Murphy Oil (NYSE:MUR) Cut to "Strong Sell" at Zacks Research

Key Points

• Murphy Oil has been downgraded to a "strong sell" rating by Zacks Research, which reflects a significant decrease in analyst sentiments regarding the stock.
• Analysts predict that Murphy Oil's earnings per share will be $1.39 for FY2025, with further expectations of lower quarterly earnings into 2026.
• The company has a market capitalization of $3.97 billion and a current stock price of $27.81, showing a substantial drop from its 12-month high of $36.63.

Zacks Research cut shares of Murphy Oil (NYSE:MUR - Free Report) from a hold rating to a strong sell rating in a report released on Monday,Zacks.com reports. Zacks Research also issued estimates for Murphy Oil's Q3 2025 earnings at $0.24 EPS, Q3 2025 earnings at $0.20 EPS, Q4 2025 earnings at $0.28 EPS, Q4 2025 earnings at $0.32 EPS, FY2025 earnings at $1.39 EPS, FY2025 earnings at $1.32 EPS, Q1 2026 earnings at $0.28 EPS, Q1 2026 earnings at $0.26 EPS, Q2 2026 earnings at $0.28 EPS, Q3 2026 earnings at $0.35 EPS, Q3 2026 earnings at $0.38 EPS, Q4 2026 earnings at $0.54 EPS, FY2026 earnings at $1.43 EPS, FY2026 earnings at $1.53 EPS, Q1 2027 earnings at $0.43 EPS, Q1 2027 earnings at $0.41 EPS, Q2 2027 earnings at $0.45 EPS, Q2 2027 earnings at $0.48 EPS and FY2027 earnings at $2.47 EPS.

MUR has been the topic of several other research reports. UBS Group increased their price target on shares of Murphy Oil from $23.00 to $24.00 and gave the stock a "neutral" rating in a research report on Wednesday, August 13th. Wells Fargo & Company set a $24.00 price target on shares of Murphy Oil and gave the company an "equal weight" rating in a research report on Thursday, June 26th. Barclays boosted their price target on shares of Murphy Oil from $22.00 to $23.00 and gave the stock an "underweight" rating in a research note on Monday, July 7th. Scotiabank reiterated a "sector perform" rating and set a $26.00 price target (up from $22.00) on shares of Murphy Oil in a report on Friday, July 11th. Finally, Mizuho cut their price objective on shares of Murphy Oil from $31.00 to $29.00 and set a "neutral" rating on the stock in a research report on Monday, September 15th. One research analyst has rated the stock with a Buy rating, eleven have assigned a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of "Reduce" and an average price target of $29.54.

Murphy Oil Stock Down 1.8%

Shares of MUR traded down $0.48 during mid-day trading on Monday, reaching $26.55. The company's stock had a trading volume of 4,577,631 shares, compared to its average volume of 2,131,907. The company has a quick ratio of 0.77, a current ratio of 0.84 and a debt-to-equity ratio of 0.28. The company has a market cap of $3.79 billion, a price-to-earnings ratio of 13.76 and a beta of 1.15. Murphy Oil has a 1 year low of $18.94 and a 1 year high of $36.63. The business has a fifty day moving average of $24.76 and a 200 day moving average of $23.84.

Murphy Oil (NYSE:MUR - Get Free Report) last posted its earnings results on Wednesday, August 6th. The oil and gas producer reported $0.27 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.21 by $0.06. Murphy Oil had a net margin of 10.20% and a return on equity of 5.25%. The company had revenue of $695.57 million during the quarter, compared to analysts' expectations of $632.51 million. During the same quarter in the previous year, the company posted $0.81 earnings per share. Murphy Oil's quarterly revenue was down 13.4% compared to the same quarter last year. As a group, analysts forecast that Murphy Oil will post 2.94 earnings per share for the current fiscal year.

Murphy Oil Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 2nd. Stockholders of record on Monday, August 18th were issued a $0.325 dividend. The ex-dividend date of this dividend was Monday, August 18th. This represents a $1.30 dividend on an annualized basis and a dividend yield of 4.9%. Murphy Oil's payout ratio is presently 67.36%.

Institutional Trading of Murphy Oil

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Riverview Trust Co acquired a new position in shares of Murphy Oil in the 1st quarter valued at about $26,000. Brooklyn Investment Group lifted its holdings in shares of Murphy Oil by 3,989.7% in the first quarter. Brooklyn Investment Group now owns 1,186 shares of the oil and gas producer's stock valued at $34,000 after buying an additional 1,157 shares during the period. Byrne Asset Management LLC purchased a new stake in Murphy Oil in the 1st quarter worth about $44,000. Mitsubishi UFJ Asset Management Co. Ltd. raised its stake in shares of Murphy Oil by 1,710.9% during the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 1,666 shares of the oil and gas producer's stock worth $47,000 after purchasing an additional 1,574 shares in the last quarter. Finally, MassMutual Private Wealth & Trust FSB grew its holdings in Murphy Oil by 177.8% in the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 1,725 shares of the oil and gas producer's stock valued at $49,000 after buying an additional 1,104 shares during the last quarter. 78.31% of the stock is currently owned by hedge funds and other institutional investors.

About Murphy Oil

Murphy Oil Corporation, together with its subsidiaries, operates as an oil and gas exploration and production company in the United States, Canada, and internationally. It explores for and produces crude oil, natural gas, and natural gas liquids. The company was formerly known as Murphy Corporation and changed its name to Murphy Oil Corporation in 1964.