Marathon Petroleum Corp (MPC): Today's Featured Basic Materials Laggard

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 Basic Materials sector lower today making it today's featured Basic Materials laggard. The sector as a whole closed the day down 0.1%. By the end of trading, Marathon Petroleum fell $0.98 (-1.3%) to $72.81 on heavy volume. Throughout the day, 5,707,555 shares of Marathon Petroleum exchanged hands as compared to its average daily volume of 3,276,200 shares. The stock ranged in price between $70.72-$74.50 after having opened the day at $74.38 as compared to the previous trading day's close of $73.79. Other companies within the Basic Materials sector that declined today were: Prospect Global Resources ( PGRX), down 69.4%, Lake Shore Gold ( LSG), down 31.8%, Brigus Gold ( BRD), down 21.1% and Pacific Booker Minerals ( PBM), down 13.6%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

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 $25.4 billion and is part of the energy industry. The company has a P/E ratio of 7.6, below the S&P 500 P/E ratio of 17.7. Shares are up 17.1% year to date as of the close of trading on Thursday. Currently there are 9 analysts that rate Marathon Petroleum a buy, no analysts rate it a sell, and 2 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 revenue growth, solid stock price performance and attractive valuation levels. However, as a counter to these strengths, we find that the company's profit margins have been poor overall.

On the positive front, Silver Bull Resources ( SVBL), down 17.8%, United States Antimony Corporation ( UAMY), down 17.0%, New Concept Energy ( GBR), down 16.8% and Andatee China Marine Fuel Services Corporat ( AMCF), down 16.7% , were all gainers within the basic materials sector with Devon Energy ( DVN) being today's featured basic materials sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the basic materials sector could consider Materials Select Sector SPDR ( XLB) while those bearish on the basic materials sector could consider ProShares Short Basic Materials Fd ( SBM).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

If you liked this article you might like

Healthcare Trust of America, Marathon Petroleum: 'Mad Money' Lightning Round

How Long Can This Rally Run?: Cramer's 'Mad Money' Recap (Monday 9/19/17)

Why Defense Stocks Might Soon Crater Your Portfolio: Market Recon

BP Files for IPO of U.S. Pipeline Assets

Hurricane Irma Makes Landfall in Florida