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Murphy Oil (MUR) AI Stock Analysis
Murphy Oil
(NYSE:MUR)
The score is driven primarily by steady financial footing (manageable leverage and solid operating cash flow) and a reasonable valuation (P/E ~11 with a ~3.8% dividend). These are offset by weak technicals (price below all major moving averages with oversold signals) and a mixed earnings-call backdrop where higher capex and appraisal/exploration uncertainty temper otherwise solid operational performance and liquidity.
Murphy Oil (MUR) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $5.15B
- Dividend Yield
- 3.83%
- Average Volume (3M)
- 1.68M
- Price to Earnings (P/E)
- 11.0
- Beta (1Y)
- -0.02
- Revenue Growth
- 7.73%
- EPS Growth
- 5.87%
- Country
- US
- Employees
- 813
- Sector
- Energy
- Sector Strength
- 65
- Industry
- Oil & Gas Exploration & Production
Murphy Oil Business Overview & Revenue Model
Company Description
Murphy Oil Corporation, along with its affiliated entities, functions as a company primarily focused on discovering and extracting crude oil and natural gas. Its operational footprint spans across the United States, Canada, and various international...
How the Company Makes Money
Murphy Oil primarily makes money by producing and selling hydrocarbons—crude oil, natural gas, and natural gas liquids—from its operated and non-operated wells. Revenue is largely generated from (1) sales volumes (how much the company produces and se...
Murphy Oil Earnings Call Summary
The call highlighted meaningful exploration success (Bubale discovery), operational outperformance (production above guidance, Eagle Ford strength, Tupper Montney), strong balance sheet metrics (free cash flow, liquidity, leverage <1x) and clear plans to fund organic growth. Those positives were tempered by a dry hole and resource downwards revision at Hai Su Vang, higher-than-expected appraisal well costs at Bubale, and uncertainty around elevated near-term capital needs and 2027 spend that will depend on appraisal results. Overall the company presents multiple growth pathways while emphasizing disciplined, staged appraisal and balance sheet protection.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Guidance highlights: Murphy raised the midpoint of 2026 capex to $1.55 billion (from $1.25B) to fund organic growth—including roughly $190 million for Bubale (about $100M incremental on the discovery well and ~$90M for the Bubale West‑1X appraisal), and $70 million accelerated into the Eagle Ford (expected to add ~5,000–6,000 boe/d in 2027). Q2 production averaged 169,000 boe/d (above guidance midpoint); the quarter generated $110 million of free cash flow, returned $50 million via dividends, maintained leverage below 1x and ended with ≈$2.5 billion of liquidity, and Murphy still expects positive full‑year free cash flow at current prices despite the higher spend. Key project and timing metrics: Bubale appraisal is a staged, data‑driven 18–24 month program of up to five wells (Bubale West‑1X spud in July; dry‑hole cost estimate revised from $65M to ~$90M, potentially higher if formation evaluation is required); Hai Su Vang’s resource was revised to ~200–300 million boe (≈2–3× Lac Da Vang) with Vietnam peak production outlook unchanged at 30,000–50,000 boe/d (likely nearer the low end today); Lac Da Vang is on schedule for first oil in Q4 with net 2027 exit ~5,000–9,000 bbl/d ramping to 10,000–15,000 bbl/d in 2028–29; Chinook #8 (26,000 ft TD) remains on track for Q4 start.
Murphy Oil Financial Statement Overview
Summary
Solid but cyclical fundamentals. Income statement shows improved TTM profitability with revenue up (+4.4%) and higher net margin (~14.8%), but multi-year revenue/margin volatility and unusually weak operating/EBITDA margins reduce confidence in earnings quality. Balance sheet leverage is manageable (TTM debt-to-equity ~0.41; net leverage referenced as <1x) though ROE has cooled (TTM ~5.7%). Cash flow remains supportive (operating cash flow ~1.57x net income) but free cash flow declined year-over-year (~-28%), highlighting weaker recent cash conversion.
Income Statement
58NeutralBalance Sheet
72PositiveCash Flow
67Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.16B | 2.69B | 3.02B | 3.45B | 4.22B | 2.80B |
| Gross Profit | 2.66B | 577.76M | 1.00B | 2.62B | 2.38B | 1.28B |
| EBITDA | -27.17B | 1.26B | 1.54B | 1.95B | 2.44B | 1.06B |
| Net Income | 468.14M | 104.20M | 407.17M | 661.56M | 965.05M | -73.66M |
Balance Sheet | ||||||
| Total Assets | 10.48B | 9.83B | 9.67B | 9.77B | 10.31B | 10.30B |
| Cash, Cash Equivalents and Short-Term Investments | 500.30M | 377.00M | 423.57M | 317.07M | 491.96M | 521.18M |
| Total Debt | 2.29B | 2.20B | 2.07B | 2.09B | 2.79B | 3.37B |
| Total Liabilities | 4.93B | 4.60B | 4.33B | 4.22B | 5.16B | 5.98B |
| Stockholders Equity | 5.38B | 5.12B | 5.19B | 5.36B | 4.99B | 4.16B |
Cash Flow | ||||||
| Free Cash Flow | 235.98M | 396.40M | 820.83M | 647.16M | 1.05B | 733.95M |
| Operating Cash Flow | 1.77B | 1.25B | 1.73B | 1.75B | 2.17B | 1.42B |
| Investing Cash Flow | -1.54B | -1.03B | -908.16M | -998.68M | -1.11B | -417.71M |
| Financing Cash Flow | -153.04M | -264.06M | -716.54M | -923.72M | -1.08B | -794.51M |
Murphy Oil Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MUR, the sentiment is Negative. The current price of 35.94 is below the 20-day moving average (MA) of 41.23, below the 50-day MA of 38.83, and below the 200-day MA of 36.54, indicating a bearish trend. The MACD of 0.45 indicates Positive momentum. The RSI at 34.58 is Neutral, neither overbought nor oversold. The STOCH value of 2.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MUR.
Murphy Oil Risk Analysis
Murphy Oil disclosed 6 risk factors in its most recent earnings report. Murphy Oil reported the most risks in the "Finance & Corporate" category.
- Finance & Corporate3
- Legal & Regulatory2
- Production1
Latest Risks Added
1 New RiskMurphy Oil Peers Comparison
Overall Rating
MGY74Outperform
MTDR73Outperform
SM66Neutral
MUR61Neutral
CRGY60Neutral
TALO58Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| 74Outperform | $6.61B | 10.43 | 21.10% | 2.82% | 11.35% | 18.91% | |
| 73Outperform | $6.72B | 8.68 | 12.39% | 2.98% | 12.81% | -7.42% | |
| 66Neutral | $8.72B | 10.67 | 13.76% | 2.77% | 107.68% | -34.82% | |
| Sector * | 65Neutral | $15.17B | 7.61 | 4.09% | 5.20% | 3.87% | -62.32% |
| 61Neutral | $5.66B | 11.02 | 5.71% | 3.83% | 7.73% | 5.87% | |
| 60Neutral | $5.50B | 66.27 | 1.23% | 4.09% | 33.54% | ― | |
| 58Neutral | $2.69B | -6.85 | -19.60% | ― | 13.47% | -14.46% |
* Energy Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| MUR | Murphy Oil | 35.94 | 9.06 | 33.70% | |
| MTDR | Matador Resources | 50.37 | 13.61 | 37.03% | |
| SM | SM Energy Company | 31.06 | 13.71 | 79.04% | |
| MGY | Magnolia Oil & Gas | 23.37 | 2.51 | 12.03% | |
| TALO | Talos Energy | 15.61 | 5.83 | 59.61% | |
| CRGY | Crescent Energy Company Class A | 11.73 | 3.60 | 44.30% |
Murphy Oil Corporate Events
Murphy Oil Reports Strong Third-Quarter Results and Production Growth
PositiveOn November 4, 2026, Murphy Oil reported third-quarter net income attributable to Murphy of $171.1 million and production of 186,495 BOEPD for the period ended September 30. Production exceeded quarterly guidance, supported by accelerated Eagle Ford...
Murphy Oil Highlights Global Offshore Operational Milestones
PositiveOn October 12, 2026, Murphy Oil Corporation reported a series of operational milestones across its offshore portfolio, underscoring its exploration and development capabilities. The company announced successful appraisal of the Bubale West-1X well in...
Murphy Oil Highlights Strategy at Barclays Energy Conference
PositiveOn September 9, 2026, President and CEO Eric M. Hambly was scheduled to present Murphy Oil Corporation’s latest investor update at the Barclays 40th Annual Energy-Power Conference and host meetings with investors, underscoring the company’...
Murphy Oil Appoints New Chief Legal Officer
PositiveOn August 24, 2026, Murphy Oil Corporation announced the appointment of Michol L. Ecklund as Senior Vice President, Chief Legal Officer and Corporate Secretary, effective August 31, 2026. She will join the executive leadership team and report directl...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 05, 2026