Jefferies Starts Murphy USA (MUSA) at Buy

Jefferies initiates coverage on Murphy USA (NYSE: MUSA) with a Buy rating and a price target of $74.00.

Analyst Christopher Mandeville commented, "With a clearer albeit more modest path to store growth post WMT contract, we believe MUSA's low operating cost structure, industry leading productivity/returns metrics, recent steps to optimize fuel margins, and current capital programs ($500M total) can still afford the company the ability to deliver low teens EPS growth thru 2018. Longer term, MUSA will likely deploy solid FCF and/or utilize a healthy balance sheet to further enhance shareholder returns."

For an analyst ratings summary and ratings history on Murphy USA click here. For more ratings news on Murphy USA click here.

Shares of Murphy USA closed at $59.43 yesterday.

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