As of June 28, 2023, Assenagon Asset Management S.A. has increased its stake in Marathon Petroleum Co. (NYSE:MPC) by 20.8% during the first quarter, according to its recent disclosure with the Securities and Exchange Commission (SEC). The fund now owns 1,552,989 shares of the oil and gas company’s stock, acquiring an additional 266,914 shares during the period. This move has solidified Marathon Petroleum as the 19th biggest holding for Assenagon Asset Management S.A., making up 0.7% of its overall portfolio. The total value of Assenagon Asset Management S.A.’s Marathon Petroleum holdings is estimated to be worth $209,390,000.
On May 2nd, Marathon Petroleum reported its quarterly earnings results which exceeded expectations. The company recorded earnings per share (EPS) of $6.09 for the quarter, surpassing the consensus estimate of $5.23 by a significant margin of $0.86. These positive results highlight a net margin of 9.28% and a return on equity of 46.49% for Marathon Petroleum. However, despite this impressive performance, the company’s revenue for the quarter was $35.08 billion compared to estimates of $35.17 billion, resulting in a decline of 8.6% year-over-year.
Sell-side analysts anticipate that Marathon Petroleum will post earnings per share of $19.01 for the current fiscal year.
In further news regarding Marathon Petroleum, Senior Vice President Suzanne Gagle executed a transaction where she sold 60,019 shares at an average price of $134.28 on April 4th for a total value exceeding $8 million ($8,059,351.32). Following this sale, Gagle now holds direct ownership of 45,997 shares valued at approximately $6 million ($6,176,477.16). This transaction was disclosed in a filing with the Securities and Exchange Commission (SEC), accessible via a provided link.
Additionally, Vice President Carl Kristopher Hagedorn also sold 5,717 shares of Marathon Petroleum on June 5th at an average price of $108.91, amounting to a total transaction value of $622,638.47. His direct ownership now stands at 6,916 shares valued at approximately $753,221.56. The disclosure for this sale can be found in another filing with the SEC.
Announced on May 2nd, Marathon Petroleum declared a share buyback program authorized by its board of directors. This program allows the company to repurchase $5 billion worth of outstanding shares through open market purchases. Such buyback authorizations typically indicate that the leadership believes the stock is undervalued.
Overall, these developments showcase Assenagon Asset Management S.A.’s increased involvement in Marathon Petroleum and highlight the successful quarterly earnings achieved by the oil and gas company. The sale transactions made by company insiders reflect their confidence in Marathon Petroleum’s financial prospects moving forward. Additionally, the board’s decision to initiate a share buyback program signifies a belief in the potential for further value appreciation in the stock price.
As investors closely monitor these recent activities surrounding Marathon Petroleum, it will be interesting to observe how these decisions impact both the company’s financial performance and its position within Assenagon Asset Management S.A.’s investment portfolio.
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Strong Interest from Institutional Investors Highlights Marathon Petroleum’s Growth Potential
Institutional investors have been making noteworthy changes to their positions in Marathon Petroleum (MPC), reflecting a dynamic market environment and the company’s strong prospects. Armstrong Advisory Group Inc., Sit Investment Associates Inc., Lansing Street Advisors, Capital Advisors Ltd. LLC, and Destiny Wealth Partners LLC have all recently acquired new positions in MPC.
Armstrong Advisory Group Inc. entered the fray during the fourth quarter of last year, investing approximately $25,000 in Marathon Petroleum. Similarly, Sit Investment Associates Inc. and Lansing Street Advisors also bolstered their portfolios with shares of MPC valued at around $25,000 and $32,000 respectively during the same period. Capital Advisors Ltd. LLC saw significant growth in its holdings in Marathon Petroleum by 199.3% during the fourth quarter, now owning 808 shares valued at $34,000 after purchasing an additional 538 shares. Finally, Destiny Wealth Partners LLC made its entrance into MPC by acquiring a new position valued at approximately $37,000.
The presence of these institutional investors and hedge funds demonstrates the strong interest and belief in Marathon Petroleum’s potential for growth and profitability. Currently, these investors hold ownership of about 76.77% of MPC stock.
On June 28th, MPC stock opened at $113.98 on Wednesday and has been relatively stable over recent months with a fifty-day moving average price of $112.93 and a two-hundred-day moving average price of $119.91.
Marathon Petroleum Co.’s performance on the stock market has seen fluctuations over the past year, with a low of $77.62 and a high of $138.83 within this period.
The market capitalization for Marathon Petroleum stands at an impressive figure of approximately $48.36 billion as of this writing.
Utilizing various financial metrics to gauge its valuation demonstrates that Marathon Petroleum has been operating commendably in terms of key indicators such as a price-to-earnings (P/E) ratio of 3.43, showcasing a relatively low valuation compared to rivals in the industry. Additionally, its price-to-earnings-growth (PEG) ratio stands at 0.99, which suggests favorable growth prospects in relation to its current stock price.
Marathon Petroleum boasts a beta of 1.64 – indicating it is more volatile than the broader market – aligning with the inherent risk associated with investment in oil and gas companies.
Examining the company’s financial standing, Marathon Petroleum maintains a debt-to-equity ratio of 0.83, revealing that it relies moderately on borrowing to finance its operations.
With a healthy current ratio of 1.90 and quick ratio of 1.30, Marathon Petroleum demonstrates a strong ability to meet its short-term obligations despite any potential liquidity challenges.
In terms of delivering value to shareholders, Marathon Petroleum recently declared a quarterly dividend that was paid on June 12th. Investors who held MPC shares as of Wednesday, May 17th were rewarded with a $0.75 dividend per share held. The ex-dividend date was set for Tuesday, May 16th.
Based on this payout rate, Marathon Petroleum’s dividend payout ratio (DPR) currently stands at an attractive level of 9.04%.
These recent developments and financial figures clearly indicate that Marathon Petroleum holds immense potential for investors seeking exposure within the oil and gas industry. With institutional investors showing their confidence through significant investments and robust performance metrics overall, Marathon Petroleum promises continued growth and stability in the future as global energy demand persists.
As always, prospective investors are encouraged to conduct thorough due diligence before making any investment decisions regarding Marathon Petroleum or any other stock within their portfolio’s scope.