Why the Market Dipped But Marathon Oil (MRO) Gained Today
Marathon Oil (MRO) closed at $26.26 in the latest trading session, marking a +1.39% move from the prior day. The stock's change was more than the S&P 500's daily loss of 0.29%. At the same time, the Dow lost 0.35%, and the tech-heavy Nasdaq lost 0.3%.
The energy company's shares have seen an increase of 15.68% over the last month, surpassing the Oils-Energy sector's gain of 6.58% and the S&P 500's gain of 4.42%.
Market participants will be closely following the financial results of Marathon Oil in its upcoming release. The company is forecasted to report an EPS of $0.55, showcasing a 17.91% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.58 billion, down 5.9% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.46 per share and a revenue of $6.58 billion, indicating changes of -5.75% and -1.77%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for Marathon Oil. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 5.63% decrease. Marathon Oil currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Marathon Oil is presently being traded at a Forward P/E ratio of 10.52. This indicates a discount in contrast to its industry's Forward P/E of 14.26.
The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 150, this industry ranks in the bottom 41% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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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Marathon Oil Corporation (MRO) : Free Stock Analysis Report
