Murphy USA (NYSE:MUSA) Sets New 1-Year High - Here's What Happened

Key Points

• Murphy USA shares hit a new 52-week high, trading as high as $614.24 and closing near $612.30, well above the prior close of $556.33.
• Recent analyst activity has been mixed, but the stock still carries a Moderate Buy consensus rating and an average price target of $503.71, below the current trading level.
• The company reported strong quarterly results, with EPS of $7.28 beating estimates and revenue of $4.82 billion topping expectations, while also raising its quarterly dividend to $0.64 per share.

Shares of Murphy USA Inc. (NYSE:MUSA - Get Free Report) reached a new 52-week high during trading on Thursday . The stock traded as high as $614.24 and last traded at $612.2960, with a volume of 542247 shares trading hands. The stock had previously closed at $556.33.

Analysts Set New Price Targets

MUSA has been the topic of several recent research reports. Weiss Ratings raised shares of Murphy USA from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, June 1st. JPMorgan Chase & Co. initiated coverage on shares of Murphy USA in a report on Thursday, March 26th. They issued an "overweight" rating and a $539.00 price objective on the stock. Wall Street Zen downgraded shares of Murphy USA from a "strong-buy" rating to a "buy" rating in a report on Saturday, May 30th. Royal Bank Of Canada upped their price objective on shares of Murphy USA from $510.00 to $517.00 and gave the company a "sector perform" rating in a report on Thursday, April 30th. Finally, Wells Fargo & Company upped their price objective on shares of Murphy USA from $450.00 to $520.00 and gave the company an "equal weight" rating in a report on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat.com, Murphy USA has a consensus rating of "Moderate Buy" and an average target price of $503.71.

Murphy USA Price Performance

The stock's fifty day moving average is $534.86 and its 200-day moving average is $458.55. The stock has a market capitalization of $11.31 billion, a PE ratio of 21.16, a P/E/G ratio of 1.83 and a beta of 0.30. The company has a debt-to-equity ratio of 3.24, a current ratio of 0.83 and a quick ratio of 0.48.

Murphy USA (NYSE:MUSA - Get Free Report) last announced its quarterly earnings results on Wednesday, April 29th. The specialty retailer reported $7.28 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.37 by $1.91. Murphy USA had a net margin of 2.81% and a return on equity of 91.05%. The firm had revenue of $4.82 billion for the quarter, compared to the consensus estimate of $4.70 billion. During the same period in the prior year, the firm posted $2.63 earnings per share. The firm's quarterly revenue was up 6.5% compared to the same quarter last year. As a group, equities analysts predict that Murphy USA Inc. will post 32.32 earnings per share for the current fiscal year.

Murphy USA Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, June 1st. Investors of record on Monday, May 18th were issued a dividend of $0.64 per share. This represents a $2.56 dividend on an annualized basis and a yield of 0.4%. This is a boost from Murphy USA's previous quarterly dividend of $0.63. The ex-dividend date of this dividend was Monday, May 18th. Murphy USA's payout ratio is currently 8.85%.

Insider Activity

In related news, SVP Keith A. Emery sold 517 shares of the stock in a transaction on Friday, May 15th. The shares were sold at an average price of $574.49, for a total transaction of $297,011.33. Following the sale, the senior vice president directly owned 500 shares of the company's stock, valued at approximately $287,245. This represents a 50.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, SVP Scott G. Woodward sold 158 shares of the company's stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $600.50, for a total transaction of $94,879.00. Following the transaction, the senior vice president owned 476 shares of the company's stock, valued at $285,838. This represents a 24.92% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 46,225 shares of company stock valued at $27,363,392 in the last three months. Corporate insiders own 9.02% of the company's stock.

Hedge Funds Weigh In On Murphy USA

Large investors have recently added to or reduced their stakes in the stock. WINTON GROUP Ltd acquired a new position in Murphy USA during the fourth quarter worth $6,874,000. Aptus Capital Advisors LLC raised its position in Murphy USA by 14.9% during the third quarter. Aptus Capital Advisors LLC now owns 22,600 shares of the specialty retailer's stock worth $8,775,000 after acquiring an additional 2,939 shares during the period. American Century Companies Inc. raised its position in Murphy USA by 6.0% during the third quarter. American Century Companies Inc. now owns 63,638 shares of the specialty retailer's stock worth $24,708,000 after acquiring an additional 3,614 shares during the period. Millennium Capital Advisors LLC acquired a new position in Murphy USA during the fourth quarter worth $1,029,000. Finally, Dakota Wealth Management acquired a new position in Murphy USA during the fourth quarter worth $1,134,000. 80.81% of the stock is currently owned by institutional investors and hedge funds.

About Murphy USA

Murphy USA is a leading downstream marketer of gasoline, diesel and convenience store products in the United States. Headquartered in El Dorado, Arkansas, the company was originally established as part of Murphy Oil Corporation and was spun off as an independent public entity in 2013. Since its separation, Murphy USA has focused on retail fueling services and convenience offerings designed to deliver value and convenience to consumers.

The company's primary operations center on two retail formats.

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