Is Marathon Petroleum (MPC) A Smart Long-Term Buy?

Clark Street Value, an investment management firm, published its fourth-quarter 2021 investor letter – a copy of which can be seen here. An annual portfolio return of 74.99% was recorded by the fund for the year 2021, versus 28.71% for the S&P 500, and an IRR since the inception of 29.12%.  over the same period. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Clark Street Value, in its Q4 2021 investor letter, mentioned Marathon Petroleum Corporation (NYSE: MPC) and discussed its stance on the firm. Marathon Petroleum Corporation is a Findlay, Ohio-based petroleum refineries company with a $45.0 billion market capitalization. MPC delivered a 14.27% return since the beginning of the year, while its 12-month returns are up by 60.63%. The stock closed at $73.12 per share on January 13, 2022.

Here is what Clark Street Value has to say about Marathon Petroleum Corporation in its Q4 2021 investor letter:

“During the worst of covid, I bought some LEAPs on Marathon Petroleum (MPC) as a proxy for Par Pacific (PARR) since long dated options weren’t available on the later.  Those MPC calls expire next month and I’ll take profits, with PARR I’ve reduced my position throughout the year and might sell the rest early next year, I’ve owned it for 6-7 years and it has gone nowhere, they haven’t touched the NOLs, just a difficult business that I probably don’t understand as well as I should.”

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Our calculations show that Marathon Petroleum Corporation (NYSE: MPC) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. MPC was in 43 hedge fund portfolios at the end of the third quarter of 2021, compared to 48 funds in the previous quarter. Marathon Petroleum Corporation (NYSE: MPC) delivered a 60.63% return in the past 3 months.

In March 2021, we published an article that includes MPC  in the Top 10 Energy Dividend Stocks To Invest In. You can find more than 100 investor letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q3 page.

Disclosure: None. This article is originally published at Insider Monkey.