MURPHY OIL CORP (MUR)
US6267171022 - Common Stock
We assign a fundamental rating of 5 out of 10 to MUR. MUR was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and the financial health of MUR get a neutral evaluation. Nothing too spectacular is happening here. MUR is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year MUR was profitable.
MUR had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MUR reported negative net income in multiple years.
Of the past 5 years MUR 4 years had a positive operating cash flow.
1.2 Ratios
MUR's Return On Assets of 5.96% is in line compared to the rest of the industry. MUR outperforms 55.77% of its industry peers.
MUR has a Return On Equity (11.07%) which is in line with its industry peers.
MUR has a Return On Invested Capital (8.61%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for MUR is significantly below the industry average of 23.70%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.96% | ||
| ROE | 11.07% | ||
| ROIC | 8.61% |
ROA(3y)5.14%
ROA(5y)2.88%
ROE(3y)9.96%
ROE(5y)4.73%
ROIC(3y)9.25%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 17.37%, MUR is in the better half of the industry, outperforming 60.10% of the companies in the same industry.
In the last couple of years the Profit Margin of MUR has declined.
The Operating Margin of MUR (28.93%) is better than 60.58% of its industry peers.
MUR's Operating Margin has improved in the last couple of years.
The Gross Margin of MUR (73.56%) is better than 81.73% of its industry peers.
MUR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.93% | ||
| PM (TTM) | 17.37% | ||
| GM | 73.56% |
OM growth 3YN/A
OM growth 5Y16.04%
PM growth 3YN/A
PM growth 5Y-3.81%
GM growth 3Y1.22%
GM growth 5Y0.72%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MUR is creating some value.
The number of shares outstanding for MUR has been reduced compared to 1 year ago.
MUR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MUR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.30 indicates that MUR is not a great score, but indicates only limited risk for bankruptcy at the moment.
MUR has a Altman-Z score of 2.30. This is in the better half of the industry: MUR outperforms 64.42% of its industry peers.
The Debt to FCF ratio of MUR is 1.31, which is an excellent value as it means it would take MUR, only 1.31 years of fcf income to pay off all of its debts.
MUR's Debt to FCF ratio of 1.31 is amongst the best of the industry. MUR outperforms 83.65% of its industry peers.
A Debt/Equity ratio of 0.24 indicates that MUR is not too dependend on debt financing.
The Debt to Equity ratio of MUR (0.24) is better than 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.31 | ||
| Altman-Z | 2.3 |
ROIC/WACC1.17
WACC7.35%
2.3 Liquidity
A Current Ratio of 0.82 indicates that MUR may have some problems paying its short term obligations.
The Current ratio of MUR (0.82) is worse than 70.67% of its industry peers.
MUR has a Quick Ratio of 0.82. This is a bad value and indicates that MUR is not financially healthy enough and could expect problems in meeting its short term obligations.
MUR has a worse Quick ratio (0.76) than 66.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
MUR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.50%.
The Earnings Per Share has been growing by 29.31% on average over the past years. This is a very strong growth
The Revenue for MUR has decreased by -13.23% in the past year. This is quite bad
Measured over the past years, MUR shows a quite strong growth in Revenue. The Revenue has been growing by 14.35% on average per year.
EPS 1Y (TTM)-16.5%
EPS 3YN/A
EPS 5Y29.31%
EPS Q2Q%2.53%
Revenue 1Y (TTM)-13.23%
Revenue growth 3Y20.85%
Revenue growth 5Y14.35%
Sales Q2Q%-1.67%
3.2 Future
MUR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.45% yearly.
MUR is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.01% yearly.
EPS Next Y-11.96%
EPS Next 2Y10.31%
EPS Next 3Y7.23%
EPS Next 5Y2.45%
Revenue Next Year-5.2%
Revenue Next 2Y0.3%
Revenue Next 3Y1.88%
Revenue Next 5Y-5.01%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.33, the valuation of MUR can be described as very reasonable.
MUR's Price/Earnings ratio is a bit cheaper when compared to the industry. MUR is cheaper than 70.19% of the companies in the same industry.
When comparing the Price/Earnings ratio of MUR to the average of the S&P500 Index (29.62), we can say MUR is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.29, the valuation of MUR can be described as very cheap.
77.88% of the companies in the same industry are more expensive than MUR, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MUR to the average of the S&P500 Index (21.22), we can say MUR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.33 | ||
| Fwd PE | 6.29 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MUR indicates a rather cheap valuation: MUR is cheaper than 82.69% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MUR is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.4 | ||
| EV/EBITDA | 3.4 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.28
EPS Next 2Y10.31%
EPS Next 3Y7.23%
5. Dividend
5.1 Amount
MUR has a Yearly Dividend Yield of 3.17%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.04, MUR has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.24, MUR pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
5.2 History
The dividend of MUR has a limited annual growth rate of 2.13%.
MUR has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of MUR decreased in the last 3 years.
Dividend Growth(5Y)2.13%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
MUR pays out 29.97% of its income as dividend. This is a sustainable payout ratio.
The dividend of MUR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP29.97%
EPS Next 2Y10.31%
EPS Next 3Y7.23%
MURPHY OIL CORP
NYSE:MUR (9/6/2024, 8:04:00 PM)
After market: 34.58 0 (0%)34.58
-0.61 (-1.73%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.28B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.33 | ||
| Fwd PE | 6.29 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.96% | ||
| ROE | 11.07% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 28.93% | ||
| PM (TTM) | 17.37% | ||
| GM | 73.56% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-16.5%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-11.96%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-13.23%
Revenue growth 3Y20.85%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y