Marathon Oil Corporation [NYSE: MRO] shares went lower by -5.72% from its previous closing of $8.92, now trading at the price of $8.41, also adding -0.51 points. Is MRO stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 26.98 million contracts. Compared to the average trading volume of MRO shares, the company saw a far better performance. Moreover, the stock has a 798.08M float and a -19.68% run over in the last seven days. MRO share price has been hovering between $18.93 and $8.81 lately, and is definitely worthy of attention.
Marathon Oil Corporation [NYSE:MRO]: Analyst Rating and Earnings
Its stock price has been found in the range of 8.81 to 18.93. This is compared to its latest closing price of $8.92.
Keep your eyes peeled for this company’s upcoming financial results publication, which is slated for 04/29/2020.
Fundamental Analysis of Marathon Oil Corporation [MRO]
Now let’s turn to look at profitability: with a current Operating Margin for Marathon Oil Corporation [MRO] sitting at +10.53 and its Gross Margin at +23.70, this company’s Net Margin is now 9.30%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 3.00, and its Return on Invested Capital has reached 4.10%. Its Return on Equity is 3.95, and its Return on Assets is 2.31. These metrics suggest that this Marathon Oil Corporation does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Similarly, its Total Debt to Total Assets stands at 28.20.
What about valuation? This company’s Enterprise Value to EBITDA is 4.24 and its Total Debt to EBITDA Value is 1.81. The Enterprise Value to Sales for this firm is now 2.55. Marathon Oil Corporation [MRO] has a Price to Book Ratio of 0.89, a Price to Cash Flow Ratio of 4.00 and P/E Ratio of 14.24. These metrics all suggest that Marathon Oil Corporation is more likely to generate a positive ROI.
Similarly, this company’s Total Asset Turnover is 0.24. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.18 and its Current Ratio is 1.22. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Marathon Oil Corporation [MRO] has 811.01M shares outstanding, amounting to a total market cap of $6.82B. Its stock price has been found in the range of 8.81 to 18.93. At its current price, it has moved down by -55.57% from its 52-week high, and it has moved down -4.54% from its 52-week low.
This stock’s Beta value is currently 2.33, which indicates that it is 4.78% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 15.79. This stock, according to these metrics, is currently Oversold.
Conclusion: Is Marathon Oil Corporation [MRO] a Reliable Buy?
Marathon Oil Corporation [MRO] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.