IMO vs MPC

For growth investors, Imperial Oil Limited (IMO) is the stronger pick with -3.

7% revenue growth year-over-year, versus -4. 4% for Marathon Petroleum Corporation (MPC). Marathon Petroleum Corporation (MPC) offers the better valuation at 18. 5x trailing P/E (11. 1x forward), making it the more compelling value choice. Analysts rate Marathon Petroleum Corporation (MPC) a "Buy" — based on 33 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Marathon Petroleum Corporation (MPC) is the cheapest at 18.

5x versus Imperial Oil Limited at 26. 8x. On forward P/E, Marathon Petroleum Corporation is actually cheaper at 11. 1x.

Over the past 5 years, Marathon Petroleum Corporation (MPC) delivered a total return of +339.

3%, compared to +336. 2% for Imperial Oil Limited (IMO). Over 10 years, the gap is even starker: MPC returned +654. 2% versus IMO's +333. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Imperial Oil Limited (IMO) is the lower-risk stock at 0.

25β versus Marathon Petroleum Corporation's 0. 30β — meaning MPC is approximately 22% more volatile than IMO relative to the S&P 500. On balance sheet safety, Imperial Oil Limited (IMO) carries a lower debt/equity ratio of 19% versus 143% for Marathon Petroleum Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Imperial Oil Limited (IMO) is pulling ahead at -3.

7% versus -4. 4% for Marathon Petroleum Corporation (MPC). On earnings-per-share growth, the picture is similar: Marathon Petroleum Corporation grew EPS 31. 5% year-over-year, compared to -28. 2% for Imperial Oil Limited. Over a 3-year CAGR, IMO leads at -6. 3% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Imperial Oil Limited (IMO) is the more profitable company, earning 6.

9% net margin versus 3. 0% for Marathon Petroleum Corporation — meaning it keeps 6. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: IMO leads at 9. 0% versus 4. 3% for MPC. At the gross margin level — before operating expenses — IMO leads at 21. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Marathon Petroleum Corporation (MPC) trades at 11.

1x forward P/E versus 15. 2x for Imperial Oil Limited — 4. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for MPC: -12. 6% to $214. 78.

All stocks in this comparison pay dividends.

Imperial Oil Limited (IMO) offers the highest yield at 1. 6%, versus 1. 5% for Marathon Petroleum Corporation (MPC).

For long-horizon retirement investors, Marathon Petroleum Corporation (MPC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

30), 1. 5% yield, +654. 2% 10Y return). Both have compounded well over 10 years (MPC: +654. 2%, IMO: +333. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Energy sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.