Marathon Petroleum Corp Stock Market Value
| MPC Stock | USD 195.02 7.44 3.67% |
| Symbol | Marathon |
Marathon Petroleum Corp Price To Book Ratio
Is Marathon Petroleum's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Marathon Petroleum. If investors know Marathon will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Marathon Petroleum listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.46) | Dividend Share 3.15 | Earnings Share 23.63 | Revenue Per Share 366.948 | Quarterly Revenue Growth (0.09) |
The market value of Marathon Petroleum Corp is measured differently than its book value, which is the value of Marathon that is recorded on the company's balance sheet. Investors also form their own opinion of Marathon Petroleum's value that differs from its market value or its book value, called intrinsic value, which is Marathon Petroleum's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Marathon Petroleum's market value can be influenced by many factors that don't directly affect Marathon Petroleum's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Marathon Petroleum's value and its price as these two are different measures arrived at by different means. Investors typically determine if Marathon Petroleum is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Marathon Petroleum's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Marathon Petroleum 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Marathon Petroleum's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Marathon Petroleum.
| 04/29/2022 |
| 04/18/2024 |
If you would invest 0.00 in Marathon Petroleum on April 29, 2022 and sell it all today you would earn a total of 0.00 from holding Marathon Petroleum Corp or generate 0.0% return on investment in Marathon Petroleum over 720 days. Marathon Petroleum is related to or competes with Clean Energy, Icahn Enterprises, Delek Logistics, and Adams Resources. Marathon Petroleum Corporation, together with its subsidiaries, operates as an integrated downstream energy company prim... More
Marathon Petroleum Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Marathon Petroleum's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Marathon Petroleum Corp upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.44 | |||
| Information Ratio | 0.2136 | |||
| Maximum Drawdown | 8.99 | |||
| Value At Risk | (2.32) | |||
| Potential Upside | 2.88 |
Marathon Petroleum Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Marathon Petroleum's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Marathon Petroleum's standard deviation. In reality, there are many statistical measures that can use Marathon Petroleum historical prices to predict the future Marathon Petroleum's volatility.| Risk Adjusted Performance | 0.1624 | |||
| Jensen Alpha | 0.3625 | |||
| Total Risk Alpha | 0.2748 | |||
| Sortino Ratio | 0.2407 | |||
| Treynor Ratio | 0.6098 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Marathon Petroleum's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Marathon Petroleum Corp Backtested Returns
Marathon Petroleum appears to be very steady, given 3 months investment horizon. Marathon Petroleum Corp has Sharpe Ratio of 0.26, which conveys that the firm had a 0.26% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Marathon Petroleum, which you can use to evaluate the volatility of the firm. Please exercise Marathon Petroleum's Risk Adjusted Performance of 0.1624, downside deviation of 1.44, and Mean Deviation of 1.21 to check out if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Marathon Petroleum holds a performance score of 19. The company secures a Beta (Market Risk) of 0.64, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, Marathon Petroleum's returns are expected to increase less than the market. However, during the bear market, the loss of holding Marathon Petroleum is expected to be smaller as well. Please check Marathon Petroleum's semi variance, and the relationship between the maximum drawdown and accumulation distribution , to make a quick decision on whether Marathon Petroleum's current price movements will revert.
Auto-correlation | 0.79 |
Good predictability
Marathon Petroleum Corp has good predictability. Overlapping area represents the amount of predictability between Marathon Petroleum time series from 29th of April 2022 to 24th of April 2023 and 24th of April 2023 to 18th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Marathon Petroleum Corp price movement. The serial correlation of 0.79 indicates that around 79.0% of current Marathon Petroleum price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.79 | |
| Spearman Rank Test | 0.83 | |
| Residual Average | 0.0 | |
| Price Variance | 729.01 |
Marathon Petroleum Corp lagged returns against current returns
Autocorrelation, which is Marathon Petroleum stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Marathon Petroleum's stock expected returns. We can calculate the autocorrelation of Marathon Petroleum returns to help us make a trade decision. For example, suppose you find that Marathon Petroleum has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Marathon Petroleum regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Marathon Petroleum stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Marathon Petroleum stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Marathon Petroleum stock over time.
Current vs Lagged Prices |
| Timeline |
Marathon Petroleum Lagged Returns
When evaluating Marathon Petroleum's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Marathon Petroleum stock have on its future price. Marathon Petroleum autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Marathon Petroleum autocorrelation shows the relationship between Marathon Petroleum stock current value and its past values and can show if there is a momentum factor associated with investing in Marathon Petroleum Corp.
Regressed Prices |
| Timeline |
Marathon Petroleum Investors Sentiment
The influence of Marathon Petroleum's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Marathon. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Marathon Petroleum's public news can be used to forecast risks associated with an investment in Marathon. The trend in average sentiment can be used to explain how an investor holding Marathon can time the market purely based on public headlines and social activities around Marathon Petroleum Corp. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Marathon Petroleum's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Marathon Petroleum's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Marathon Petroleum's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Marathon Petroleum.
Marathon Petroleum Implied Volatility | 74.68 |
Marathon Petroleum's implied volatility exposes the market's sentiment of Marathon Petroleum Corp stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Marathon Petroleum's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Marathon Petroleum stock will not fluctuate a lot when Marathon Petroleum's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Marathon Petroleum in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Marathon Petroleum's short interest history, or implied volatility extrapolated from Marathon Petroleum options trading.
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Try AI Portfolio ArchitectCheck out Marathon Petroleum Correlation, Marathon Petroleum Volatility and Marathon Petroleum Alpha and Beta module to complement your research on Marathon Petroleum. You can also try the Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
Complementary Tools for Marathon Stock analysis
When running Marathon Petroleum's price analysis, check to measure Marathon Petroleum's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Marathon Petroleum is operating at the current time. Most of Marathon Petroleum's value examination focuses on studying past and present price action to predict the probability of Marathon Petroleum's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Marathon Petroleum's price. Additionally, you may evaluate how the addition of Marathon Petroleum to your portfolios can decrease your overall portfolio volatility.
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Marathon Petroleum technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.