Why Marathon Petroleum Is Poised to Keep Poppin'

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, petroleum refiner Marathon Petroleum (NYSE: MPC  ) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Marathon and see what CAPS investors are saying about the stock right now.

Marathon facts

Headquarters

Findlay, Ohio

Market Cap

$29.8 billion

Industry

Oil and gas refining and marketing

Trailing-12-Month Revenue

$76.6 billion

Management

CEO Gary Heminger (since 2011)

CFO Donald Templin (since 2011)

Return on Equity (average, past 3 years)

21.8%

Cash/Debt

$4.9 billion / $3.4 billion

Dividend Yield

1.6%

Competitors

Chevron

ExxonMobil

Valero Energy

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96% of the 189 members who have rated Marathon believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star BudandMolly, succinctly summed up the Marathon bull case for our community:

Refiners have a monopoly on gas production. Due to regulation there is a virtual block to any new refineries or even expansion of existing ones leaving them without competition. Limited production of gasoline keeps prices high and as oil prices come down due to domestic production increases the spread of input costs to output prices increases.

Of course, there are many different ways to play the energy sector, and The Motley Fool's analysts have uncovered an under-the-radar company that's dominating its industry. This company is a leading provider of equipment and components used in drilling and production operations, and poised to profit in a big way from it. To get the name and detailed analysis of this company that will prosper for years to come, check out the special free report: "The Only Energy Stock You'll Ever Need." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. Click here to access your report -- it's totally free.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.


Read/Post Comments (2) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On April 02, 2013, at 1:49 PM, kkaveh wrote:

    great timing....

  • Report this Comment On April 02, 2013, at 4:15 PM, marymaryhadalamb wrote:

    With the EPA lowering the amount of sulfur content in gasoline, refiners are going to incur considerable capital expenditures to meet the new limits. This is, of course, why all the gasoline refiners like MPC are crashing today.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2341454, ~/Articles/ArticleHandler.aspx, 11/27/2014 10:19:36 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement