Marathon Petroleum reinstated with an Outperform at Wolfe Research

Wolfe Research analyst Doug Leggate reinstated coverage of Marathon Petroleum with an Outperform rating and $200 price target as part of a broader research note. The firm is “leaning defensive” as oil price is expected to remain rangebound around $85, exacerbated by paper markets testing OPEC+ policy, though the opposite is true for U.S. gas where a contango curve is signaling a structural shift that can reverse a decade of declines in the marginal cost of supply, the analyst tells investors in a research note. Wolfe adds that it sees E&Ps with collectively the best risk / reward in the sector – eventually.