Latest Ratios: P/E Ratio 50.3x · EV/EBITDA 4.9x · ROE 2.0%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $5.2B | $4.5B | $4.6B | $6.7B | $6.8B | $4.0B | $1.9B | $4.4B | $4.1B | $5.4B | $5.4B |
| Enterprise Value | $7.0B | $6.3B | $6.2B | $8.5B | $9.1B | $6.9B | $5.5B | $7.5B | $6.9B | $7.3B | $7.5B |
| P/E Ratio → | 50.29 | 43.40 | 11.21 | 10.11 | 7.02 | 81.59 | — | 23.30 | 9.91 | — | — |
| P/S Ratio | 1.93 | 1.67 | 1.51 | 1.94 | 1.60 | 1.44 | 1.06 | 1.57 | 1.58 | 2.55 | 2.96 |
| P/B Ratio | 1.00 | 0.86 | 0.86 | 1.20 | 1.32 | 0.93 | 0.42 | 0.76 | 0.78 | 1.16 | 1.09 |
| P/FCF | 13.09 | 11.35 | 5.57 | 10.33 | 6.44 | 5.49 | — | — | — | — | — |
| P/OCF | 4.16 | 3.61 | 2.64 | 3.82 | 3.13 | 2.83 | 2.31 | 2.97 | 5.44 | 8.73 | 8.92 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.35 | 2.06 | 2.45 | 2.15 | 2.45 | 3.13 | 2.67 | 2.68 | 3.48 | 4.13 |
| EV / EBITDA | 4.89 | 4.41 | 4.23 | 4.31 | 3.84 | 6.39 | — | 4.72 | 4.64 | 5.30 | 7.94 |
| EV / EBIT | 18.12 | 22.68 | 9.22 | 8.18 | 5.66 | 25.97 | — | 16.90 | 31.43 | 29.16 | — |
| EV / FCF | — | 15.96 | 7.57 | 13.06 | 8.62 | 9.37 | — | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 21.5% | 21.5% | 33.2% | 76.0% | 56.4% | 45.7% | -0.5% | 31.5% | 40.9% | 32.0% | 10.8% |
| Operating Margin | 14.4% | 14.4% | 20.0% | 30.2% | 37.6% | 10.0% | -77.8% | 15.8% | 24.3% | 15.3% | -12.0% |
| Net Profit Margin | 3.9% | 3.9% | 13.5% | 19.2% | 22.9% | -2.6% | -65.6% | 40.8% | 15.9% | -14.9% | -15.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 2.0% | 2.0% | 7.5% | 12.4% | 20.4% | -1.7% | -22.5% | 20.9% | 8.4% | -6.5% | -5.4% |
| ROA | 1.1% | 1.1% | 4.2% | 6.6% | 9.4% | -0.7% | -10.3% | 10.1% | 3.9% | -3.1% | -2.5% |
| ROIC | 4.1% | 4.1% | 6.3% | 10.6% | 16.3% | 2.8% | -12.1% | 3.9% | 6.5% | 3.5% | -2.2% |
| ROCE | 4.4% | 4.4% | 6.8% | 11.6% | 17.4% | 3.0% | -13.2% | 4.2% | 6.5% | 3.6% | -2.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.42 | 0.42 | 0.39 | 0.38 | 0.54 | 0.78 | 0.90 | 0.59 | 0.62 | 0.63 | 0.61 |
| Debt / EBITDA | 1.53 | 1.53 | 1.41 | 1.07 | 1.18 | 3.13 | — | 2.14 | 2.17 | 2.11 | 3.18 |
| Net Debt / Equity | — | 0.35 | 0.31 | 0.32 | 0.45 | 0.66 | 0.83 | 0.54 | 0.55 | 0.42 | 0.43 |
| Net Debt / EBITDA | 1.27 | 1.27 | 1.12 | 0.90 | 0.97 | 2.64 | — | 1.95 | 1.91 | 1.41 | 2.25 |
| Debt / FCF | — | 4.60 | 2.00 | 2.74 | 2.18 | 3.88 | — | — | — | — | — |
| Interest Coverage | 2.90 | 2.90 | 6.36 | 9.20 | 10.62 | 1.19 | -8.14 | 1.84 | 1.22 | 1.00 | -2.33 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.85 | 0.85 | 0.83 | 0.89 | 0.77 | 0.76 | 1.40 | 1.03 | 1.04 | 1.64 | 1.04 |
| Quick Ratio | 0.80 | 0.80 | 0.77 | 0.82 | 0.73 | 0.71 | 1.30 | 0.95 | 0.94 | 1.52 | 0.96 |
| Cash Ratio | 0.35 | 0.35 | 0.45 | 0.37 | 0.39 | 0.45 | 0.43 | 0.33 | 0.46 | 1.16 | 0.66 |
| Asset Turnover | — | 0.27 | 0.31 | 0.35 | 0.41 | 0.27 | 0.16 | 0.24 | 0.23 | 0.21 | 0.18 |
| Inventory Turnover | 33.99 | 33.99 | 36.76 | 15.19 | 33.77 | 28.08 | 26.63 | 25.34 | 17.38 | 13.56 | 12.70 |
| Days Sales Outstanding | — | 38.50 | 32.95 | 36.41 | 33.83 | 33.64 | 54.60 | 55.28 | 32.15 | 42.36 | 72.03 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.6% | 4.1% | 3.9% | 2.6% | 1.9% | 1.9% | 5.2% | 3.7% | 4.2% | 3.2% | 3.9% |
| Payout Ratio | 178.7% | 178.7% | 44.2% | 25.8% | 13.3% | — | — | 14.2% | 42.1% | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.0% | 2.3% | 8.9% | 9.9% | 14.3% | 1.2% | — | 4.3% | 10.1% | — | — |
| FCF Yield | 7.6% | 8.8% | 18.0% | 9.7% | 15.5% | 18.2% | — | — | — | — | — |
| Buyback Yield | 2.0% | 2.3% | 6.6% | 2.2% | 0.3% | 0.0% | 0.0% | 11.3% | 0.2% | 0.1% | 0.0% |
| Total Shareholder Yield | 5.5% | 6.4% | 10.5% | 4.8% | 2.2% | 1.9% | 5.2% | 15.0% | 4.4% | 3.4% | 3.9% |
| Shares Outstanding | — | $144M | $151M | $157M | $157M | $154M | $154M | $165M | $174M | $173M | $172M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying MUR stock.
Murphy Oil Corporation's current P/E ratio is 50.3x. The historical average is 17.0x. This places it at the 96th percentile of its historical range.
Murphy Oil Corporation's current EV/EBITDA is 4.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 5.3x.
Murphy Oil Corporation's return on equity (ROE) is 2.0%. The historical average is 10.1%.
Based on historical data, Murphy Oil Corporation is trading at a P/E of 50.3x. This is at the 96th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Murphy Oil Corporation's current dividend yield is 3.57% with a payout ratio of 178.7%.
Murphy Oil Corporation has 21.5% gross margin and 14.4% operating margin. Operating margin between 10-20% is typical for established companies.
Murphy Oil Corporation's Debt/EBITDA ratio is 1.5x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Revenue decline persists despite EPS beat
Metrics are mathematically derived from official filings.
Margin Volatility Masks Underlying Earnings Power
Murphy's gross margin swung from 22.6% in 2025Q2 to 78.0% in 2026Q2, while operating margin hit 38.2%, per quarterly filings. Such swings suggest non-recurring gains and commodity price volatility distort recurring profitability.
The 2026Q2 gross margin of 78.0% and operating margin of 38.2% are far above the historical range of 22-37% and 0-24% respectively, indicating that the quarter likely included one-time items such as asset sale gains or favorable hedging settlements. Excluding these, the underlying netback per barrel appears more consistent with the mid-cycle margins seen in 2024-2025. Investors should focus on cash flow per barrel rather than reported margins, as the latter are heavily influenced by non-cash DD&A and mark-to-market effects.
Return on Capital Remains Subdued Despite Asset Base
ROIC averaged only 1.6% over the last ten quarters, with 2026Q2 at 3.7%, as reported in financial statements. This is well below the cost of capital, suggesting the company is not yet generating adequate returns on its deepwater investments.
Despite a conservative balance sheet and a recent EPS beat, Murphy's ROIC has been persistently low, ranging from 0.1% to 3.7% over the past ten quarters. The 2026Q2 improvement to 3.7% is encouraging but still below the 8-10% typically seen in mid-cap E&P peers like SM Energy or Matador. The low asset turnover of 0.07-0.09x reflects the capital-intensive nature of offshore projects, and returns will only improve if production volumes ramp up without proportional capex increases. The recent $1.0B surge in PP&E over two quarters suggests a heavy investment phase that has yet to yield proportional returns.
Working Capital Efficiency Distorted by Payables
Murphy's cash conversion cycle turned sharply negative to -222 days in 2026Q2, driven by DPO of 294 days, per balance sheet data. This suggests the company is stretching supplier payments, which may not be sustainable and could indicate liquidity pressure.
The negative CCC is primarily due to an unusually high DPO of 294 days in 2026Q2, compared to a historical range of 85-101 days. This dramatic extension may reflect delayed payments to vendors or a change in payment terms, potentially signaling cash conservation. While a negative CCC is often a sign of working capital efficiency, the magnitude here is anomalous and warrants monitoring. The current ratio of 0.85 and quick ratio of 0.80 indicate that current liabilities exceed current assets, but the company's access to credit and low leverage mitigate immediate liquidity risk.
Low Leverage Provides Strategic Flexibility
Murphy's debt-to-equity ratio remained low at 0.42 in 2026Q2, with interest coverage of 13.78x, as per recent filings. This conservative capital structure appears to support the company's ability to fund its exploration pipeline without dilutive financing.
The D/E ratio has been remarkably stable between 0.37 and 0.44 over the past ten quarters, indicating disciplined debt management. Interest coverage improved to 13.78x in 2026Q2 from a low of -1.00x in 2026Q1, reflecting the strong earnings quarter. However, the negative coverage in 2026Q1 highlights the volatility of earnings in this sector. The low leverage relative to peers like SM Energy (D/E 0.59) and Civitas (0.68) suggests Murphy has more headroom to weather commodity price downturns or fund acquisitions, but it also implies a more conservative approach to capital returns.
Liquidity Buffer Tightens Despite Cash Build
Murphy's current ratio dipped to 0.85 in 2026Q2 from 0.93 in 2024Q1, while cash rose to $483.9M, per balance sheet data. The quick ratio of 0.80 indicates limited short-term liquidity, but low debt and strong cash flow provide a cushion.
The current ratio has been below 1.0 for most of the past ten quarters, indicating that current liabilities exceed current assets. However, this is common in the E&P industry where companies rely on revolving credit facilities. The cash balance of $483.9M, combined with an undrawn credit facility (not disclosed), likely provides adequate liquidity. The negative working capital is not a concern given the stable cash flow generation, but the recent DPO spike to 294 days could indicate a temporary strain on supplier relationships. Investors should monitor whether this is a one-off or a trend.
P/E Misleads on Cyclical Earnings
Murphy's trailing P/E of 48.32 is misleading given the cyclicality of oil prices and one-time gains; the forward P/E of 10.04 better reflects normalized earnings, as per valuation data. Investors should use EV/EBITDA or P/FCF instead.
The trailing P/E is inflated because TTM earnings include a weak 2025 period with depressed margins, while the forward P/E of 10.04 reflects the market's expectation of a recovery. However, even forward P/E can be unreliable in a cyclical industry. EV/EBITDA of 4.75 is more appropriate as it is less distorted by depreciation and non-cash items. The P/FCF of 12.58 is also useful, but FCF is volatile due to capex cycles. The most commonly misapplied ratio is P/E because it fails to account for the commodity price cycle and the significant non-cash charges (DD&A) that depress earnings. Investors should focus on EV/EBITDA and cash flow metrics to value Murphy accurately.