13 Analysts Assess Marathon Oil: What You Need To Know

Across the recent three months, 13 analysts have shared their insights on Marathon Oil MRO, expressing a variety of opinions spanning from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $31.23, a high estimate of $36.00, and a low estimate of $25.00. This current average has increased by 1.79% from the previous average price target of $30.68.

Decoding Analyst Ratings: A Detailed Look

The perception of Marathon Oil by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Marathon Oil. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Marathon Oil compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Marathon Oil's stock. This examination reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Marathon Oil's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Marathon Oil analyst ratings.

Delving into Marathon Oil's Background

Marathon is an independent exploration and production company primarily focusing on unconventional resources in the United States. At the end of 2022, the company reported net proved reserves of 1.3 billion barrels of oil equivalent. Net production averaged 343 thousand barrels of oil equivalent per day in 2022 at a ratio of 70% oil and NGLs and 30% natural gas.

Financial Milestones: Marathon Oil's Journey

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Negative Revenue Trend: Examining Marathon Oil's financials over 3 months reveals challenges. As of 31 December, 2023, the company experienced a decline of approximately -1.12% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Energy sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 25.05%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Marathon Oil's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 3.54%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Marathon Oil's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 2.01%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Marathon Oil's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.48.

How Are Analyst Ratings Determined?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.