Murphy USA Inc. (NYSE:MUSA) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• Analysts have given Murphy USA Inc. an average rating of "Moderate Buy", with the price target averaging around $476.29 among the nine analysts covering the stock.
• Murphy USA reported $7.36 earnings per share for the last quarter, exceeding expectations, although its revenue declined by 8.2% compared to the same quarter last year.
• The company announced an increase in its quarterly dividend from $0.50 to $0.53, demonstrating a commitment to returning value to shareholders.

Shares of Murphy USA Inc. (NYSE:MUSA - Get Free Report) have been assigned a consensus rating of "Moderate Buy" from the nine analysts that are covering the stock, Marketbeat reports. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company. The average 12 month price target among brokerages that have updated their coverage on the stock in the last year is $476.2857.

Several brokerages have recently issued reports on MUSA. KeyCorp decreased their price objective on Murphy USA from $500.00 to $480.00 and set an "overweight" rating on the stock in a report on Friday, July 25th. Raymond James Financial downgraded Murphy USA from an "outperform" rating to a "market perform" rating in a research report on Friday, May 9th. Wells Fargo & Company cut their price objective on Murphy USA from $520.00 to $440.00 and set an "overweight" rating on the stock in a research report on Friday, August 1st. Stephens dropped their price target on Murphy USA from $530.00 to $475.00 and set an "overweight" rating on the stock in a research report on Friday, May 9th. Finally, Wall Street Zen cut Murphy USA from a "buy" rating to a "hold" rating in a research note on Friday, May 9th.

Murphy USA Stock Performance

NYSE:MUSA traded up $9.73 during mid-day trading on Friday, reaching $400.26. The company's stock had a trading volume of 20,702 shares, compared to its average volume of 293,998. The firm's fifty day moving average price is $406.49 and its two-hundred day moving average price is $446.57. The stock has a market cap of $7.72 billion, a P/E ratio of 16.57 and a beta of 0.42. Murphy USA has a 12-month low of $345.23 and a 12-month high of $561.08. The company has a current ratio of 0.80, a quick ratio of 0.39 and a debt-to-equity ratio of 3.20.

Murphy USA (NYSE:MUSA - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The specialty retailer reported $7.36 earnings per share for the quarter, beating analysts' consensus estimates of $6.82 by $0.54. Murphy USA had a return on equity of 64.63% and a net margin of 2.52%. The firm had revenue of $5.01 billion for the quarter, compared to analysts' expectations of $5.17 billion. During the same period in the previous year, the firm earned $6.92 EPS. The business's quarterly revenue was down 8.2% on a year-over-year basis. On average, equities analysts forecast that Murphy USA will post 26.45 EPS for the current fiscal year.

Murphy USA Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Monday, August 25th will be given a $0.53 dividend. The ex-dividend date is Monday, August 25th. This is an increase from Murphy USA's previous quarterly dividend of $0.50. This represents a $2.12 dividend on an annualized basis and a yield of 0.5%. Murphy USA's payout ratio is 8.28%.

Insider Activity at Murphy USA

In other news, COO Malynda K. West sold 1,859 shares of the business's stock in a transaction on Tuesday, August 12th. The shares were sold at an average price of $386.22, for a total transaction of $717,982.98. Following the completion of the sale, the chief operating officer directly owned 117,389 shares of the company's stock, valued at $45,337,979.58. The trade was a 1.56% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Robert Madison Murphy acquired 5,000 shares of the stock in a transaction dated Tuesday, August 5th. The shares were bought at an average cost of $367.01 per share, with a total value of $1,835,050.00. Following the completion of the purchase, the director directly owned 389,172 shares in the company, valued at approximately $142,830,015.72. This trade represents a 1.30% increase in their ownership of the stock. The disclosure for this purchase can be found here. 10.12% of the stock is owned by insiders.

Institutional Trading of Murphy USA

A number of institutional investors have recently added to or reduced their stakes in MUSA. OneDigital Investment Advisors LLC acquired a new stake in Murphy USA during the first quarter worth about $241,000. Golden State Wealth Management LLC acquired a new position in Murphy USA in the 1st quarter worth approximately $40,000. Universal Beteiligungs und Servicegesellschaft mbH purchased a new stake in Murphy USA in the 1st quarter worth approximately $3,683,000. SG Americas Securities LLC lifted its position in Murphy USA by 21.1% in the 1st quarter. SG Americas Securities LLC now owns 1,210 shares of the specialty retailer's stock worth $568,000 after buying an additional 211 shares in the last quarter. Finally, Y Intercept Hong Kong Ltd raised its holdings in shares of Murphy USA by 81.9% during the 1st quarter. Y Intercept Hong Kong Ltd now owns 1,812 shares of the specialty retailer's stock valued at $851,000 after purchasing an additional 816 shares in the last quarter. 80.81% of the stock is owned by hedge funds and other institutional investors.

Murphy USA Company Profile

Murphy USA Inc engages in marketing of retail motor fuel products and convenience merchandise. The company operates retail stores under the Murphy USA, Murphy Express, and QuickChek brands, as well as operates non-fuel convenience stores. It operates retail gasoline stores principally in the Southeast, Southwest, and Midwest United States.