Marathon Petroleum's $1.2B Earnings and Strategic Permian Expansion Power 166.71% Return via Top 500 High-Volume Stock Strategy

On August 5, 2025, Marathon Petroleum Corporation (MPC) reported a net income of $1.2 billion for the second quarter, translating to $3.96 per diluted share. This follows adjusted EBITDA of $3.3 billion, driven by refining operations and midstream strength. The company announced a $2.375 billion midstream acquisition of Northwind Midstream by its subsidiary MPLX, signaling strategic expansion in the Permian Basin. Concurrently, MPC divested a $425 million ethanol production stake, aligning with portfolio optimization goals.

Refining operations achieved 97% crude capacity utilization, with a margin of $17.58 per barrel, reflecting operational efficiency despite a modest year-over-year decline in per-barrel profitability. Midstream performance remained stable, contributing $1.6 billion in adjusted EBITDA. Capital returns to shareholders totaled $1.0 billion, including $692 million in share repurchases, underlining a commitment to shareholder value amid a $6.0 billion repurchase authorization.

Management emphasized strategic execution, with CEO Maryann Mannen highlighting progress in refining commercial excellence and midstream infrastructure. Key projects include $100 million allocated to modernize Los Angeles refinery systems and $200 million for Galveston Bay upgrades. These initiatives aim to enhance energy efficiency and meet regulatory mandates, supporting long-term margin stability.

The strategy of purchasing the top 500 stocks by daily trading volume and holding them for one day delivered a 166.71% return from 2022 to the present, outperforming the benchmark return of 29.18% by 137.53%. This underscores the role of liquidity concentration in short-term stock performance, particularly in volatile markets.