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CompareEarnings: Mar 2, 2025

Marathon Oil Corporation

Exchange: NYSESector: EnergyIndustry: Oil & Gas E&P

Marathon Oil is an independent oil and gas exploration and production (E&P) company focused on four of the most competitive resource plays in the U.S. - Eagle Ford, Texas ; Bakken, North Dakota ; Permian in New Mexico and Texas, and STACK and SCOOP in Oklahoma, complemented by a world-class integrated gas business in Equatorial Guinea. The Company's Framework for Success is founded in a strong balance sheet, ESG excellence, and the competitive advantages of a high-quality multi-basin portfolio. On May 28, 2024, Marathon Oil entered a merger agreement with ConocoPhillips. The transaction is expected to close late in the fourth quarter of 2024.

Did you know?

Generated $1.0 in free cash flow for every $1 of capital expenditure in FY23.

Current Price

$28.55

GoodMoat Value

$97.84

242.7% undervalued
Profile
Valuation (TTM)
Market Cap$15.97B
P/E12.01
EV$20.59B
P/B1.43
Shares Out559.38M
P/Sales2.37
Revenue$6.74B
EV/EBITDA4.77

Marathon Oil Corporation (MRO) Valuation

MRO Fair Value Estimate

$97.84242.7% undervalued

Blended fair value estimate based on DCF, Graham Number, and earnings-based models.

MRO Valuation Metrics

FCF$2.03B
FCF Growth Rate50.00%
EPS Growth (CAGR)7.23%
WACC10.00%

MRO Valuation & Fair Value Analysis

Marathon Oil Corporation (MRO) valuation analysis using multiple fair value methodologies. GoodMoat calculates a blended fair value target using discounted cash flow (DCF) analysis, the Graham Number, and earnings-based valuation models.

The GoodMoat Fair Value target for Marathon Oil Corporation is $97.84. The current stock price is $28.55, suggesting the stock is 242.7% undervalued.

The price-to-earnings (P/E) ratio is 12.01. Price-to-book ratio is 1.43. Price-to-sales ratio is 2.37. Enterprise value to EBITDA is 4.77. PEG ratio is -0.38.

GoodMoat's valuation models include the Graham Number (based on EPS and book value), an earnings-based model (discounted future EPS), and a PEG-adjusted valuation. The three models are averaged to produce a blended fair value estimate. Use these tools alongside the DCF calculator and reverse DCF to form a comprehensive view of Marathon Oil Corporation's intrinsic value.