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MPLX

MPLXNYSE:MPLX Stock Report

Market Cap

US$29.4b

7D

0.4%

1Y

78.9%

Updated

25 Sep, 2021

Data

Company Financials +
MPLX fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance3/6
Financial Health2/6
Dividends2/6

MPLX Overview

MPLX LP owns and operates midstream energy infrastructure and logistics assets primarily in the United States.

MPLX Competitors

Price History & Performance

Summary of all time highs, changes and price drops for MPLX
Historical stock prices
Current Share PriceUS$28.76
52 Week HighUS$15.05
52 Week LowUS$31.40
Beta1.88
1 Month Change3.94%
3 Month Change-2.14%
1 Year Change78.86%
3 Year Change-17.07%
5 Year Change-15.06%
Change since IPO5.73%

Recent News & Updates

Aug 23

MPLX: All The Ingredients Needed For Higher Distributions

The midstream giant, MPLX has all the ingredients needed for higher distributions whilst already offering a high yield of almost 10%. The first being their resilient financial performance that provides strong distribution coverage with ample free cash flow to fund higher payments. The second and arguably most important being a clear managerial focus on returning capital to their unitholders with them now operating in a post-growth phase. These are further supported by the healthy financial position that will continue deleveraging at a fast pace. Following their resilient financial performance and these exciting prospects for even higher distributions, it should be no surprise that I believe a very bullish rating is appropriate.

Jul 21

MPLX: The 10% Yield Has Become Even More Attractive

MPLX keeps delivering robust results, growing its adjusted EBITDA and distributable cash flows. Dividend coverage is constantly improving. However, the stock is still trading with the highest yield amongst its peers. MPLX remains our top pick in the energy sector, offering a fantastic combination of a sky-high dividend yield, meaningful buybacks, and an attractive valuation.

May 30

MPLX LP: 9% Yield, Outperforming, High Options Yields

MPLX yields 9.6%, with good, steady 1.56X coverage in Q1 '21. MPLX’s valuations, profitability, and performance vs. its industry are detailed in this article. There are two high-yield options trades at the end of this article.

Shareholder Returns

MPLXUS Oil and GasUS Market
7D0.4%3.9%0.1%
1Y78.9%72.7%35.3%

Return vs Industry: MPLX exceeded the US Oil and Gas industry which returned 72.6% over the past year.

Return vs Market: MPLX exceeded the US Market which returned 35.3% over the past year.

Price Volatility

Is MPLX's price volatile compared to industry and market?
MPLX volatility
MPLX Beta1.88
Industry Beta1.82
Market Beta1

Stable Share Price: MPLX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: MPLX's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2012n/aMike Henniganhttps://www.mplx.com

MPLX LP owns and operates midstream energy infrastructure and logistics assets primarily in the United States. It operates in two segments, Logistics and Storage, and Gathering and Processing. The company is involved in the gathering, processing, and transportation of natural gas; gathering, transportation, fractionation, exchange, storage, and marketing of natural gas liquids; transportation, storage, distribution, and marketing of crude oil and refined petroleum products, as well as other hydrocarbon-based products; and sale of residue gas and condensate.

MPLX Fundamentals Summary

How do MPLX's earnings and revenue compare to its market cap?
MPLX fundamental statistics
Market CapUS$29.40b
Earnings (TTM)US$2.68b
Revenue (TTM)US$8.94b

11.0x

P/E Ratio

3.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MPLX income statement (TTM)
RevenueUS$8.94b
Cost of RevenueUS$3.56b
Gross ProfitUS$5.37b
ExpensesUS$2.70b
EarningsUS$2.68b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 02, 2021

Earnings per share (EPS)2.62
Gross Margin60.15%
Net Profit Margin29.98%
Debt/Equity Ratio139.7%

How did MPLX perform over the long term?

See historical performance and comparison

Dividends

9.6%

Current Dividend Yield

107%

Payout Ratio

Valuation

Is MPLX undervalued compared to its fair value and its price relative to the market?

25.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MPLX ($28.76) is trading below our estimate of fair value ($38.48)

Significantly Below Fair Value: MPLX is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MPLX is good value based on its PE Ratio (11x) compared to the US Oil and Gas industry average (19x).

PE vs Market: MPLX is good value based on its PE Ratio (11x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: MPLX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MPLX is overvalued based on its PB Ratio (2.5x) compared to the US Oil and Gas industry average (1.9x).


Future Growth

How is MPLX forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-4.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MPLX's earnings are forecast to decline over the next 3 years (-4.8% per year).

Earnings vs Market: MPLX's earnings are forecast to decline over the next 3 years (-4.8% per year).

High Growth Earnings: MPLX's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MPLX's revenue (1.6% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: MPLX's revenue (1.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MPLX's Return on Equity is forecast to be high in 3 years time (20.5%)


Past Performance

How has MPLX performed over the past 5 years?

3.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MPLX has high quality earnings.

Growing Profit Margin: MPLX became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MPLX has become profitable over the past 5 years, growing earnings by 3.7% per year.

Accelerating Growth: MPLX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MPLX has become profitable in the last year, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-19.4%).


Return on Equity

High ROE: Whilst MPLX's Return on Equity (20.61%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is MPLX's financial position?


Financial Position Analysis

Short Term Liabilities: MPLX's short term assets ($1.3B) do not cover its short term liabilities ($1.7B).

Long Term Liabilities: MPLX's short term assets ($1.3B) do not cover its long term liabilities ($20.3B).


Debt to Equity History and Analysis

Debt Level: MPLX's debt to equity ratio (139.7%) is considered high.

Reducing Debt: MPLX's debt to equity ratio has increased from 41.8% to 139.7% over the past 5 years.

Debt Coverage: MPLX's debt is well covered by operating cash flow (25.5%).

Interest Coverage: MPLX's interest payments on its debt are well covered by EBIT (4.3x coverage).


Balance Sheet


Dividend

What is MPLX current dividend yield, its reliability and sustainability?

9.56%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MPLX's dividend (9.56%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: MPLX's dividend (9.56%) is in the top 25% of dividend payers in the US market (3.6%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, MPLX has been paying a dividend for less than 10 years.

Growing Dividend: MPLX's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (106.6%), MPLX's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MPLX's dividends in 3 years are not forecast to be well covered by earnings (100.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.9yrs

Average management tenure


CEO

Mike Hennigan (62 yo)

1.83yrs

Tenure

US$12,876,580

Compensation

Mr. Michael J. Hennigan, also known as Mike, is Chairman of the Board of MPLX GP LLC, the General Partner of MPLX LP since April 29, 2020. Mr. Hennigan is Chief Executive Officer at MPLX GP LLC, the Genera...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD12.88M) is about average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: Mike's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: MPLX's management team is considered experienced (2.9 years average tenure).


Board Members

Experienced Board: MPLX's board of directors are considered experienced (7.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

MPLX LP's employee growth, exchange listings and data sources


Key Information

  • Name: MPLX LP
  • Ticker: MPLX
  • Exchange: NYSE
  • Founded: 2012
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Implied Market Cap: US$29.401b
  • Market Cap: US$29.401b
  • Shares outstanding: 1.02b
  • Website: https://www.mplx.com

Location

  • MPLX LP
  • 200 East Hardin Street
  • Findlay
  • Ohio
  • 45840-3229
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:14
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.