MPC - Marathon Petroleum Corporation

NYSE - NYSE Delayed Price. Currency in USD
66.09
+0.30 (+0.46%)
At close: 4:02PM EST

66.09 0.00 (0.00%)
After hours: 4:44PM EST

Stock chart is not supported by your current browser
Previous Close65.79
Open66.32
Bid65.90 x 1100
Ask66.43 x 3200
Day's Range64.86 - 66.42
52 Week Range54.29 - 88.45
Volume5,740,906
Avg. Volume7,011,714
Market Cap45.659B
Beta (3Y Monthly)1.39
PE Ratio (TTM)8.13
EPS (TTM)8.12
Earnings DateFeb 7, 2019
Forward Dividend & Yield1.84 (2.84%)
Ex-Dividend Date2018-11-20
1y Target Est95.00
Trade prices are not sourced from all markets
  • Marathon Petroleum (MPC) Gains But Lags Market: What You Should Know
    Zacks2 days ago

    Marathon Petroleum (MPC) Gains But Lags Market: What You Should Know

    Marathon Petroleum (MPC) closed at $64.34 in the latest trading session, marking a +0.02% move from the prior day.

  • PR Newswire2 days ago

    Andeavor Logistics to Release 2018 Fourth-Quarter and Full-Year Financial Results February 7

    FINDLAY, Ohio , Jan. 16, 2019 /PRNewswire/ -- Andeavor Logistics LP (NYSE: ANDX) a master limited partnership sponsored by Marathon Petroleum Corp. (NYSE: MPC), will release its 2018 fourth-quarter and ...

  • PR Newswire2 days ago

    MPLX LP To Announce 2018 Fourth-Quarter And Full-Year Financial Results February 7

    FINDLAY, Ohio , Jan. 16, 2019 /PRNewswire/ -- MPLX LP (NYSE: MPLX) a master limited partnership sponsored by Marathon Petroleum Corp. (NYSE: MPC), will release its 2018 fourth-quarter and full-year financial ...

  • PR Newswire2 days ago

    Marathon Petroleum Corp. To Announce 2018 Fourth-Quarter And Full-Year Financial Results February 7

    FINDLAY, Ohio , Jan. 16, 2019 /PRNewswire/ -- Marathon Petroleum Corp. (NYSE: MPC) will release its 2018 fourth-quarter and full-year financial results before the market opens on Thursday, February 7 . ...

  • Joint venture to spend up to $500M on crude terminal
    American City Business Journals3 days ago

    Joint venture to spend up to $500M on crude terminal

    Houston-based Buckeye Pipeline Partners LP (NYSE: BPL) expects its joint venture crude terminal, called South Texas Gateway, to cost between $450 million and $500 million. Buckeye formed the joint venture with Houston-based Phillips 66 Partners LP (NYSE: PSXP) and San Antonio-based Andeavor — which was since absorbed by Ohio-based Marathon Petroleum Corp. (NYSE: MPC) — back in May. The joint venture replaced the similarly named South Texas Gateway pipeline project, which Buckeye canceled at the time.

  • Markit3 days ago

    See what the IHS Markit Score report has to say about Marathon Petroleum Corp.

    # Marathon Petroleum Corp ### NYSE:MPC View full report here! ## Summary * Perception of the company's creditworthiness is positive and improving * Bearish sentiment is low * Economic output in this company's sector is contracting ## Bearish sentiment Short interest | Positive Short interest is extremely low for MPC with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting MPC. ## Money flow ETF/Index ownership | Neutral ETF activity is neutral. The net inflows of $13.26 billion over the last one-month into ETFs that hold MPC are not among the highest of the last year and have been slowing. ## Economic sentiment PMI by IHS Markit There is no PMI sector data available for this security. ## Credit worthiness Credit default swap | Positive The current level displays a positive indicator with a strengthening bias over the past 1-month. MPC credit default swap spreads are decreasing and near the lowest level of the last three years, which indicates improvement in the market's perception of the company's credit worthiness. Please send all inquiries related to the report to score@ihsmarkit.com. Charts and report PDFs will only be available for 30 days after publishing. This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.

  • Will Valero’s Dividend Payment Rise in Q1?
    Market Realist3 days ago

    Will Valero’s Dividend Payment Rise in Q1?

    Does Wall Street Expect Valero Energy’s Q4 Earnings to Fall?(Continued from Prior Part)Valero’s dividend paymentValero Energy’s (VLO) dividend payments have been increasing steadily over the past few years. In the fourth quarter of 2018,

  • How Valero Stock Performed ahead of Its Earnings Release
    Market Realist4 days ago

    How Valero Stock Performed ahead of Its Earnings Release

    Does Wall Street Expect Valero Energy’s Q4 Earnings to Fall?(Continued from Prior Part)Valero stock performance In the previous article, we examined Valero Energy’s (VLO) refining margin expectation for the fourth quarter of 2018. Now, let’s

  • Did Valero’s Refining Margin Narrow in Q4?
    Market Realist4 days ago

    Did Valero’s Refining Margin Narrow in Q4?

    Does Wall Street Expect Valero Energy’s Q4 Earnings to Fall?(Continued from Prior Part)Valero’s refining crack indicators In the previous article, we saw that Wall Street analysts expect Valero Energy’s (VLO) EPS to fall in the fourth quarter

  • Does Wall Street Expect Valero Energy’s Q4 Earnings to Fall?
    Market Realist4 days ago

    Does Wall Street Expect Valero Energy’s Q4 Earnings to Fall?

    Does Wall Street Expect Valero Energy’s Q4 Earnings to Fall?Third-quarter performance versus expectationsValero Energy (VLO) is expected to publish its fourth-quarter earnings results on January 31, 2019. Before we proceed with the company’s fourth-quarter estimates, let’s recap its third-quarter performance compared to the estimates.In the

  • Comparing HFC, PSX, MPC, and VLO’s Implied Gains
    Market Realist7 days ago

    Comparing HFC, PSX, MPC, and VLO’s Implied Gains

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings (Continued from Prior Part) ## Analysts’ ratings In the previous part, we discussed analysts’ ratings for refining companies before their fourth-quarter earnings. We compared the overall ratings for HollyFrontier (HFC), Phillips 66 (PSX), Marathon Petroleum (MPC), and Valero Energy (VLO). We also discussed analysts’ ratings for Marathon Petroleum and Phillips 66. In this part, we’ll discuss analysts’ ratings for HollyFrontier and Valero Energy. ## HollyFrontier has mixed ratings HollyFrontier is growing through its capex and acquisitions across its business segments. In the past few years, acquisitions in the Lubricant segment solidified the company’s footprints in the industry. HollyFrontier’s modernization activities in its Refining segment have prepared the company to face future challenges. Wall Street analysts expect HollyFrontier’s EPS to grow 152% in 2018—higher compared to its peers. HollyFrontier has the financial strength to sustain the growth. The company’s total debt-to-capital ratio was 27% in the third quarter—lower than most of its US peers. However, HollyFrontier stock trades at 5.1x the forward EV-to-EBITDA multiple, which is above the peer average of 5.0x. HollyFrontier’s refining index value in its main operating region, Midcon, was lower YoY in the fourth quarter. The lower value could have led to mixed ratings for the stock. HollyFrontier’s mean target price is $71 per share, which implies a 35% gain from the current level. ## Valero Energy has the third-highest “buy” ratings Most analysts have a favorable opinion on Valero Energy stock. The positive sentiment could be due to the company’s strong financials, growth activities, and lower RIN (renewable identification number) costs. Valero Energy has a comfortable debt position. The company’s capex activities will likely continue to support its future earnings growth and strengthen its financials. RIN prices have been falling—a favorable development for Valero Energy. Lower RIN prices point to cost savings and better earnings for the company. Valero Energy’s mean target price is $114 per share, which implies a 47% gain from the current level. Browse this series on Market Realist: * Part 1 - MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings * Part 2 - HollyFrontier’s Q4 2018 Estimates: Ranked First * Part 3 - Phillips 66’s EPS Is Expected to Increase 126% in Q4 2018

  • Marathon Petroleum (MPC) Stock Sinks As Market Gains: What You Should Know
    Zacks8 days ago

    Marathon Petroleum (MPC) Stock Sinks As Market Gains: What You Should Know

    In the latest trading session, Marathon Petroleum (MPC) closed at $63.63, marking a -0.92% move from the previous day.

  • Analysts’ Ratings: Marathon Petroleum and Phillips 66
    Market Realist8 days ago

    Analysts’ Ratings: Marathon Petroleum and Phillips 66

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings (Continued from Prior Part) ## Analysts’ ratings HollyFrontier (HFC), Phillips 66 (PSX), Marathon Petroleum (MPC), and Valero Energy (VLO) are covered by 16, 18, 17, and 19 Wall Street analysts, respectively. Among the analysts, 31%, 56%, 100%, and 63% rated HollyFrontier, Phillips 66, Marathon Petroleum, and Valero Emergy as a “buy,” respectively. In this part, we’ll discuss analysts’ ratings for Marathon Petroleum and Phillips 66. ## Marathon Petroleum Marathon Petroleum is growing due to its capex and acquisitions. The company’s latest acquisition was Andeavor. Wall Street analysts expect the company’s earnings to increase 34% in 2018 and 42% in 2019. Marathon Petroleum will likely benefit from merger synergies and growth activities. Marathon Petroleum’s mean target price is $98 per share, which implies a 57% gain from the current level–the highest among its peers. ## Phillips 66 Phillips 66 is an integrated and diversified downstream company. During periods with lower refining earnings, other segments (like Midstream, Chemicals, and Marketing) contribute to the overall earnings and shield Phillips 66 from volatility in the refining environment. Phillips 66 plans to grow these segments through its capex and acquisitions. Phillips 66 has strong financials. The company has comfortable debt and a favorable liquidity position. However, Phillips 66 trades at a premium to the peer average, which has led to mixed ratings for the company. Phillips 66’s mean target price is $121 per share, which implies a 32% gain from the current level. Continue to Next Part Browse this series on Market Realist: * Part 1 - MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings * Part 2 - HollyFrontier’s Q4 2018 Estimates: Ranked First * Part 3 - Phillips 66’s EPS Is Expected to Increase 126% in Q4 2018

  • Valero Energy’s Q4 2018 Earnings Are Expected to Fall
    Market Realist8 days ago

    Valero Energy’s Q4 2018 Earnings Are Expected to Fall

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings (Continued from Prior Part) ## Valero Energy In this series, we have ranked four refiners based on their estimated earnings growth YoY (year-over-year) in the fourth quarter. We reviewed HollyFrontier (HFC), Phillips 66 (PSX), and Marathon Petroleum’s (MPC) expected performance. HollyFrontier was first with 144% estimated earnings growth YoY in the fourth quarter, followed by Phillips 66 (with 126% earnings growth) and Marathon Petroleum (with 25% earnings growth). In this part, we’ll review Valero Energy’s (VLO) estimated earnings growth for the fourth quarter. ## Valero Energy’s fourth-quarter estimates Wall Street analysts expect that Valero Energy could post an EPS of $0.9 in the fourth quarter. The estimate is 23% lower than the company’s adjusted EPS in the fourth quarter of 2017 and 56% lower than the adjusted EPS in the third quarter. In this series, Valero Energy is the only company that’s expected to post a YoY decline in its fourth-quarter earnings. Valero Energy’s revenues are estimated to be ~$25.3 billion in the fourth quarter—4% lower than its revenues in the fourth quarter of 2017. Valero Energy’s lower earnings could be due to the expected fall in the company’s refining margin and earnings. Valero Energy’s crack indicators fell in three of its four operating zones in the fourth quarter—compared to the fourth quarter of 2017. In the fourth quarter, the US Gulf Coast crack and the North Atlantic fell 42% YoY and 33% YoY. The US West Coast crack indicator fell 11% YoY in the fourth quarter. These three regions accounted for 85% of the company’s total throughput in the third quarter. The fall in the crack indicators in these regions points toward a likely YoY fall in the company’s refining margin in the fourth quarter. However, Valero Energy could benefit from the decline in RIN (renewable identification number) prices in the fourth quarter. According to data published by Valero Energy, ethanol RIN prices have fallen 84% YoY to an average of 13 cents per gallon in the fourth quarter. Biodiesel RIN prices have fallen 59% YoY to 39.5 cents per gallon in the fourth quarter. Lower prices could give Valero Energy a break. The company has been bearing compliance costs for quite some time. Continue to Next Part Browse this series on Market Realist: * Part 1 - MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings * Part 2 - HollyFrontier’s Q4 2018 Estimates: Ranked First * Part 3 - Phillips 66’s EPS Is Expected to Increase 126% in Q4 2018

  • Oil Breaches $50 a Barrel on Inventory Draw, China Talks
    Zacks8 days ago

    Oil Breaches $50 a Barrel on Inventory Draw, China Talks

    While easing oversupply concerns and hopes of U.S.-China trade deal helped oil to squirt past $50, it remains to be seen if the commodity can maintain the recent gains.

  • Markit8 days ago

    See what the IHS Markit Score report has to say about Marathon Petroleum Corp.

    # Marathon Petroleum Corp ### NYSE:MPC View full report here! ## Summary * Perception of the company's creditworthiness is positive and improving * ETFs holding this stock are seeing positive inflows * Bearish sentiment is low * Economic output in this company's sector is contracting ## Bearish sentiment Short interest | Positive Short interest is extremely low for MPC with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting MPC. ## Money flow ETF/Index ownership | Positive ETF activity is positive. Over the last month, growth of ETFs holding MPC is favorable, with net inflows of $22.90 billion. This is among the highest net inflows seen over the last one-year and the rate of additional inflows appears to be increasing. ## Economic sentiment PMI by IHS Markit There is no PMI sector data available for this security. ## Credit worthiness Credit default swap | Positive The current level displays a positive indicator with a strengthening bias over the past 1-month. MPC credit default swap spreads are decreasing and near the lowest level of the last three years, which indicates improvement in the market's perception of the company's credit worthiness. Please send all inquiries related to the report to score@ihsmarkit.com. Charts and report PDFs will only be available for 30 days after publishing. This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.

  • Marathon Petroleum’s Earnings Could Rise 25% in Q4 2018
    Market Realist8 days ago

    Marathon Petroleum’s Earnings Could Rise 25% in Q4 2018

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings (Continued from Prior Part) ## Earnings estimates We started this series by ranking the growth in refiners’ fourth-quarter earnings. In Part 1 and Part 2, we reviewed HollyFrontier (HFC) and Phillips 66 (PSX). They’re expected to post 144% YoY and 126% YoY higher EPS in the fourth quarter, respectively. In this part, we’ll discuss Marathon Petroleum’s (MPC) fourth-quarter earnings estimates. ## Marathon Petroleum’s fourth-quarter estimates Marathon Petroleum is expected to post an EPS of $1.3 in the fourth quarter—25% higher than the EPS in the fourth quarter of 2017. The company’s estimated EPS in the fourth quarter is 21% lower than the adjusted EPS in the third quarter. Marathon Petroleum’s revenues are expected to be ~$32.2 billion in the fourth quarter—51% higher than its revenues in the fourth quarter of 2017. Marathon Petroleum’s fourth-quarter earnings would include the impact of the Andeavor acquisition. The company closed the acquisition on October 1. The acquisition increased Marathon Petroleum’s refining capacities, midstream capabilities, and retail network. Marathon Petroleum’s refining earnings are impacted by the sweet differential, the sour differential, and the blended crack. According to the company, a dollar per barrel rise in the blended crack expands its annual EBITDA by $1.150 billion. A dollar per barrel change in the sour differential and the sweet differential changes the company’s annual EBITDA by $570 million and $475 million, respectively. The refining earnings indicators have put up a mixed trend in the fourth quarter. The blended crack has fallen by $1.4 per barrel YoY to $9.4 per barrel. However, the sour differential and the sweet differential have expanded. The company’s refining earnings could decrease in the fourth quarter due to narrower blended crack—partly offset by expanded differentials. Next, we’ll discuss Valero Energy (VLO). Continue to Next Part Browse this series on Market Realist: * Part 1 - MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings * Part 2 - HollyFrontier’s Q4 2018 Estimates: Ranked First * Part 3 - Phillips 66’s EPS Is Expected to Increase 126% in Q4 2018

  • HollyFrontier’s Q4 2018 Estimates: Ranked First
    Market Realist9 days ago

    HollyFrontier’s Q4 2018 Estimates: Ranked First

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings (Continued from Prior Part) ## Estimated performance In this series, we’re ranking four US refiners—Marathon Petroleum (MPC), HollyFrontier (HFC), Valero Energy (VLO), and Phillips 66 (PSX)—based on their estimated earnings growth YoY (year-over-year) in the fourth quarter. HollyFrontier is first with a massive jump in its earnings, while Valero Energy is last. Phillips 66 and Marathon Petroleum occupy the second and third spots, respectively. ## HollyFrontier’s fourth-quarter estimates According to analysts, HollyFrontier is expected to post an EPS of $1.7 in the fourth quarter—144% higher than its adjusted EPS in the fourth quarter of 2017. The EPS is 14% lower compared to the adjusted EPS in the third quarter. HollyFrontier’s revenues are estimated to be ~$4.5 billion in the fourth quarter—12% higher than the revenues in the fourth quarter of 2017. HollyFrontier’s refining margins could be lower in the fourth quarter due to weaker refining conditions YoY in its main operating region—Midcon. In the Rockies and Southwest, the index values rose YoY in the fourth quarter. Midcon accounted for 59% of the company’s total crude throughput in the third quarter. The refining index value in Midcon has fallen from $18.7 per barrel in the fourth quarter of 2017 to $14.8 in the fourth quarter. Overall, the regional index values suggest that HollyFrontier’s refining margin could fall YoY due to the lower Midcon margin. The fall could be partially offset by higher Rockies and Southwest margins in the fourth quarter. Renewable identification number prices have declined during the quarter, which could give the company a break from compliance costs. HollyFrontier’s Lubricants and Midstream segments could support the company’s earnings growth in the fourth quarter. Next, we’ll discuss Phillips 66’s fourth-quarter earnings estimate. Continue to Next Part Browse this series on Market Realist: * Part 1 - MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings * Part 3 - Phillips 66’s EPS Is Expected to Increase 126% in Q4 2018 * Part 4 - Marathon Petroleum’s Earnings Could Rise 25% in Q4 2018

  • MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings
    Market Realist9 days ago

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings

    MPC, VLO, HFC, and PSX: Q4 Estimates and Rankings ## Refiners’ fourth-quarter estimates and rankings In this series, we’ll rank the refining stocks that analysts expect to see EPS growth YoY (year-over-year) in the fourth quarter. The four refining companies discussed in this series are Marathon Petroleum (MPC), HollyFrontier (HFC), Valero Energy (VLO), and Phillips 66 (PSX). We have also reviewed analysts’ ratings for these stocks. If we rank these refining stocks based on the expected EPS growth YoY in the fourth quarter, then HollyFrontier occupies the top spot. The company is expected to post a considerable increase in its earnings of ~144% YoY in the fourth quarter. Phillips 66’s earnings could increase compared to Marathon Petroleum and Valero Energy. HollyFrontier and Phillips 66 have diversified earnings models that incorporate other segments like Chemicals and Midstream. Although the refining earnings could be weak in the fourth quarter, other segments could support HollyFrontier and Phillips 66’s total earnings. Analysts expect the refining earnings to fall YoY in the fourth quarter. Refining margin indicators and refining cracks in the industry point toward a weaker margin environment. The benchmark crack, the US Gulf Coast WTI 3-2-1, fell YoY in the fourth quarter. In the fourth quarter, RIN (renewable identification number) prices weakened on a yearly basis, which could result in lower compliance expenses for refiners. The weakness in refining earnings due to lower margins could be partly offset by lower RIN expenses. ## Analysts’ ratings If we consider the “buy” ratings assigned to these companies, then Marathon Petroleum has the highest “buy” ratings. HollyFrontier, which ranks first based on earnings growth, has the lowest “buy” ratings. We’ll discuss analysts’ ratings later in this series. In this series, we’ll discuss individual companies’ estimated fourth-quarter earnings. Next, we’ll discuss HollyFrontier. Continue to Next Part Browse this series on Market Realist: * Part 2 - HollyFrontier’s Q4 2018 Estimates: Ranked First * Part 3 - Phillips 66’s EPS Is Expected to Increase 126% in Q4 2018 * Part 4 - Marathon Petroleum’s Earnings Could Rise 25% in Q4 2018

  • MPLX Stock Looks Attractive
    Market Realist10 days ago

    MPLX Stock Looks Attractive

    How Analysts View the Top MLPs at the Beginning of 2019 (Continued from Prior Part) ## MPLX MPLX’s (MPLX) median target price is $41.4, which implies a potential upside of more than 25% from its current price of $33.0. Among the 16 analysts surveyed by Reuters covering MPLX, six recommended a “strong buy,” eight recommended a “buy,” and two recommended a “hold.” None of the analysts recommended a “sell” as of January 8. UBS cut MPLX’s target price from $42.0 to $41.0 last week. ## Valuation MPLX stock has fallen more than 10% in the past year, which mirrored the weakness in the MLP space. Currently, MPLX is trading at a forward valuation of 10x, which lower than MLPs’ (AMLP) average of 11x. MPLX’s five-year historical average valuation is close to 20x. MPLX appears to be trading at a discounted valuation compared to its peers and its historical valuation. MPLX is trading at a distribution yield of 7.8%, which is much higher than its five-year average yield of 3.7%. MPLX’s distributions grew at an above-average rate of 20% in the last five years. MPLX had impressive earnings growth over the years due to drop-down assets from Marathon Petroleum (MPC). The company reported strong volume growth in the third quarter. MPLX seems attractive based on its superior yield and expected earnings growth in 2019. Continue to Next Part Browse this series on Market Realist: * Part 1 - How Analysts View the Top MLPs at the Beginning of 2019 * Part 2 - Enterprise Products Partners: Analysts Are Positive * Part 3 - Is Plains All American Pipeline Stock a Good Bargain?

  • 3 High-Yield MLPs to Buy for a Stronger Portfolio in 2019
    InvestorPlace10 days ago

    3 High-Yield MLPs to Buy for a Stronger Portfolio in 2019

    Last year was one for the record books when it comes to master limited partnerships (MLPs). But not necessarily in a good way. The tax structure was long favored by investors seeking high dividends in our world of low interest rates. However, thanks to changes to the tax code and the Fed's path to normalcy, MLPs have been falling by the wayside. Both in share price from rising rates and in actual existence. Thanks to the Republican tax plan, MLPs do not necessarily make much sense anymore and many parent/GPs have been swallowing their MLP subsidiaries. For income seekers, this removes many potential opportunities to score an extra high-yield. But investors shouldn't fret too much. InvestorPlace - Stock Market News, Stock Advice & Trading Tips There are still a few MLPs sticking around and more importantly, those that are, happen to be some of the best and strongest partnerships around. And with the supply of MLPs dwindling, analysts expect a good year ahead for the remaining firms. * 10 Oversold Stocks Due for a Bounce With that in mind, here are three MLPs to buy for the new year. ### MPLX (MPLX) Source: Riccardo Annandale Via Unsplash Distribution Yield: 8.27% It's not often you can find real growth potential and strong cash flows/distribution increases. Often, it's one or the other when it comes to MLPs. But MPLX (NYSE:MPLX) has both in spades. Originally, MPLX was set-up by refining giant Marathon Petroleum Corp (NYSE:MPC) to own the various pipelines that feed its facilities. However, in the years since launching, the MLP has become a giant in its own right -- controlling thousands of miles worth of pipelines, processing assets and storage terminals. A huge part of that is focused on natural gas after its game-changing acquisition of MarkWest. This brought in plenty of natural gas gathering, transportation and fractionators under its umbrella. This provided MPLX with a steady base with the refining assets as well as high growth operations from the natural gas portion. What it has really done is make MPLX a cash flow and distribution machine since its IPO. Since 2016 alone, MPLX has managed to see its distributable cash flows jump a whopping 224%! Distributions have increased by 125% since its IPO in 2012 and the MLPX currently yields a big 8.27%. With new growth opportunities in the Permian and other points in Texas, MPLX shouldn't be able to keep the growth going in the new year. And with MPC's management already signaling that the MLP structure works for them, investors know this is one firm that will last for a while. All in all, MPLX represents one of the best MLPs to bet on for 2019 and into the future. ### Magellan Midstream Partners, L.P. (MMP) Source: Tony Webster via Flickr Distribution Yield: 6.91% Magellan Midstream Partners, L.P. (NYSE:MMP) proves that boring is beautiful when it comes to MLPs. MMP has long been a port in the storm and it has continued to reward shareholders throughout its history. The key is its focus on crude oil. Magellan's 11,000+ miles worth of pipelines and storage facilitates makes up the largest refined petroleum products pipeline system in the country. Roughly half of the nation's total refining capacity, either going into refineries or coming out to end-users, can tap into one of MMP's system of pipelines, terminals or storage farms. This huge system provides Magellan with plenty of cash flow generation, that in turn trickles down to investors. Over the last 18 years, MMP has managed to increase its distribution every year and it has done so at an annual rate of around 10% per year. Perhaps the best part of MMP is that it has some of the most conservative management in the entire MLP sector. They only invest in quality projects and don't chase returns. They also try and keep coverage ratios at great levels. With that, MMP's management is pulling back slightly on its distribution growth -- targeting 8% -- and investing $2.5 billion in some new pipelines for additional growth. All of which should keep its coverage ratio at around 1.2x. That's just perfect for MLPs. * 7 Best Fidelity Funds for 2019 And perfection is what you get with MMP. For investors still looking for MLPs, Magellan deserves a place in your portfolio. ### Hess Midstream Partners LP (HESM) Source: Mike Mozart via Flickr Distribution Yield: 7.81% MLPs succeed based on the strength of their partners. Drop-downs can be an integral part of how an MLP grows. So, naturally, if the firm's partner is big and growing, then the MLP will be as well. A good example of this could be Hess Midstream Partners LP. (NYSE:HESM). A couple of years ago, energy stock Hess (NYSE:HES) was the target of activist investors. That shook up shares, resulted in asset sales and the MLP launch of HESM. The IPO of its pipeline assets turned out to be a great decision for HES and its investors. HESM focus is on the prolific Bakken shale, where Hess owns more than 550,000 acres of land. The Bakken continues to be one of the hotbeds of drilling activity in the U.S. Despite that, infrastructure to get that crude oil out of the ground and to market remains poor. Because of this, HESM has a major foothold in the region and can charge some pretty hefty rates for other drillers to use its system. Meanwhile, HES provides plenty of stable volumes/cash from its drilling activity. The continued growth in drilling and throughput in its system has allowed HESM to see an amazing 19% compound annual growth rate (CAGR) for earnings and a 15% CAGR for its distributable cash flows. The best part is, there's still dropdown potential from its parent and increased demand from other shippers. With 100% of its revenues coming from fees rather than the price of oil and contracts averaging 10 years, HESM still has plenty of growth left in the tank. It may be new, but Hess Midstream is already becoming one of the best MLPs to buy. At the time of this writing, Aaron Levitt did not hold a position in any of the aforementioned securities. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Buy Down 20% in December * 5 Chinese Stocks to Avoid Now (But Buy Later) * 3 Big Gainers That Easily Could Be the Best Stocks to Buy Compare Brokers The post 3 High-Yield MLPs to Buy for a Stronger Portfolio in 2019 appeared first on InvestorPlace.

  • Why Marathon Petroleum (MPC) Could Beat Earnings Estimates Again
    Zacks10 days ago

    Why Marathon Petroleum (MPC) Could Beat Earnings Estimates Again

    Marathon Petroleum (MPC) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.

  • HollyFrontier Is Last Based on the Dividend Yield
    Market Realist10 days ago

    HollyFrontier Is Last Based on the Dividend Yield

    Which Refiners Have a Better Dividend Yield in 2019? (Continued from Prior Part) ## HollyFrontier’s dividend yield HollyFrontier (HFC) occupies the last spot among the six downstream stocks that we’re discussing in this series. The company has the fourth-largest market cap of ~$9 billion. HollyFrontier’s current dividend yield stands at 2.6%. In the fourth quarter, the company made a dividend payment of $0.33 per share. The dividend was announced on November 7 and paid on December 12. HollyFrontier has paid dividends consistently in the past three years. HollyFrontier made a dividend payment of $0.33 per share on December 30, 2015. PBF Energy’s (PBF) dividend was stable in the past three years. However, Valero Energy (VLO), Marathon Petroleum (MPC), and Phillips 66’s (PSX) dividend payments have risen in the past three years. ## Valuations HollyFrontier trades at a forward PE ratio of 6.8x, which is below the peer average of 7.3x. The steep decline of 27% in the fourth quarter impacted HollyFrontier’s valuations. Such a sharp fall in the stock price was due to the weaker refining environment, which pointed to lower refining earnings for HollyFrontier in the fourth quarter. In upcoming quarters, as the refining environment improves, the stock could rise. The company’s valuations could surpass the peer average due to its financials and growth expectations. HollyFrontier has a high expected growth rate among its US peers. The company’s EPS is expected to increase 152% in 2018. HollyFrontier is expanding its lubricants segment and modernizing its refining segment. HollyFrontier has strong financials denoted by its comfortable debt position and surplus cash flow situation. The stock is could have better valuations due to its strong financials and high growth prospects. Browse this series on Market Realist: * Part 1 - Which Refiners Have a Better Dividend Yield in 2019? * Part 2 - Valero Tops the Dividend Yield Chart in 2019 * Part 3 - Phillips 66 Is Second with a Dividend Yield of 3.6%

  • Marathon Petroleum Is Fifth Based on the Dividend Yield
    Market Realist10 days ago

    Marathon Petroleum Is Fifth Based on the Dividend Yield

    Which Refiners Have a Better Dividend Yield in 2019? (Continued from Prior Part) ## Marathon Petroleum’s dividend yield Marathon Petroleum (MPC) occupies the fifth spot on our list of six downstream dividend-yielding stocks. The company has the highest market cap of ~$41 billion. Valero Energy (VLO), Phillips 66 (PSX), and PBF Energy (PBF) have relatively higher dividend yields of 4.2%, 3.6%, and 3.6%, respectively. Marathon Petroleum has a current dividend yield of 3.1%. In the fourth quarter, the company made a dividend payment of $0.46 per share. The dividend was announced on October 31 and paid on December 10. Marathon Petroleum has consistently paid dividends in the past three years despite the volatile refining margin. The dividends rose during this period. The company made a dividend payment of $0.32 per share on December 10, 2015. ## Valuations Marathon Petroleum’s forward PE ratio has fallen from 9.4x in the first quarter of 2016 to the current level of 7.7x. Despite the fall, Marathon Petroleum trades at a premium to the peer average. Marathon Petroleum’s earnings, after the Andeavor acquisition, are expected to rise due to high refining capacities, widespread midstream assets, and the vast marketing and retail network. The anticipated synergies are expected to increase the earnings. The company’s capex activities could fuel the earnings growth. Wall Street analysts expect the company’s earnings to grow in the next few years. Marathon Petroleum’s EPS is expected to increase 34% in 2018 and 47% in 2019. Although Marathon Petroleum’s debt position isn’t comfortable, it could improve soon. Higher earnings could result in surplus cash, which could be used to repay debt. In the first nine months, the company’s cash flow from operations could cover its capex and dividend outflows. Overall, Marathon Petroleum has high valuations due to the expected earnings growth. Continue to Next Part Browse this series on Market Realist: * Part 1 - Which Refiners Have a Better Dividend Yield in 2019? * Part 2 - Valero Tops the Dividend Yield Chart in 2019 * Part 3 - Phillips 66 Is Second with a Dividend Yield of 3.6%

  • MPC’s, VLO’s, PSX’s, and HFC’s Valuations after the Recent Slump
    Market Realist10 days ago

    MPC’s, VLO’s, PSX’s, and HFC’s Valuations after the Recent Slump

    A Q4 Wrap-Up for Refiners MPC, VLO, PSX, and HFC (Continued from Prior Part) ## Refiners’ valuations Let’s look at the forward valuations of Marathon Petroleum (MPC), Valero Energy (VLO), Phillips 66 (PSX), and HollyFrontier (HFC). The average forward EV-to-EBITDA (enterprise value-to-EBITDA) and forward PE multiples of these four refiners are 5.3x and 8.0x, respectively. ## Marathon Petroleum’s lower valuations Marathon Petroleum is trading at a 4.6x forward EV-to-EBITDA and a 7.7x forward PE, both below the peer average, possibly due to the company’s debt position. Both of its debt ratios (total debt-to-total capital and net debt-to-EBITDA) stood above the peer average in the third quarter, which wasn’t a favorable scenario. However, Marathon Petroleum’s earnings are expected rise, as it’s completed its acquisition of Andeavor. Wall Street expects the company’s earnings to be up 34% in 2018 and up another 47% in 2019. ## Valero’s mixed valuations Valero Energy is trading above the average forward PE but below the average forward EV-to-EBITDA. Valero’s forward PE and forward EV-to-EBITDA stand at 8.2x and 5.2x, respectively. Its valuations are improving likely due to the fall in RIN (renewable identification number) prices, as we discussed in the previous article. The company also has a comfortable debt position to support its growth activities, which could result in better earnings for it in the future. ## Phillips 66 is trading at a premium Phillips 66 is trading at a 6.4x forward EV-to-EBITDA and an 8.9x forward PE, higher than the peer averages. Phillips 66 is trading at a premium due to its growth-oriented earnings model and robust financials. The company earns not only from its Refining segment but also from its Midstream, Chemicals, and Marketing segments. The company plans to grow these segments via capex and acquisitions. It has a comfortable debt position and a favorable liquidity position. ## HollyFrontier is trading at a discount HollyFrontier is trading at a 4.8x forward EV-to-EBITDA and a 7.1x forward PE, below the peer averages. However, the stock was trading at a premium in the previous quarter. Its steep fall of 27% in the fourth quarter affected its valuations. For more on HFC, read Where Is HollyFrontier’s Refining Margin Headed in Q4? Browse this series on Market Realist: * Part 1 - Refining Stocks MPC, VLO, PSX, and HFC Slumped in Q4 * Part 2 - MPC, VLO, PSX, HFC: 50-Day Averages Break below 200-Day Averages * Part 3 - What’s the Price Forecast for MPC, VLO, PSX, and HFC in Q1?