MURPHY USA INC (MUSA) Stock Fundamental Analysis
USA - NYSE:MUSA - US6267551025 - Common Stock
374.55 USD
+2.32 (+0.62%)
375.664 USD
+1.11 (+0.3%)
Taking everything into account, MUSA scores 5 out of 10 in our fundamental rating. MUSA was compared to 119 industry peers in the Specialty Retail industry. MUSA has an excellent profitability rating, but there are some minor concerns on its financial health. MUSA is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
MUSA had positive earnings in the past year.
In the past year MUSA had a positive cash flow from operations.
MUSA had positive earnings in each of the past 5 years.
Each year in the past 5 years MUSA had a positive operating cash flow.
1.2 Ratios
MUSA has a Return On Assets of 10.61%. This is amongst the best in the industry. MUSA outperforms 84.87% of its industry peers.
MUSA has a better Return On Equity (75.92%) than 98.32% of its industry peers.
The Return On Invested Capital of MUSA (15.54%) is better than 85.71% of its industry peers.
MUSA had an Average Return On Invested Capital over the past 3 years of 19.00%. This is significantly above the industry average of 12.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.61% | ||
| ROE | 75.92% | ||
| ROIC | 15.54% |
ROA(3y)13.41%
ROA(5y)12.88%
ROE(3y)77.34%
ROE(5y)66.09%
ROIC(3y)19%
ROIC(5y)18.15%
1.3 Margins
MUSA has a better Profit Margin (2.52%) than 65.55% of its industry peers.
In the last couple of years the Profit Margin of MUSA has grown nicely.
The Operating Margin of MUSA (3.80%) is comparable to the rest of the industry.
MUSA's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 11.89%, MUSA is doing worse than 89.92% of the companies in the same industry.
MUSA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.8% | ||
| PM (TTM) | 2.52% | ||
| GM | 11.89% |
OM growth 3Y1.87%
OM growth 5Y14.26%
PM growth 3Y2.77%
PM growth 5Y17.58%
GM growth 3Y2.28%
GM growth 5Y7.25%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MUSA is creating value.
The number of shares outstanding for MUSA has been reduced compared to 1 year ago.
Compared to 5 years ago, MUSA has less shares outstanding
Compared to 1 year ago, MUSA has an improved debt to assets ratio.
2.2 Solvency
MUSA has an Altman-Z score of 6.96. This indicates that MUSA is financially healthy and has little risk of bankruptcy at the moment.
MUSA has a better Altman-Z score (6.96) than 94.96% of its industry peers.
The Debt to FCF ratio of MUSA is 5.71, which is a neutral value as it means it would take MUSA, 5.71 years of fcf income to pay off all of its debts.
MUSA's Debt to FCF ratio of 5.71 is fine compared to the rest of the industry. MUSA outperforms 60.50% of its industry peers.
MUSA has a Debt/Equity ratio of 3.20. This is a high value indicating a heavy dependency on external financing.
MUSA has a worse Debt to Equity ratio (3.20) than 75.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.2 | ||
| Debt/FCF | 5.71 | ||
| Altman-Z | 6.96 |
ROIC/WACC1.7
WACC9.16%
2.3 Liquidity
A Current Ratio of 0.80 indicates that MUSA may have some problems paying its short term obligations.
MUSA has a Current ratio of 0.80. This is amonst the worse of the industry: MUSA underperforms 86.55% of its industry peers.
A Quick Ratio of 0.39 indicates that MUSA may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.39, MUSA is doing worse than 62.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The earnings per share for MUSA have decreased by -2.35% in the last year.
Measured over the past years, MUSA shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.75% on average per year.
MUSA shows a decrease in Revenue. In the last year, the revenue decreased by -7.95%.
Measured over the past years, MUSA shows a small growth in Revenue. The Revenue has been growing by 7.60% on average per year.
EPS 1Y (TTM)-2.35%
EPS 3Y16.64%
EPS 5Y35.75%
EPS Q2Q%6.36%
Revenue 1Y (TTM)-7.95%
Revenue growth 3Y5.25%
Revenue growth 5Y7.6%
Sales Q2Q%-8.19%
3.2 Future
The Earnings Per Share is expected to grow by 6.02% on average over the next years.
MUSA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.94% yearly.
EPS Next Y-0.36%
EPS Next 2Y4.27%
EPS Next 3Y6.87%
EPS Next 5Y6.02%
Revenue Next Year-4.29%
Revenue Next 2Y0.11%
Revenue Next 3Y0.33%
Revenue Next 5Y1.94%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
The Price/Earnings ratio is 15.51, which indicates a correct valuation of MUSA.
MUSA's Price/Earnings ratio is a bit cheaper when compared to the industry. MUSA is cheaper than 75.63% of the companies in the same industry.
MUSA is valuated rather cheaply when we compare the Price/Earnings ratio to 27.57, which is the current average of the S&P500 Index.
MUSA is valuated correctly with a Price/Forward Earnings ratio of 14.23.
68.91% of the companies in the same industry are more expensive than MUSA, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.09. MUSA is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.51 | ||
| Fwd PE | 14.23 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MUSA indicates a somewhat cheap valuation: MUSA is cheaper than 61.34% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MUSA indicates a somewhat cheap valuation: MUSA is cheaper than 74.79% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.81 | ||
| EV/EBITDA | 9.16 |
4.3 Compensation for Growth
The excellent profitability rating of MUSA may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.43
EPS Next 2Y4.27%
EPS Next 3Y6.87%
5. Dividend
5.1 Amount
MUSA has a yearly dividend return of 0.56%, which is pretty low.
Compared to an average industry Dividend Yield of 5.51, MUSA pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, MUSA's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.56% |
5.2 History
MUSA has been paying a dividend for over 5 years, so it has already some track record.
MUSA has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
7.85% of the earnings are spent on dividend by MUSA. This is a low number and sustainable payout ratio.
DP7.85%
EPS Next 2Y4.27%
EPS Next 3Y6.87%
374.55
+2.32 (+0.62%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners88.04%
Inst Owner Change-0.43%
Ins Owners7.59%
Ins Owner Change1.21%
Market Cap7.23B
Revenue(TTM)19.48B
Net Income(TTM)490.50M
Analysts75.71
Price Target429.59 (14.69%)
Short Float %7.65%
Short Ratio4.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.56% |
Yearly Dividend1.8
Dividend Growth(5Y)N/A
DP7.85%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-13.66%
Min EPS beat(2)-35.68%
Max EPS beat(2)8.37%
EPS beat(4)3
Avg EPS beat(4)-4.07%
Min EPS beat(4)-35.68%
Max EPS beat(4)8.37%
EPS beat(8)5
Avg EPS beat(8)-2.92%
EPS beat(12)7
Avg EPS beat(12)-0.47%
EPS beat(16)11
Avg EPS beat(16)13.09%
Revenue beat(2)0
Avg Revenue beat(2)-4.68%
Min Revenue beat(2)-5.23%
Max Revenue beat(2)-4.14%
Revenue beat(4)0
Avg Revenue beat(4)-5.62%
Min Revenue beat(4)-8.63%
Max Revenue beat(4)-4.14%
Revenue beat(8)1
Avg Revenue beat(8)-5.01%
Revenue beat(12)3
Avg Revenue beat(12)-3.63%
Revenue beat(16)7
Avg Revenue beat(16)-1.51%
PT rev (1m)0%
PT rev (3m)-14.77%
EPS NQ rev (1m)0.06%
EPS NQ rev (3m)-5.51%
EPS NY rev (1m)0.03%
EPS NY rev (3m)-1.05%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-2.38%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-1.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.51 | ||
| Fwd PE | 14.23 | ||
| P/S | 0.37 | ||
| P/FCF | 19.81 | ||
| P/OCF | 8.66 | ||
| P/B | 11.18 | ||
| P/tB | 40.43 | ||
| EV/EBITDA | 9.16 |
EPS(TTM)24.15
EY6.45%
EPS(NY)26.31
Fwd EY7.03%
FCF(TTM)18.91
FCFY5.05%
OCF(TTM)43.26
OCFY11.55%
SpS1009.81
BVpS33.49
TBVpS9.26
PEG (NY)N/A
PEG (5Y)0.43
Graham Number134.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.61% | ||
| ROE | 75.92% | ||
| ROCE | 20.32% | ||
| ROIC | 15.54% | ||
| ROICexc | 15.77% | ||
| ROICexgc | 18.13% | ||
| OM | 3.8% | ||
| PM (TTM) | 2.52% | ||
| GM | 11.89% | ||
| FCFM | 1.87% |
ROA(3y)13.41%
ROA(5y)12.88%
ROE(3y)77.34%
ROE(5y)66.09%
ROIC(3y)19%
ROIC(5y)18.15%
ROICexc(3y)19.48%
ROICexc(5y)19%
ROICexgc(3y)22.67%
ROICexgc(5y)21.44%
ROCE(3y)24.85%
ROCE(5y)23.74%
ROICexgc growth 3Y1.96%
ROICexgc growth 5Y11.65%
ROICexc growth 3Y2.7%
ROICexc growth 5Y8.54%
OM growth 3Y1.87%
OM growth 5Y14.26%
PM growth 3Y2.77%
PM growth 5Y17.58%
GM growth 3Y2.28%
GM growth 5Y7.25%
F-Score5
Asset Turnover4.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.2 | ||
| Debt/FCF | 5.71 | ||
| Debt/EBITDA | 2.06 | ||
| Cap/Depr | 177.78% | ||
| Cap/Sales | 2.41% | ||
| Interest Coverage | 7.76 | ||
| Cash Conversion | 83.02% | ||
| Profit Quality | 74.35% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 6.96 |
F-Score5
WACC9.16%
ROIC/WACC1.7
Cap/Depr(3y)156.66%
Cap/Depr(5y)148.5%
Cap/Sales(3y)1.71%
Cap/Sales(5y)1.75%
Profit Quality(3y)86.83%
Profit Quality(5y)92.66%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.35%
EPS 3Y16.64%
EPS 5Y35.75%
EPS Q2Q%6.36%
EPS Next Y-0.36%
EPS Next 2Y4.27%
EPS Next 3Y6.87%
EPS Next 5Y6.02%
Revenue 1Y (TTM)-7.95%
Revenue growth 3Y5.25%
Revenue growth 5Y7.6%
Sales Q2Q%-8.19%
Revenue Next Year-4.29%
Revenue Next 2Y0.11%
Revenue Next 3Y0.33%
Revenue Next 5Y1.94%
EBIT growth 1Y-6.05%
EBIT growth 3Y7.22%
EBIT growth 5Y22.94%
EBIT Next Year32.28%
EBIT Next 3Y14.34%
EBIT Next 5Y10.84%
FCF growth 1Y-26.1%
FCF growth 3Y-5.58%
FCF growth 5Y29.13%
OCF growth 1Y4.42%
OCF growth 3Y4.75%
OCF growth 5Y22.02%