MUSA vs SUN

For growth investors, Sunoco LP (SUN) is the stronger pick with 11.

1% revenue growth year-over-year, versus -4. 2% for Murphy USA Inc. (MUSA). Sunoco LP (SUN) offers the better valuation at 18. 5x trailing P/E (9. 4x forward), making it the more compelling value choice. Analysts rate Murphy USA Inc. (MUSA) a "Hold" — based on 11 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, Sunoco LP (SUN) is the cheapest at 18.

5x versus Murphy USA Inc. at 24. 1x. On forward P/E, Sunoco LP is actually cheaper at 9. 4x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Sunoco LP wins at 0. 53x versus Murphy USA Inc. 's 1. 53x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Murphy USA Inc.

(MUSA) delivered a total return of +318. 2%, compared to +135. 4% for Sunoco LP (SUN). Over 10 years, the gap is even starker: MUSA returned +803. 3% versus SUN's +209. 2%. 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), Murphy USA Inc.

(MUSA) is the lower-risk stock at -0. 23β versus Sunoco LP's 0. 13β — meaning SUN is approximately -155% more volatile than MUSA relative to the S&P 500. On balance sheet safety, Sunoco LP (SUN) carries a lower debt/equity ratio of 2% versus 5% for Murphy USA Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Sunoco LP (SUN) is pulling ahead at 11.

1% versus -4. 2% for Murphy USA Inc. (MUSA). On earnings-per-share growth, the picture is similar: Murphy USA Inc. grew EPS -0. 0% year-over-year, compared to -39. 0% for Sunoco LP. Over a 3-year CAGR, SUN leads at -0. 7% 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.

Murphy USA Inc.

(MUSA) is the more profitable company, earning 2. 4% net margin versus 2. 1% for Sunoco LP — meaning it keeps 2. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MUSA leads at 3. 8% versus 3. 7% for SUN. At the gross margin level — before operating expenses — SUN leads at 8. 3%, 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.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Sunoco LP (SUN) is the more undervalued stock at a PEG of 0. 53x versus Murphy USA Inc. 's 1. 53x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Sunoco LP (SUN) trades at 9. 4x forward P/E versus 19. 8x for Murphy USA Inc. — 10. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for SUN: 0. 3% to $68. 00.

All stocks in this comparison pay dividends.

Sunoco LP (SUN) offers the highest yield at 7. 1%, versus 0. 4% for Murphy USA Inc. (MUSA).

For long-horizon retirement investors, Murphy USA Inc.

(MUSA) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 23), +803. 3% 10Y return). Both have compounded well over 10 years (MUSA: +803. 3%, SUN: +209. 2%), 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.

These companies operate in different sectors (MUSA (Consumer Cyclical) and SUN (Energy)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: MUSA is a mid-cap quality compounder stock; SUN is a small-cap income-oriented stock. SUN pays a dividend while MUSA does not, making them suitable for different income and tax situations. 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.