Marathon Petroleum (NYSE:MPC) Reaches New 12-Month High - Should You Buy?

Key Points

• Marathon Petroleum hit a new 52-week high, trading as high as $262.48 amid strong recent momentum. The stock has also been showing relative price strength, reinforcing a bullish technical backdrop.
• Q1 results beat expectations with earnings of $1.65 per share and revenue of $34.20 billion, both above analyst estimates. The company also increased its share buyback program, signaling management confidence.
• Analysts remain generally positive, with several raising price targets and the consensus rating sitting at “Moderate Buy.” Marathon also announced a $1.00 quarterly dividend, equal to a 1.5% annual yield.

Marathon Petroleum Corporation (NYSE:MPC - Get Free Report) reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $262.48 and last traded at $262.0650, with a volume of 903453 shares changing hands. The stock had previously closed at $259.53.

Trending Headlines about Marathon Petroleum

Here are the key news stories impacting Marathon Petroleum this week:

• Positive Sentiment: Marathon Petroleum’s Q1 results beat expectations, with earnings and revenue topping estimates; the company also boosted its stock buyback program, which supports EPS and signals management confidence. Marathon Petroleum (MPC) Exceeds Estimates in Q1, Boosts Stock Buyback Program
• Positive Sentiment: Market momentum has stayed strong, with articles noting MPC’s relative price strength and its rise over the past week, suggesting investors are favoring the stock as a momentum name. Marathon Petroleum (MPC) Is Up 4.15% in One Week: What You Should Know
• Positive Sentiment: Zacks highlighted MPC as a top momentum stock for the long term, reinforcing the view that the recent strength may have more room to run. Why Marathon Petroleum (MPC) is a Top Momentum Stock for the Long-Term
• Neutral Sentiment: Marathon Petroleum also appeared in a broader list of stocks showing relative price strength, which adds to the bullish technical backdrop but does not by itself change fundamentals. 5 Stocks With Relative Price Strength in a Record Market
• Neutral Sentiment: Marathon Petroleum participated in pre-seed funding for methane detection startup Aquanta Vision, showing ongoing investment in emissions technology, though the financial impact is likely limited near term. Aquanta Vision Secures Pre-Seed Funding to Advance Real-Time Methane Leak Detection
• Neutral Sentiment: An energy-sector piece suggested refiners could remain attractive even if oil prices ease, which is broadly supportive for MPC but not company-specific. Iran Ceasefire Trade: 3 Energy Stocks to Own if Oil Falls to $80

Analysts Set New Price Targets

MPC has been the topic of several research reports. Mizuho upped their target price on Marathon Petroleum from $205.00 to $224.00 and gave the company a "neutral" rating in a research report on Tuesday, March 17th. TD Cowen upped their target price on Marathon Petroleum to $320.00 and gave the company a "buy" rating in a research report on Wednesday, May 6th. Piper Sandler upped their target price on Marathon Petroleum from $197.00 to $228.00 and gave the company a "neutral" rating in a research report on Thursday, April 9th. UBS Group set a $285.00 target price on Marathon Petroleum in a research report on Wednesday, May 6th. Finally, BMO Capital Markets upped their target price on Marathon Petroleum from $255.00 to $290.00 and gave the company an "outperform" rating in a research report on Wednesday, May 13th. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $259.44.

Marathon Petroleum Stock Performance

The company has a debt-to-equity ratio of 1.31, a current ratio of 1.18 and a quick ratio of 0.73. The company has a market capitalization of $76.80 billion, a PE ratio of 17.18, a price-to-earnings-growth ratio of 0.33 and a beta of 0.53. The firm's fifty day simple moving average is $235.42 and its 200 day simple moving average is $203.97.

Marathon Petroleum (NYSE:MPC - Get Free Report) last posted its earnings results on Tuesday, May 5th. The oil and gas company reported $1.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.74 by $0.91. Marathon Petroleum had a net margin of 3.36% and a return on equity of 16.22%. The business had revenue of $34.20 billion for the quarter, compared to analyst estimates of $33.42 billion. During the same period in the prior year, the company posted ($0.24) EPS. The company's revenue for the quarter was up 8.5% on a year-over-year basis. On average, research analysts predict that Marathon Petroleum Corporation will post 29.67 EPS for the current year.

Marathon Petroleum Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Wednesday, May 20th will be paid a dividend of $1.00 per share. This represents a $4.00 annualized dividend and a dividend yield of 1.5%. The ex-dividend date of this dividend is Wednesday, May 20th. Marathon Petroleum's dividend payout ratio is presently 26.11%.

Insider Activity

In other news, insider Ricky D. Hessling sold 1,626 shares of the stock in a transaction dated Friday, March 13th. The shares were sold at an average price of $228.18, for a total transaction of $371,020.68. Following the sale, the insider directly owned 7,525 shares of the company's stock, valued at $1,717,054.50. This represents a 17.77% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Over the last 90 days, insiders have sold 4,473 shares of company stock worth $1,015,428. Corporate insiders own 0.17% of the company's stock.

Institutional Investors Weigh In On Marathon Petroleum

Several institutional investors have recently bought and sold shares of MPC. Norges Bank acquired a new stake in Marathon Petroleum in the 4th quarter worth about $472,312,000. Capital Wealth Planning LLC boosted its holdings in Marathon Petroleum by 49,392.0% in the 4th quarter. Capital Wealth Planning LLC now owns 1,498,124 shares of the oil and gas company's stock worth $245,157,000 after buying an additional 1,495,097 shares during the last quarter. Pacer Advisors Inc. boosted its holdings in Marathon Petroleum by 3,816.8% in the 4th quarter. Pacer Advisors Inc. now owns 1,306,749 shares of the oil and gas company's stock worth $212,517,000 after buying an additional 1,273,386 shares during the last quarter. GHE LLC boosted its holdings in Marathon Petroleum by 1,939.8% in the 1st quarter. GHE LLC now owns 649,542 shares of the oil and gas company's stock worth $158,605,000 after buying an additional 617,699 shares during the last quarter. Finally, Man Group plc boosted its holdings in Marathon Petroleum by 2,175.0% in the 4th quarter. Man Group plc now owns 568,790 shares of the oil and gas company's stock worth $92,502,000 after buying an additional 543,788 shares during the last quarter. 76.77% of the stock is currently owned by institutional investors and hedge funds.

Marathon Petroleum Company Profile

Marathon Petroleum Corporation NYSE: MPC is a U.S.-based downstream energy company engaged principally in the refining, marketing, supply and transportation of petroleum products. The company was formed through a spin-off from Marathon Oil in 2011 and operates an integrated system of refining and logistics assets that support the production and distribution of transportation fuels and other refined petroleum products.

Marathon Petroleum's operations include refining crude oil into gasoline, diesel, jet fuel, asphalt and other specialty products, as well as managing the distribution and storage infrastructure needed to move those products to market.

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