Please ensure Javascript is enabled for purposes of website accessibility

Why Marathon Petroleum Is Poised to Keep Poppin'

By Brian D. Pacampara, CFA - Apr 2, 2013 at 10:24AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Market-trouncing returns could be written in this 4-Star.

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 (MPC 0.51%) 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.

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

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Marathon Petroleum Corporation Stock Quote
Marathon Petroleum Corporation
MPC
$97.40 (0.51%) $0.49

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
334%
 
S&P 500 Returns
117%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/24/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.