NYSE:MUR

Stock Analysis Report

Executive Summary

Murphy Oil Corporation operates as an oil and gas exploration and production company in the United States, Canada, Malaysia, and internationally.

Snowflake

Fundamentals

Good value average dividend payer.


Similar Companies

Share Price & News

How has Murphy Oil's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.0%

MUR

1.7%

US Oil and Gas

1.0%

US Market


1 Year Return

-43.9%

MUR

-21.2%

US Oil and Gas

6.7%

US Market

Return vs Industry: MUR underperformed the US Oil and Gas industry which returned -21.2% over the past year.

Return vs Market: MUR underperformed the US Market which returned 6.7% over the past year.


Share holder returns

MURIndustryMarket
7 Day-1.0%1.7%1.0%
30 Day-3.1%-3.7%-1.8%
90 Day-11.9%-8.3%-1.8%
1 Year-41.6%-43.9%-18.3%-21.2%9.1%6.7%
3 Year-21.0%-29.3%-5.7%-14.1%46.1%36.6%
5 Year-53.1%-61.4%-21.8%-32.6%66.9%48.6%

Price Volatility Vs. Market

How volatile is Murphy Oil's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Murphy Oil undervalued based on future cash flows and its price relative to the stock market?

8.42x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: MUR ($19.96) is trading above our estimate of fair value ($7.22)

Significantly Undervalued: MUR is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: MUR is good value based on its PE Ratio (8.4x) compared to the Oil and Gas industry average (9.9x).

PE vs Market: MUR is good value based on its PE Ratio (8.4x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: MUR is good value based on its PEG Ratio (0.4x)


Price Based on Value of Assets

PB vs Industry: MUR is good value based on its PB Ratio (0.7x) compared to the US Oil and Gas industry average (0.9x).


Next Steps

Future Growth

How is Murphy Oil expected to perform in the next 1 to 3 years based on estimates from 13 analysts?

23.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: MUR's forecast earnings growth (23.3% per year) is above the savings rate (2.7%).

Earnings vs Market: MUR's earnings (23.3% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MUR's revenue (5% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: MUR's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: MUR's Return on Equity is forecast to be low in 3 years time (6.7%).


Next Steps

Past Performance

How has Murphy Oil performed over the past 5 years?

0.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: MUR's earnings have grown by 0.2% per year over the past 5 years.

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

Earnings vs Industry: MUR has become profitable in the last year, making it difficult to compare its past year earnings growth to the Oil and Gas industry (22.6%).


Return on Equity

High ROE: MUR's Return on Equity (9.4%) is considered low.


Return on Assets

ROA vs Industry: MUR's Return on Assets is below or equal to the Oil and Gas industry average last year.


Return on Capital Employed

ROCE Improving: MUR's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Murphy Oil's financial position?


Financial Position Analysis

Short Term Liabilities: MUR's short term assets ($2.8B) exceeds its short term liabilities ($2.2B)

Long Term Liabilities: MUR's short term assets (2.8B) do not cover its long term liabilities (6.2B)


Debt to Equity History and Analysis

Debt Level: MUR's debt to equity ratio (91.8%) is considered high

Reducing Debt: MUR's debt to equity ratio has increased from 41% to 91.8% over the past 5 years.

Debt Coverage: MUR's debt is well covered by operating cash flow (33%).

Interest Coverage: MUR's interest payments on its debt are well covered by EBIT (4.5x coverage).


Balance Sheet

Inventory Level: MUR has a high level of physical assets or inventory.

Debt Coverage by Assets: MUR's debt is not covered by short term assets (assets are 0.6x debt).


Next Steps

Dividend

What is Murphy Oil's current dividend yield, its reliability and sustainability?

4.99%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Murphy Oil before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company5.0%marketbottom25%1.5%markettop25%3.8%industryaverage3.9%forecastin3Years5.0%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: MUR's dividend (5.01%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: MUR's dividend (5.01%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: MUR's dividend payments have been volatile in the past 10 years.

Growing Dividend: MUR's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.2%), MUR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MUR's dividends in 3 years are forecast to be covered by earnings (53.7% payout ratio).


Next Steps

Management

What is the CEO of Murphy Oil's salary, the management and board of directors tenure and is there insider trading?

2.2yrs

Average management tenure


CEO

Roger Jenkins (57yo)

6.2yrs

Tenure

US$13,370,132

Compensation

Mr. Roger W. Jenkins has been Board of Director at Noble Corporation plc since October 24, 2018. Mr. Jenkins serves as the Chief Executive Officer and President of Murphy Sarawak Oil Company Ltd. Mr. Jenk ...


CEO Compensation Analysis

Compensation vs. Market: Roger's total compensation ($USD13.37M) is about average for companies of similar size in the US market ($USD5.11M).

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


Management Age and Tenure

2.2yrs

Average Tenure

52.5yo

Average Age

Experienced Management: MUR's management team is considered experienced (2.2 years average tenure).


Board Age and Tenure

7.9yrs

Average Tenure

68.5yo

Average Age

Experienced Board: MUR's board of directors are considered experienced (7.9 years average tenure).


Insider Trading

Insider Buying: MUR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$25,18715 Aug 19
Walentin Mirosh
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,360
Max PriceUS$18.52
SellUS$204,24010 May 19
Thomas Mireles
EntityIndividual
Role
Chief Technology Officer
Senior Vice President of Technical Services
Shares7,400
Max PriceUS$27.60
SellUS$242,03429 Mar 19
John Gardner
EntityIndividual
Role
Treasurer
VP & Treasurer
Shares8,364
Max PriceUS$28.94
SellUS$213,23810 Dec 18
John Gardner
EntityIndividual
Role
Treasurer
VP & Treasurer
Shares7,113
Max PriceUS$29.98
BuyUS$316,03619 Nov 18
Claiborne Deming
EntityIndividual
Role
Chairman of the Board
Independent Non-Employee Chairman & Presiding Director
Shares10,000
Max PriceUS$31.60

Ownership Breakdown


Management Team

  • Walter Compton (56yo)

    Executive VP & General Counsel

    • Tenure: 8.6yrs
    • Compensation: US$2.95m
  • David Looney (62yo)

    Executive VP & CFO

    • Tenure: 1.6yrs
    • Compensation: US$4.35m
  • John Gardner (50yo)

    VP & Treasurer

    • Tenure: 6.2yrs
  • Kelly Whitley (54yo)

    Vice President of Investor Relations & Communications

    • Tenure: 4.3yrs
  • Roger Jenkins (57yo)

    CEO, President & Director

    • Tenure: 6.2yrs
    • Compensation: US$13.37m
  • Mike McFadyen (51yo)

    Executive Vice President of Offshore

    • Tenure: 2.8yrs
    • Compensation: US$4.22m
  • Tom Mireles (46yo)

    Senior Vice President of Technical Services

    • Tenure: 1.1yrs
  • Gene Coleman (60yo)

    Consultant

    • Tenure: 0.5yrs
    • Compensation: US$4.41m
  • Eric Hambly (45yo)

    Executive Vice President of Onshore

    • Tenure: 1.1yrs
  • Maria Martinez (44yo)

    Vice President of Human Resources & Administration

    • Tenure: 1.1yrs

Board Members

  • T. Collins (72yo)

    Independent Director

    • Tenure: 6.2yrs
    • Compensation: US$306.05k
  • Neal Schmale (72yo)

    Independent Director

    • Tenure: 15.8yrs
    • Compensation: US$349.55k
  • Jim Kelley (70yo)

    Independent Director

    • Tenure: 13.2yrs
    • Compensation: US$315.05k
  • Claiborne Deming (65yo)

    Independent Non-Employee Chairman & Presiding Director

    • Tenure: 7.6yrs
    • Compensation: US$430.78k
  • Steven Cossé (71yo)

    Independent Director

    • Tenure: 8.2yrs
    • Compensation: US$321.05k
  • Val Mirosh (73yo)

    Independent Director

    • Tenure: 8.2yrs
    • Compensation: US$299.05k
  • Larry Dickerson (67yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: US$324.55k
  • Madison Murphy (61yo)

    Director

    • Tenure: 26.8yrs
    • Compensation: US$361.55k
  • Roger Jenkins (57yo)

    CEO, President & Director

    • Tenure: 6.2yrs
    • Compensation: US$13.37m
  • Jeff Nolan (50yo)

    Director

    • Tenure: 7.2yrs
    • Compensation: US$329.05k

Company Information

Murphy Oil Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Murphy Oil Corporation
  • Ticker: MUR
  • Exchange: NYSE
  • Founded: 1950
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$3.239b
  • Shares outstanding: 162.25m
  • Website: https://www.murphyoilcorp.com

Number of Employees


Location

  • Murphy Oil Corporation
  • 300 Peach Street
  • El Dorado
  • Arkansas
  • 71730
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MURNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
MUQDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
0K3SLSE (London Stock Exchange)YesCommon StockGBUSDJan 1968

Biography

Murphy Oil Corporation operates as an oil and gas exploration and production company in the United States, Canada, Malaysia, and internationally. It explores for and produces crude oil, natural gas, and na ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:16
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.

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