Yahoo Finance Marathon Oil (MRO) Moves 9.9% Higher: Will This Strength Last?
Marathon Oil (MRO) shares rallied 9.9% in the last trading session to close at $26.33. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 9.7% loss over the past four weeks.
Marathon Oil stock rose for the seventh straight day, driven by optimism over crude prices spurred by the surprise production cut from OPEC. The rally in commodity prices to around $80 a barrel is set to push drilling activity higher and contributed to the strength in the company, which is a leading oil and natural gas exploration and production operator in the United States and Africa.
This energy company is expected to post quarterly earnings of $0.80 per share in its upcoming report, which represents a year-over-year change of -21.6%. Revenues are expected to be $1.7 billion, down 3% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Marathon Oil, the consensus EPS estimate for the quarter has been revised 15.7% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on MRO going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Marathon Oil is part of the Zacks Oil and Gas - Integrated - United States industry. DT Midstream (DTM), another stock in the same industry, closed the last trading session 0.7% lower at $49.05. DTM has returned -4.6% in the past month.
For DT Midstream , the consensus EPS estimate for the upcoming report has changed +2.2% over the past month to $0.95. This represents a change of +13.1% from what the company reported a year ago. DT Midstream currently has a Zacks Rank of #3 (Hold).
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Marathon Oil Corporation (MRO) : Free Stock Analysis Report
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