Forecasting The Future: 7 Analyst Projections For Marathon Oil

During the last three months, 7 analysts shared their evaluations of Marathon Oil MRO, revealing diverse outlooks from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $33.23, a high estimate of $39.00, and a low estimate of $27.61. Experiencing a 5.94% decline, the current average is now lower than the previous average price target of $35.33.

Breaking Down Analyst Ratings: A Detailed Examination

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: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Marathon Oil. This offers insight into analysts' perspectives on 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 navigate through adjustments in price targets, providing estimates for Marathon Oil's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Marathon Oil's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Marathon Oil analyst ratings.

Discovering Marathon Oil: A Closer Look

Marathon is an independent exploration and production company primarily focusing on unconventional resources in the United States. At the end of 2023, the company reported net proved reserves of 1.1 billion barrels of oil equivalent. Net production averaged 405 thousand barrels of oil equivalent per day in 2023 at a ratio of roughly 70% oil and NGLs and 30% natural gas.

Understanding the Numbers: Marathon Oil's Finances

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Marathon Oil displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 12.26%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Energy sector.

Net Margin: Marathon Oil's net margin is impressive, surpassing industry averages. With a net margin of 20.95%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Marathon Oil's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 3.12%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.77%, the company showcases effective utilization of assets.

Debt Management: Marathon Oil's debt-to-equity ratio is below the industry average. With a ratio of 0.47, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Analyst Ratings: What Are They?

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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