus EPS estimate has moved 1.55% higher within the past month. MPLX LP is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, MPLX LP is currently trading at a Forward P/E ratio of 10. This represents a discount compared to its industry's average Forward P/E of 13.83.
The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 68, putting it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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