NEW YORK (TheStreet) -- Marathon Petroleum (MPC) shares are down -5.8% to $81.49 on Wednesday due to a new Commerce Department ruling that could hurt refinery profits across the industry.
The Commerce Department told Pioneer Natural Resources (PXD) and Enterprise Product Partners (EPD) that putting condensate through a stabilizer was sufficient processing to meet export regulations without a licence, according to a Wall Street Journal report.
That ruling may mean domestic refiners will be forced to pay higher prices to compete with international U.S. crude oil buyers.
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TheStreet Ratings team rates MARATHON PETROLEUM CORP as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate MARATHON PETROLEUM CORP (MPC) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, increase in stock price during the past year and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income."