DBS analyst Suvro Sarkar has maintained their bullish stance on MPC stock, giving a Buy rating on February 28.
Suvro Sarkar has given his Buy rating due to a combination of factors that highlight Marathon Petroleum’s strategic advantages and financial performance. Marathon Petroleum, being the largest domestic refinery in the US, benefits from lower crude procurement costs, primarily due to its reliance on domestic crude sources, which significantly reduces freight expenses. The company’s diversified refinery locations across the Gulf Coast, Mid-Con, and West Coast also mitigate policy risks and enhance operational resilience.
Sarkar notes that Marathon Petroleum’s midstream segment has been a key driver of its financial performance, contributing significantly to operating income. The company’s focus on high-return projects and strategic capital allocation, including investments in renewable fuels and carbon-reduction initiatives, positions it well for future growth. Additionally, Marathon Petroleum has demonstrated strong shareholder returns, supported by robust operating cash flow and substantial share repurchases. These factors, combined with favorable market conditions and policy tailwinds, underpin Sarkar’s Buy recommendation with a target price of USD 163.
According to TipRanks, Sarkar is a 4-star analyst with an average return of 5.2% and a 58.70% success rate. Sarkar covers the Energy sector, focusing on stocks such as Diamondback, Chevron, and Conocophillips.
In another report released on February 28, Scotiabank also maintained a Buy rating on the stock with a $169.00 price target.
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