Murphy USA (NYSE:MUSA) Shares Gap Up – Here’s Why

Murphy USA Inc. (NYSE:MUSA)’s stock price gapped up prior to trading on Wednesday . The stock had previously closed at $538.87, but opened at $565.81. Murphy USA shares last traded at $550.3340, with a volume of 27,829 shares trading hands.

Wall Street Analysts Forecast Growth

Several research analysts have commented on MUSA shares. Zacks Research downgraded Murphy USA from a “strong-buy” rating to a “hold” rating in a research note on Monday, June 22nd. Royal Bank Of Canada lifted their price target on shares of Murphy USA from $510.00 to $517.00 and gave the company a “sector perform” rating in a report on Thursday, April 30th. KeyCorp upped their price objective on shares of Murphy USA from $600.00 to $680.00 and gave the stock an “overweight” rating in a research report on Friday, June 12th. JPMorgan Chase & Co. initiated coverage on shares of Murphy USA in a research note on Thursday, March 26th. They issued an “overweight” rating and a $539.00 price objective for the company. Finally, Capital One Financial assumed coverage on shares of Murphy USA in a research report on Monday, June 22nd. They issued an “overweight” rating and a $710.00 target price on the stock. Six equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $573.88.

Murphy USA Stock Up 0.5%

The firm has a market capitalization of $10.38 billion, a price-to-earnings ratio of 19.42, a P/E/G ratio of 1.84 and a beta of 0.30. The stock has a fifty day moving average of $553.41 and a two-hundred day moving average of $477.88. The company has a debt-to-equity ratio of 3.24, a current ratio of 0.83 and a quick ratio of 0.48.

Murphy USA (NYSE:MUSA) last announced its earnings results on Wednesday, April 29th. The specialty retailer reported $7.28 EPS for the quarter, topping the consensus estimate of $5.37 by $1.91. Murphy USA had a return on equity of 91.05% and a net margin of 2.81%.The firm had revenue of $4.82 billion for the quarter, compared to the consensus estimate of $4.70 billion. During the same period in the previous year, the business earned $2.63 EPS. The business’s quarterly revenue was up 6.5% compared to the same quarter last year. Sell-side analysts anticipate that Murphy USA Inc. will post 32.3 earnings per share for the current year.

Murphy USA Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, June 1st. Investors of record on Monday, May 18th were paid a $0.64 dividend. This is an increase from Murphy USA’s previous quarterly dividend of $0.63. This represents a $2.56 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend was Monday, May 18th. Murphy USA’s payout ratio is presently 8.85%.

Insiders Place Their Bets

In other Murphy USA news, Director Robert Madison Murphy sold 41,500 shares of the stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $596.96, for a total transaction of $24,773,840.00. Following the completion of the sale, the director owned 342,212 shares of the company’s stock, valued at approximately $204,286,875.52. This represents a 10.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Keith A. Emery sold 517 shares of the firm’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $574.49, for a total transaction of $297,011.33. Following the transaction, the senior vice president owned 500 shares of the company’s stock, valued at approximately $287,245. The trade was a 50.84% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 46,225 shares of company stock valued at $27,363,392 over the last three months. Insiders own 9.02% of the company’s stock.

Institutional Trading of Murphy USA

A number of large investors have recently bought and sold shares of MUSA. MassMutual Private Wealth & Trust FSB lifted its stake in shares of Murphy USA by 82.4% in the 4th quarter. MassMutual Private Wealth & Trust FSB now owns 62 shares of the specialty retailer’s stock valued at $25,000 after purchasing an additional 28 shares during the period. Huntington National Bank grew its stake in Murphy USA by 106.7% during the fourth quarter. Huntington National Bank now owns 62 shares of the specialty retailer’s stock worth $25,000 after purchasing an additional 32 shares during the period. Ameriflex Group Inc. bought a new stake in Murphy USA in the third quarter worth approximately $26,000. EverSource Wealth Advisors LLC increased its holdings in Murphy USA by 423.1% in the second quarter. EverSource Wealth Advisors LLC now owns 68 shares of the specialty retailer’s stock worth $28,000 after purchasing an additional 55 shares in the last quarter. Finally, V Square Quantitative Management LLC acquired a new position in Murphy USA in the fourth quarter valued at approximately $29,000. 80.81% of the stock is currently owned by institutional investors and hedge funds.

About Murphy USA

Murphy USA is a leading downstream marketer of gasoline, diesel and convenience store products in the United States. Headquartered in El Dorado, Arkansas, the company was originally established as part of Murphy Oil Corporation and was spun off as an independent public entity in 2013. Since its separation, Murphy USA has focused on retail fueling services and convenience offerings designed to deliver value and convenience to consumers.

The company’s primary operations center on two retail formats.