Murphy Oil misses Q1 adjusted EBITDA estimates, expects Q2 production to dip slightly

Murphy Oil

06/05/2026 21:44

Overview

U.S. oil and gas producer's Q1 production exceeded co's guidance, driven by strong onshore and offshore output

Adjusted EBITDA for Q1 missed analyst estimates

Q1 capital expenditures were below co's guidance midpoint due to delayed exploration spending

Outlook

Murphy Oil expects Q2 production to dip slightly due to onshore well timing

Company maintains full-year production guidance despite Q2 decline

Murphy Oil keeps 2026 CAPEX guidance unchanged

Result Drivers

HIGHER OIL PRICES - Realized oil price rose 22% quarter-over-quarter to $72.28 per barrel, driven by geopolitical events and volatility in global energy markets

PRODUCTION OUTPERFORMANCE - Q1 production exceeded co's guidance, supported by strong onshore well results, higher offshore uptime, and lower planned downtime from efficient maintenance

COST EFFICIENCY - Operating expenses averaged $8.70 per BOE, below the typical range, mainly due to in-year cost phasing and higher production

Company press release: ID:nBw70F2Cta

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Income
$53 mln
Q1 Adjusted EBITDA
Miss
$382.90 mln
$402.45 mln (9 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 13 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the oil & gas exploration and production peer group is "buy."

Wall Street's median 12-month price target for Murphy Oil Corp is $38.50, about 7.6% below its May 5 closing price of $41.67

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 26 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)