Marathon Petroleum (NYSE:MPC) Stock Price Up 2.9% - Here's What Happened

Key Points

• Marathon Petroleum shares rose 2.9% to $444.92 in Friday trading, supported by a 10% dividend increase to $1.10 per share and generally favorable analyst views. The stock has a consensus “Moderate Buy” rating, with an average price target of $424.31.
• The company’s next major catalyst is its third-quarter earnings report, scheduled for Nov. 3. Investors will focus on refining margins, operating performance and cash flow, with elevated expectations following a significant prior-quarter earnings beat.
• Refining-market risks remain as weaker gasoline-market fundamentals and potential margin pressure could limit further gains. Recent insider selling and net selling by ETFs may also contribute to volatility.

Shares of Marathon Petroleum Corporation (NYSE:MPC - Get Free Report) rose 2.9% during trading on Friday. The stock traded as high as $446.06 and last traded at $444.92. 2,073,116 shares traded hands during mid-day trading, a decline of 16% from the average session volume of 2,463,114 shares. The stock had previously closed at $432.51.

Trending Headlines about Marathon Petroleum

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

• Positive Sentiment: Dividend raised 10%: MPC’s board increased the quarterly dividend to $1.10 per share from $1.00, payable Dec. 10 to shareholders of record Nov. 18. The higher payout signals confidence in cash generation and may appeal to income-focused investors. Marathon Petroleum Corp. Increases Quarterly Dividend
• Positive Sentiment: Constructive momentum and valuation views: Zacks identified MPC as a strong momentum stock, while other coverage described the shares as potentially discounted relative to their long-term performance and highlighted attractive PEG characteristics. These reports support continued investor interest, although they are largely research commentary rather than new company developments. Why Marathon Petroleum Is a Strong Momentum Stock
• Neutral Sentiment: Earnings are the next major test: MPC is scheduled to report third-quarter results on Nov. 3. Analysts are focused not only on revenue and earnings per share, but also on refining margins, operating performance and cash flow. Expectations have risen after the company’s previous quarter significantly exceeded consensus, increasing the risk of a muted reaction if results merely meet forecasts. Countdown to Marathon Petroleum Q3 Earnings
• Neutral Sentiment: Board addition: Former executive David E. Constable was elected to MPC’s board, effective March 1, 2027. The appointment could add industry and management expertise, but its financial impact is unlikely to be immediate. David Constable to Join Marathon Petroleum Board
• Negative Sentiment: Supply and market concerns: Coverage warns that refining fundamentals and gasoline markets are under pressure, while ETFs were net sellers of MPC shares on Oct. 27. These factors could limit upside or amplify volatility if the earnings report shows weaker margins or cash-flow conversion. ETFs Are Net Sellers of Marathon Petroleum

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on MPC shares. UBS Group set a $510.00 price target on Marathon Petroleum in a report on Friday, October 9th. Morgan Stanley raised their price target on shares of Marathon Petroleum from $265.00 to $453.00 and gave the stock an "overweight" rating in a research report on Monday, September 14th. Raymond James Financial increased their price target on shares of Marathon Petroleum from $350.00 to $445.00 and gave the stock an "outperform" rating in a report on Monday, September 14th. TD Cowen upped their target price on Marathon Petroleum from $450.00 to $478.00 and gave the stock a "buy" rating in a research note on Thursday, October 22nd. Finally, Wells Fargo & Company boosted their price objective on Marathon Petroleum from $400.00 to $560.00 and gave the stock an "overweight" rating in a research note on Wednesday, October 14th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $424.31.

Marathon Petroleum Trading Up 2.9%

The company has a debt-to-equity ratio of 1.19, a quick ratio of 0.89 and a current ratio of 1.25. The firm has a market capitalization of $129.89 billion, a PE ratio of 15.29, a PEG ratio of 0.12 and a beta of 0.54. The company's 50-day moving average price is $416.08 and its 200-day moving average price is $288.43.

Marathon Petroleum (NYSE:MPC - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The oil and gas company reported $17.73 earnings per share for the quarter, beating the consensus estimate of $14.27 by $3.46. Marathon Petroleum had a return on equity of 31.96% and a net margin of 5.48%. The business had revenue of $51.99 billion during the quarter, compared to the consensus estimate of $40.87 billion. During the same period in the prior year, the company earned $3.96 earnings per share. The company's revenue was up 53.5% compared to the same quarter last year. On average, sell-side analysts expect that Marathon Petroleum Corporation will post 64.12 earnings per share for the current year.

Marathon Petroleum Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Wednesday, November 18th will be paid a dividend of $1.00 per share. This represents a $4.00 annualized dividend and a dividend yield of 0.9%. The ex-dividend date of this dividend is Wednesday, November 18th. Marathon Petroleum's payout ratio is 13.75%.

Insiders Place Their Bets

In other news, VP Erin M. Brzezinski sold 570 shares of the company's stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $362.79, for a total transaction of $206,790.30. Following the completion of the sale, the vice president directly owned 1,576 shares in the company, valued at $571,757.04. This represents a 26.56% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, SVP Shawn M. Lyon sold 2,500 shares of Marathon Petroleum stock in a transaction that occurred on Thursday, August 13th. The shares were sold at an average price of $350.00, for a total transaction of $875,000.00. Following the transaction, the senior vice president directly owned 12,619 shares in the company, valued at approximately $4,416,650. This trade represents a 16.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 21,691 shares of company stock valued at $7,780,127. Corporate insiders own 0.17% of the company's stock.

Hedge Funds Weigh In On Marathon Petroleum

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MPC. BlackRock Inc. acquired a new position in Marathon Petroleum during the 2nd quarter worth approximately $6,648,958,000. Bank of New York Mellon Corp bought a new stake in shares of Marathon Petroleum during the 2nd quarter valued at about $1,029,611,000. Bank of America Corp DE grew its holdings in Marathon Petroleum by 1.6% in the first quarter. Bank of America Corp DE now owns 2,595,084 shares of the oil and gas company's stock worth $633,668,000 after purchasing an additional 40,124 shares during the period. Amundi increased its holdings in shares of Marathon Petroleum by 17.5% during the second quarter. Amundi now owns 2,237,930 shares of the oil and gas company's stock valued at $572,172,000 after acquiring an additional 332,551 shares in the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in shares of Marathon Petroleum by 16.7% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,508,489 shares of the oil and gas company's stock worth $385,675,000 after purchasing an additional 215,686 shares during the last quarter. 76.77% of the stock is owned by hedge funds and other institutional investors.

Marathon Petroleum Company Profile

Marathon Petroleum Corporation NYSE: MPC is an American downstream energy company engaged in refining, marketing, and transporting petroleum products. Its operations include converting crude oil into gasoline, diesel, jet fuel, asphalt, propane, and other refined products used by transportation, industrial, and commercial customers.

The company markets fuel under the Marathon brand and supplies products to independent marketers, commercial businesses, and other wholesale customers. Marathon Petroleum also owns a general-partner interest and significant limited-partner interest in MPLX Inc, a midstream company that operates pipelines, storage facilities, terminals, and gathering and processing assets supporting the movement of crude oil and natural gas liquids.

Marathon Petroleum's refining and midstream activities are concentrated in the United States, with assets serving regions across the Midwest, Gulf Coast, and West Coast.

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