MPLX LP (MPLX) Stock Fundamental Analysis
NYSE:MPLX - New York Stock Exchange, Inc. - US55336V1008 - Currency: USD
Overall MPLX gets a fundamental rating of 6 out of 10. We evaluated MPLX against 211 industry peers in the Oil, Gas & Consumable Fuels industry. MPLX scores excellent on profitability, but there are some minor concerns on its financial health. MPLX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
MPLX had positive earnings in the past year.
In the past year MPLX had a positive cash flow from operations.
Of the past 5 years MPLX 4 years were profitable.
Each year in the past 5 years MPLX had a positive operating cash flow.
1.2 Ratios
MPLX's Return On Assets of 11.33% is amongst the best of the industry. MPLX outperforms 85.78% of its industry peers.
The Return On Equity of MPLX (31.90%) is better than 91.47% of its industry peers.
MPLX has a better Return On Invested Capital (12.26%) than 87.20% of its industry peers.
MPLX had an Average Return On Invested Capital over the past 3 years of 11.77%. This is significantly below the industry average of 23.70%.
The last Return On Invested Capital (12.26%) for MPLX is above the 3 year average (11.77%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.33% | ||
| ROE | 31.9% | ||
| ROIC | 12.26% |
ROA(3y)10.86%
ROA(5y)7.71%
ROE(3y)31.09%
ROE(5y)22.31%
ROIC(3y)11.77%
ROIC(5y)10.15%
1.3 Margins
Looking at the Profit Margin, with a value of 36.16%, MPLX belongs to the top of the industry, outperforming 88.63% of the companies in the same industry.
MPLX's Profit Margin has improved in the last couple of years.
MPLX's Operating Margin of 44.25% is amongst the best of the industry. MPLX outperforms 88.63% of its industry peers.
MPLX's Operating Margin has improved in the last couple of years.
MPLX has a better Gross Margin (59.41%) than 65.88% of its industry peers.
In the last couple of years the Gross Margin of MPLX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.25% | ||
| PM (TTM) | 36.16% | ||
| GM | 59.41% |
OM growth 3Y3.27%
OM growth 5Y2.2%
PM growth 3Y7%
PM growth 5Y28.24%
GM growth 3Y1.12%
GM growth 5Y0.25%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MPLX is creating some value.
Compared to 1 year ago, MPLX has more shares outstanding
MPLX has less shares outstanding than it did 5 years ago.
MPLX has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of MPLX is 4.64, which is a neutral value as it means it would take MPLX, 4.64 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MPLX (4.64) is better than 66.82% of its industry peers.
A Debt/Equity ratio of 1.43 is on the high side and indicates that MPLX has dependencies on debt financing.
The Debt to Equity ratio of MPLX (1.43) is worse than 74.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 4.64 | ||
| Altman-Z | N/A |
ROIC/WACC1.52
WACC8.09%
2.3 Liquidity
A Current Ratio of 1.08 indicates that MPLX should not have too much problems paying its short term obligations.
With a Current ratio value of 1.08, MPLX perfoms like the industry average, outperforming 47.39% of the companies in the same industry.
MPLX has a Quick Ratio of 1.04. This is a normal value and indicates that MPLX is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.04, MPLX perfoms like the industry average, outperforming 54.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
MPLX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.60%, which is quite good.
Measured over the past years, MPLX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.66% on average per year.
MPLX shows a small growth in Revenue. In the last year, the Revenue has grown by 6.98%.
The Revenue has been growing slightly by 5.71% on average over the past years.
EPS 1Y (TTM)11.6%
EPS 3Y13.76%
EPS 5Y12.66%
EPS Q2Q%12.24%
Revenue 1Y (TTM)6.98%
Revenue growth 3Y5.97%
Revenue growth 5Y5.71%
Sales Q2Q%9.77%
3.2 Future
MPLX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.76% yearly.
Based on estimates for the next years, MPLX will show a small growth in Revenue. The Revenue will grow by 1.78% on average per year.
EPS Next Y8.16%
EPS Next 2Y7.68%
EPS Next 3Y7.36%
EPS Next 5Y5.76%
Revenue Next Year7.39%
Revenue Next 2Y6.19%
Revenue Next 3Y5.05%
Revenue Next 5Y1.78%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.73, the valuation of MPLX can be described as very reasonable.
Based on the Price/Earnings ratio, MPLX is valued a bit cheaper than the industry average as 63.03% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of MPLX to the average of the S&P500 Index (27.21), we can say MPLX is valued rather cheaply.
MPLX is valuated reasonably with a Price/Forward Earnings ratio of 10.40.
MPLX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MPLX is cheaper than 63.51% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MPLX to the average of the S&P500 Index (21.70), we can say MPLX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.73 | ||
| Fwd PE | 10.4 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MPLX is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MPLX indicates a somewhat cheap valuation: MPLX is cheaper than 72.04% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.73 | ||
| EV/EBITDA | 10.82 |
4.3 Compensation for Growth
MPLX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of MPLX may justify a higher PE ratio.
PEG (NY)1.44
PEG (5Y)0.93
EPS Next 2Y7.68%
EPS Next 3Y7.36%
5. Dividend
5.1 Amount
MPLX has a Yearly Dividend Yield of 7.47%, which is a nice return.
MPLX's Dividend Yield is a higher than the industry average which is at 6.66.
MPLX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.47% |
5.2 History
The dividend of MPLX has a limited annual growth rate of 5.42%.
MPLX has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of MPLX decreased in the last 3 years.
Dividend Growth(5Y)5.42%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
MPLX pays out 83.92% of its income as dividend. This is not a sustainable payout ratio.
MPLX's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP83.92%
EPS Next 2Y7.68%
EPS Next 3Y7.36%
50.79
-0.72 (-1.4%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners21.67%
Inst Owner Change-1.45%
Ins Owners0.15%
Ins Owner Change3.16%
Market Cap51.85B
Analysts77.14
Price Target57.49 (13.19%)
Short Float %2.08%
Short Ratio5.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.47% |
Yearly Dividend3.57
Dividend Growth(5Y)5.42%
DP83.92%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.32%
Min EPS beat(2)-1.71%
Max EPS beat(2)1.07%
EPS beat(4)2
Avg EPS beat(4)2.3%
Min EPS beat(4)-5.24%
Max EPS beat(4)15.06%
EPS beat(8)4
Avg EPS beat(8)1.99%
EPS beat(12)7
Avg EPS beat(12)6.23%
EPS beat(16)9
Avg EPS beat(16)4.67%
Revenue beat(2)0
Avg Revenue beat(2)-2.33%
Min Revenue beat(2)-2.47%
Max Revenue beat(2)-2.2%
Revenue beat(4)0
Avg Revenue beat(4)-5.01%
Min Revenue beat(4)-9.61%
Max Revenue beat(4)-2.2%
Revenue beat(8)2
Avg Revenue beat(8)-2.94%
Revenue beat(12)5
Avg Revenue beat(12)-0.55%
Revenue beat(16)9
Avg Revenue beat(16)0.99%
PT rev (1m)-0.88%
PT rev (3m)1.01%
EPS NQ rev (1m)-0.19%
EPS NQ rev (3m)-0.06%
EPS NY rev (1m)0.36%
EPS NY rev (3m)0.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.22%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.73 | ||
| Fwd PE | 10.4 | ||
| P/S | 4.25 | ||
| P/FCF | 10.73 | ||
| P/OCF | 8.79 | ||
| P/B | 3.75 | ||
| P/tB | 9.15 | ||
| EV/EBITDA | 10.82 |
EPS(TTM)4.33
EY8.53%
EPS(NY)4.88
Fwd EY9.61%
FCF(TTM)4.73
FCFY9.32%
OCF(TTM)5.78
OCFY11.38%
SpS11.96
BVpS13.56
TBVpS5.55
PEG (NY)1.44
PEG (5Y)0.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.33% | ||
| ROE | 31.9% | ||
| ROCE | 15.52% | ||
| ROIC | 12.26% | ||
| ROICexc | 13.23% | ||
| ROICexgc | 17.71% | ||
| OM | 44.25% | ||
| PM (TTM) | 36.16% | ||
| GM | 59.41% | ||
| FCFM | 39.58% |
ROA(3y)10.86%
ROA(5y)7.71%
ROE(3y)31.09%
ROE(5y)22.31%
ROIC(3y)11.77%
ROIC(5y)10.15%
ROICexc(3y)12.11%
ROICexc(5y)10.36%
ROICexgc(3y)16.17%
ROICexgc(5y)13.88%
ROCE(3y)14.9%
ROCE(5y)12.85%
ROICexcg growth 3Y8.04%
ROICexcg growth 5Y10.46%
ROICexc growth 3Y8.76%
ROICexc growth 5Y11.46%
OM growth 3Y3.27%
OM growth 5Y2.2%
PM growth 3Y7%
PM growth 5Y28.24%
GM growth 3Y1.12%
GM growth 5Y0.25%
F-Score9
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 4.64 | ||
| Debt/EBITDA | 2.95 | ||
| Cap/Depr | 82.66% | ||
| Cap/Sales | 8.75% | ||
| Interest Coverage | 5.75 | ||
| Cash Conversion | 88.14% | ||
| Profit Quality | 109.47% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | N/A |
F-Score9
WACC8.09%
ROIC/WACC1.52
Cap/Depr(3y)75.03%
Cap/Depr(5y)70.42%
Cap/Sales(3y)8.03%
Cap/Sales(5y)9%
Profit Quality(3y)113.71%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.6%
EPS 3Y13.76%
EPS 5Y12.66%
EPS Q2Q%12.24%
EPS Next Y8.16%
EPS Next 2Y7.68%
EPS Next 3Y7.36%
EPS Next 5Y5.76%
Revenue 1Y (TTM)6.98%
Revenue growth 3Y5.97%
Revenue growth 5Y5.71%
Sales Q2Q%9.77%
Revenue Next Year7.39%
Revenue Next 2Y6.19%
Revenue Next 3Y5.05%
Revenue Next 5Y1.78%
EBIT growth 1Y8.69%
EBIT growth 3Y9.44%
EBIT growth 5Y8.04%
EBIT Next Year34.91%
EBIT Next 3Y14.22%
EBIT Next 5Y9.46%
FCF growth 1Y12%
FCF growth 3Y3.72%
FCF growth 5Y23.91%
OCF growth 1Y15.23%
OCF growth 3Y6.58%
OCF growth 5Y7.81%