Is MUSA's Q1 2025 EPS forecast achievable?
4/4/2025 03:22pm
**Murphy USA's (MUSA) Q1 2025 EPS forecast appears challenging to achieve based on current analyst estimates and historical performance.** Here's why:
1. **Analyst Expectations**: Wall Street analysts forecast MUSA's Q1 2025 EPS to be $6.43, which represents a year-over-year decline of 8.1%. This suggests a bearish outlook for the upcoming quarter.
2. **Historical Performance**: MUSA's previous quarter EPS was $7.11. Given the anticipated decline in EPS, the company's Q1 2025 EPS of $6.43 may not be met if the trend continues.
3. **Industry Comparison**: The company has outperformed its overall industry in EPS estimates for the past 12 months, with a 75.00% beat rate. However, the current forecast indicates a decline, which is at odds with the company's historical performance.
4. **Revenue Forecast**: Concurrently, revenue forecasts for Q1 2025 are lower, with estimates at $5.1 billion, which is slightly higher than the $5.02 billion projected by some analysts. This discrepancy suggests uncertainty in revenue projections as well.
5. **Market Conditions**: The broader market conditions, including economic trends and industry-specific factors, are not provided. However, these conditions are likely to impact MUSA's performance, making it harder to achieve the forecasted EPS.
In conclusion, while MUSA has a history of outperforming its industry, the current EPS and revenue forecasts for Q1 2025 indicate a more cautious outlook. The company's ability to meet these forecasts will depend on various factors, including market conditions and operational efficiency.