Marathon Petroleum Corp (MPC): Today's Highlighted Laggard In Energy

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Marathon Petroleum ( MPC) pushed the Energy industry lower today making it today's featured Energy laggard. The industry as a whole closed the day down 0.8%. By the end of trading, Marathon Petroleum fell $4.35 (-4.8%) to $85.48 on average volume. Throughout the day, 4.3 million shares of Marathon Petroleum exchanged hands as compared to its average daily volume of 3.5 million shares. The stock ranged in price between $84.76-$90.54 after having opened the day at $90.37 as compared to the previous trading day's close of $89.83. Other companies within the Energy industry that declined today were: Saratoga Resources ( SARA), down 11.2%, Dejour Energy ( DEJ), down 10.8%, Alon USA Partners ( ALDW), down 8.9%, and Northern Tier Energy LP Class A ( NTI), down 8.6%.
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Marathon Petroleum Corporation, together with its subsidiaries, engages in refining, transporting, and marketing petroleum products primarily in the United States. It operates through Refining & Marketing, Speedway, and Pipeline Transportation segments. Marathon Petroleum has a market cap of $29.64 billion and is part of the basic materials sector. The company has a P/E ratio of 9.1, below the S&P 500 P/E ratio of 17.7. Shares are up 42.6% year to date as of the close of trading on Monday. Currently there are nine analysts that rate Marathon Petroleum a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates Marathon Petroleum as a hold. The company's strengths can be seen in multiple areas, such as its notable return on equity, revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that the company's profit margins have been poor overall.

On the positive front, BMB Munai ( BMBM), up 8.7%, New Concept Energy ( GBR), up 7.2%, ECA Marcellus Trust I ( ECT), up 6.7%, and CKX Lands ( CKX), up 6.4%, were all gainers within the energy industry with Schlumberger ( SLB) being today's featured energy industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG).

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