Linden Thomas Advisory Services LLC Shows Confidence in Murphy USA Inc. with Strategic Investment

Linden Thomas Advisory Services LLC Invests in Murphy USA Inc. Shares

Date: July 11, 2023

In a recent disclosure with the Securities & Exchange Commission, Linden Thomas Advisory Services LLC revealed its acquisition of a new stake in Murphy USA Inc. (NYSE:MUSA) during the first quarter of this year. The fund obtained 1,678 shares of the specialty retailer’s stock with an approximate value of $433,000. This strategic move by Linden Thomas Advisory Services LLC has attracted attention from analysts and garnered positive feedback.

Analyzing Recent Perspectives:

Various research analysts have recently evaluated the performance and potential of Murphy USA Inc., offering their insights to investors. Wells Fargo & Company, for instance, raised the target price on Murphy USA to $330.00 from $325.00 in a report shared on May 4th. Additionally, StockNews.com upgraded their rating of the company from “hold” to “buy” on May 12th. Collectively, multiple ratings indicate market confidence and suggest promising growth prospects for Murphy USA Inc.

Current Assessments and Ratings:

Based on data compiled by Bloomberg, industry analysts have closely evaluated Murphy USA’s performance and have arrived at an average consensus target price of $315.60 for the company’s shares. This figure serves as an estimate for potential investors seeking guidance regarding investments in Murphy USA stocks.

Market Performance Overview:

On July 11th, shares of Murphy USA were observed to open at $303.92 – a notable figure considering the fifty-day moving average of $288.35 and two-hundred-day moving average of $272.59 for the stock. This indicates the rising trajectory of Murphy USA’s market capitalization which currently stands at an impressive $6.62 billion.

Murphy USA Inc.’s financial standing continues to impress investors with its attractive price-to-earnings ratio of 11.33 and a beta value of 0.82. Despite the variability and risks associated with the market, the company has showcased resilience and stability.

The stock’s performance over the past year demonstrates its potential, with a 52-week low of $231.65 and a 52-week high of $323.00. These figures reflect substantial growth for Murphy USA Inc., promising considerable returns to investors.

Further Insights:

Murphy USA Inc., with a debt-to-equity ratio of 2.50, reflects a prudent capital structure that promotes financial flexibility and reduces risk. The company is also operating at healthy liquidity levels, with a quick ratio of 0.53 and a current ratio of 0.92.

Conclusion:

Linden Thomas Advisory Services LLC’s recent acquisition of shares in Murphy USA Inc., valued at around $433,000, underscores confidence in the retail giant’s prospects for growth and profitability. Positive ratings from analysts further strengthen this sentiment, warranting investor attention.

With an average consensus target price indicating potential appreciation in the company’s shares, combined with impressive market capitalization figures and sound financial standing, Murphy USA Inc.’s future seems bright for both existing shareholders and those considering investments in the retail sector.

Murphy USA Sees Surge in Institutional Investor Stakes and Positive Financial Performance in Q2 2023

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July 11, 2023 – Murphy USA Sees Increase in Institutional Investor Stakes

Murphy USA, a specialty retailer known for its convenience stores and fuel stations, has seen an increase in institutional investor stakes. Norges Bank, one of the largest pension funds globally, acquired a new position in Murphy USA during the fourth quarter of last year. The financial institution invested approximately $51.9 million in the company’s shares.

Another notable investor, Morgan Stanley, increased its holdings in Murphy USA by 76.4% during the same period. The investment firm now owns 379,886 shares worth $106.2 million after acquiring an additional 164,519 shares in the last quarter.

Millennium Management LLC is also among the institutional investors that have boosted their holdings in Murphy USA. The investment management firm now owns 355,479 shares valued at $99.4 million after acquiring an additional 80,791 shares in the fourth quarter.

Two Sigma Investments LP saw an astounding increase of 824.0% in its holdings of Murphy USA stock during the fourth quarter. The investment management firm currently holds 83,906 shares worth $23.5 million after acquiring an additional 74,825 shares.

Furthermore, Fuller & Thaler Asset Management Inc., known for its focus on small-cap and mid-cap equities, increased its stake by 18.1% during the same period. The firm now owns 462,016 shares worth $129.2 million after acquiring an additional 70,813 shares.

Overall, institutional investors and hedge funds currently own approximately 85% of Murphy USA’s outstanding stock.

Aside from these recent increases in institutional investor stakes, there have been notable transactions by company insiders as well. Director Jeanne Linder Phillips sold 550 shares of the company’s stock on May 10th at an average price of $283.97 per share with a total transaction value of $156,183.50. Director Phillips’ current holdings in the company amount to 2,874 shares valued at approximately $816,129.78.

In another insider transaction, Senior Vice President Robert J. Chumley sold 1,075 shares on May 19th at an average price of $277.72 per share, resulting in a total transaction value of $298,549.00. Mr. Chumley now retains 6,661 shares with an estimated value of $1,849,892.92.

Looking into analyst reports and ratings for Murphy USA, renowned financial institution Wells Fargo & Company has boosted its target price for the company from $325 to $330 per share in a report published on May 4th. Another analyst on StockNews.com upgraded their rating for the stock from “hold” to “buy” on May 12th.

In general consensus among analysts surveyed by Bloomberg receives a rating of “Moderate Buy.” The average target price projected by analysts is approximately $315.60.

Regarding the latest financial performance of Murphy USA, the specialty retailer reported earnings results showing an EPS (earnings per share) of $4.80 for the quarter ending May 2nd – surpassing market expectations by $0.62 per share.

Notably, during this quarter, Murphy USA recorded revenues of $5.08 billion compared to analysts’ projected revenues of $4.95 billion—an indication that the company’s performance exceeded market estimates.

Murphy USA’s net margin was reported at 2.68% alongside an impressive return on equity standing at 86.87%. However, despite these strong figures mentioned above; revenue for this quarter saw a slight decrease of 0.8% compared to the same period last year when the company posted EPS (earnings per share) of $6.08.

Equities research analysts forecast that Murphy USA will report an EPS of $20.36 for the current year.

To add to the recent developments, Murphy USA also announced a quarterly dividend increase. Shareholders of record as of May 15th received dividends worth $0.38 per share, representing a boost from the previous quarterly payout of $0.37 per share – a clear sign of the company’s confidence in its financial stability and future growth prospects.

As of the ex-dividend date on May 12th, this new dividend translates into an annualized payout of $1.52 per share and a dividend yield of approximately 0.50%. With its current payout ratio at 5.67%, Murphy USA is demonstrating its commitment to returning value to its shareholders.

In conclusion, institutional investors have shown renewed interest in Murphy USA with several major financial institutions increasing their stakes in the company over recent months. Meanwhile, insider trading activities remain notable with Director Jeanne Linder Phillips and Senior Vice President Robert J. Chumley both selling shares.

Additionally, analysts’ ratings indicate a generally positive outlook for Murphy USA, accompanied by strong financial performance in terms of earnings surpassing expectations and dividend increases—a reflection of promising prospects for the specialty retailer moving forward into 2023.