Murphy USA (NYSE:MUSA) Stock Price Down 5.4% - Time to Sell?

Key Points

• Murphy USA's stock price fell 5.4% on Monday, trading down to $366.54 after a previous close of $387.28, with a significant decline in trading volume.
• Analysts' ratings have been mixed, with Zacks downgrading the stock to a "strong sell" and Jefferies lowering its rating to "hold" with a $350 target, while other analysts maintain a consensus rating of "hold" and a target price average of $477.33.
• The company has recently increased its dividend from $0.50 to $0.53 per share, with stockholders having received an annualized dividend yield of 0.6% as of September 4th.

Murphy USA Inc. (NYSE:MUSA - Get Free Report)'s stock price was down 5.4% during trading on Monday . The stock traded as low as $362.00 and last traded at $366.54. Approximately 140,125 shares were traded during trading, a decline of 52% from the average daily volume of 292,341 shares. The stock had previously closed at $387.28.

Analyst Upgrades and Downgrades

MUSA has been the topic of a number of research analyst reports. Zacks Research cut Murphy USA from a "hold" rating to a "strong sell" rating in a research report on Monday, October 6th. Jefferies Financial Group lowered Murphy USA from a "buy" rating to a "hold" rating and set a $350.00 price target on the stock. in a research report on Friday, August 1st. Weiss Ratings reiterated a "hold (c)" rating on shares of Murphy USA in a research note on Wednesday, October 8th. Wells Fargo & Company began coverage on shares of Murphy USA in a research report on Wednesday, October 15th. They set an "equal weight" rating and a $405.00 target price on the stock. Finally, KeyCorp reaffirmed an "overweight" rating and issued a $480.00 target price on shares of Murphy USA in a report on Friday, September 5th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $477.33.

Murphy USA Trading Down 3.9%

The company has a fifty day moving average of $384.77 and a two-hundred day moving average of $420.61. The company has a quick ratio of 0.39, a current ratio of 0.80 and a debt-to-equity ratio of 3.20. The stock has a market capitalization of $7.18 billion, a price-to-earnings ratio of 15.41 and a beta of 0.42.

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

Murphy USA Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Monday, August 25th were given a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date was Monday, August 25th. This is a positive change from Murphy USA's previous quarterly dividend of $0.50. Murphy USA's payout ratio is 8.78%.

Insider Buying and Selling

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

Institutional Trading of Murphy USA

Several institutional investors and hedge funds have recently modified their holdings of the business. Perigon Wealth Management LLC purchased a new position in shares of Murphy USA during the 3rd quarter worth approximately $219,000. Apollon Wealth Management LLC grew its holdings in Murphy USA by 16.9% during the 3rd quarter. Apollon Wealth Management LLC now owns 1,602 shares of the specialty retailer's stock valued at $622,000 after buying an additional 232 shares during the last quarter. Blue Trust Inc. increased its position in Murphy USA by 17.5% during the third quarter. Blue Trust Inc. now owns 981 shares of the specialty retailer's stock worth $381,000 after buying an additional 146 shares in the last quarter. CWM LLC raised its holdings in shares of Murphy USA by 144.0% in the third quarter. CWM LLC now owns 5,627 shares of the specialty retailer's stock worth $2,185,000 after acquiring an additional 3,321 shares during the last quarter. Finally, Pacer Advisors Inc. lifted its position in shares of Murphy USA by 50.9% in the third quarter. Pacer Advisors Inc. now owns 2,320 shares of the specialty retailer's stock valued at $901,000 after acquiring an additional 783 shares in the last quarter. Hedge funds and other institutional investors own 80.81% of the company's stock.

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.

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