Oil and gas producer Murphy Oil (NYSE:MUR) will be reporting results this Wednesday afternoon. Here’s what to expect.
Murphy Oil beat analysts’ revenue expectations last quarter, reporting revenues of $928.3 million, up 33.5% year on year. It was a strong quarter for the company, with a significant miss of analysts’ EPS estimates. It reported a year-on-year oil production per day decline of 3.5%.
Is Murphy Oil a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Murphy Oil’s revenue to grow 7.3% year on year, a reversal from the 3.3% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Murphy Oil has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Murphy Oil’s peers in the mixed or offshore upstream e&p segment, some have already reported their Q3 results, giving us a hint as to what we can expect. California Resources’s revenues decreased 52.2% year on year, missing analysts’ expectations by 56.5%, and Weatherford reported a revenue decline of 7.2%, topping estimates by 0.8%. Weatherford traded up 7.8% following the results.
Read our full analysis of California Resources’s results here and Weatherford’s results here.
Investors in the mixed or offshore upstream e&p segment have had steady hands going into earnings, with share prices flat over the last month. Murphy Oil is up 4.8% during the same time and is heading into earnings with an average analyst price target of $42.47 (compared to the current share price of $40.23).
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