Marathon Petroleum Company MPC is about to launch first-quarter 2021 outcomes on Tuesday Could 4, earlier than the opening bell.
The Zacks Consensus Estimate for the to-be-reported quarter’s loss is 72 cents per share and for revenues is $15.77 billion.
In opposition to this backdrop, let’s contemplate the components which are prone to impression the corporate’s March-quarter outcomes.
Elements to Take into account for Q1 Outcomes
Marathon Petroleum’s midstream unit, which primarily represents its normal companion and majority restricted companion pursuits in MPLX LP MPLX, noticed a profitability of $974 million within the fourth quarter of 2020, reflecting a 9.6% improve from the year-ago quarter’s reported determine. Earnings had been supported by secure, fee-based revenues, decrease working bills and contribution from natural development tasks, a development that most probably continued within the first quarter of 2021 as properly.
Exactly, the Zacks Consensus Estimate for first-quarter Midstream section’s profitability is pegged at $929 million, hinting at an enchancment of two.7% from $905 million reported within the year-ago interval.
Additional, based mostly on regional demand, the corporate tasks whole throughput volumes for the primary quarter to be slightly greater than 2.5 million barrels per day, suggesting a modest enchancment from the sequential quarter’s reported determine.
On the flip facet, the financial disruption attributable to the coronavirus outbreak and the resultant shrinking demand for refined merchandise and transportation fuels are prone to have damage the first-quarter earnings and money flows of Marathon Petroleum. Because of this bleak enterprise setting, the Zacks Consensus Estimate for the corporate’s first-quarter Refining and Advertising and marketing section is pegged at a lack of $946 million. Nevertheless, a 12 months in the past, the unit generated a revenue of $519 million.
What Does Our Mannequin Say?
Our confirmed Zacks mannequin predicts an earnings beat for Marathon Petroleum this time round. The mixture of a optimistic Earnings ESP and a Zacks Rank #1 (Sturdy Purchase), 2 (Purchase) or 3 (Maintain) will increase the possibilities of beating estimates, which is the case right here.
You possibly can uncover the perfect shares to purchase or promote earlier than they’re reported with our Earnings ESP Filter.
Earnings ESP: Marathon Petroleum has an Earnings ESP of +2.45%.
Zacks Rank: Marathon Petroleum presently has a Zacks Rank #3, which will increase the predictive energy of ESP.
You possibly can see the whole checklist of right this moment’s Zacks #1 Rank shares right here.
Highlights of This autumn Earnings & Shock Historical past
Within the final reported quarter, this Findlay, OH-based firm reported an adjusted lack of 94 cents per share, narrower than the Zacks Consensus Estimate of a lack of $1.42. The corporate’s backside line was favorably impacted by value financial savings and a stronger-than-expected efficiency from the Midstream section. Exactly, working revenue from the unit totaled $974 million, forward of the Zacks Consensus Estimates of $964 million.
Nevertheless, the underside line in contrast unfavorably with the year-earlier quarter’s earnings of $1.56 on account of depressed refining margins.
Marathon Petroleum reported revenues of $18.2 billion, beating the Zacks Consensus Estimate of $16.7 billion however declined 35.4% 12 months over 12 months.
So far as its earnings surprises are involved, Marathon Petroleum is on a robust footing. Its backside line exceeded the Zacks Consensus Estimate in all of the trailing 4 quarters, the common being 34.62%. That is depicted within the graph beneath:
Marathon Petroleum Company Value and EPS Shock
Marathon Petroleum Company price-eps-surprise | Marathon Petroleum Company Quote
Different Shares to Take into account
Another companies value contemplating from the vitality area on the idea of our mannequin that exhibits that these too have the proper mixture of components to beat on earnings this season are as follows:
Chevron Company CVX has an Earnings ESP of +3.32% and a Zacks Rank of three, presently. The agency is scheduled to launch earnings on Apr 30.
NuStar Power L.P. NS has an Earnings ESP of +19.72% and is Zacks #Three Ranked, presently. The agency is scheduled to launch earnings on Could 4.
These Shares Are Poised to Soar Previous the Pandemic
The COVID-19 outbreak has shifted client conduct dramatically, and a handful of high-tech corporations have stepped as much as preserve America working. Proper now, traders in these corporations have a shot at severe income. For instance, Zoom jumped 108.5% in lower than Four months whereas most different shares had been sinking.
Our analysis exhibits that 5 cutting-edge shares may skyrocket from the exponential improve in demand for “keep at dwelling” applied sciences. This could possibly be one of many largest shopping for alternatives of this decade, particularly for many who get in early.
See the 5 high-tech shares now>>
Need the most recent suggestions from Zacks Funding Analysis? Right now, you’ll be able to obtain 7 Finest Shares for the Subsequent 30 Days. Click on to get this free report
NuStar Power L.P. (NS): Free Inventory Evaluation Report
Chevron Company (CVX): Free Inventory Evaluation Report
MPLX LP (MPLX): Free Inventory Evaluation Report
Marathon Petroleum Company (MPC): Free Inventory Evaluation Report
To learn this text on Zacks.com click on right here.
Zacks Funding Analysis
The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.