Until just recently, Marathon Petroleum operated approximately 2,750 retail sites under the Marathon and Speedway brands. In addition, it operates a logistics network of pipelines, barges, trucks and terminals that store and transport crude and products.
Last year, the company announced it would sell Speedway to 7-11 in an all-cash deal valued at $21 billion, or $16.5 billion after-tax. The sale transforms the company’s balance sheet and creates options to revisit the corporate structure of MPLX. Many on Wall Street feel that with Speedway removed, the dislocation in refining value becomes even more transparent as the company trades much cheaper than its industry peers do. The deal now is expected to close in the second quarter.
Shareholders receive a 4.36% dividend. The BofA Securities price target is a lofty $83, while the consensus target is at $59.08. Marathon Petroleum stock closed at $53.17 a share on Wednesday.
Rising interest rates are great for banks, and this is a great regional idea for investors looking to add financial to portfolios. M&T Bank Corp. (NYSE: MTB) operates as the holding company for Manufacturers and Traders Trust Company and for Wilmington Trust, National Association.
Its Business Banking segment offers deposits, business loans and leases and credit cards, as well as cash management, payroll and letters of credit services to small businesses and professionals. The Commercial Banking segment provides credit and banking services for middle-market and large commercial customers. Its Retail Banking segment offers demand, saving, and time accounts; consumer installment loans, automobile and recreational finance loans, home equity loans and lines of credit, and credit cards; mutual funds and annuities; and other services.
The Commercial Real Estate segment offers multifamily residential and commercial real estate credit and deposit services. The Residential Mortgage Banking segment offers residential real estate loans for consumers and sells those loans in the secondary market, and it purchases servicing rights to loans originated by other entities.
The Discretionary Portfolio segment provides deposits; securities, residential real estate loans, and other assets; and short-term and long-term borrowed funds, as well as foreign exchange services. The company also provides trust and wealth management; fiduciary and custodial; investment management; and insurance agency services.
M&T Bank stock investors receive a 2.98% dividend. The $190 BofA Securities price target compares with the posted $162.98 consensus target and Wednesday’s last trade of $147.77 a share.
This stock has made a nice run off the lows and is also on the US 1 List of top stocks to Buy at BofA Securities. NRG Energy Inc. (NYSE: NRG) is an integrated independent power producer that owns and operates 27 gigawatts (GW) of conventional and renewable generating capacity in the United States and serves 3 million retail customers in Texas and the Northeast.