Jefferies maintained a Buy rating on Murphy USA (NYSE: MUSA), and cut the price target to $85.00 (from $89.00), following the company's 3Q earnings report. MUSA reported 3Q EPS results of $1.16 vs. $1.60 consensus. However, nearly all fundamental drivers to the L-T thesis remains intact and MUSA continues to execute on what it can control.

Analyst Christopher Mandeville commented, "Though 3Q EPS disappointed (largely on PS&W) and 4Q sets up no better given a 2nd set of transitory issues, fundamentals remain strong and key tenants to our Buy rating (merch. GM% outperformance, strong opex/store control, a 5% FCF yield next yr., BS optionality, strong ROIC) remain intact. For L-T investors seeking a high quality operator with solid ~10% L-T EPS growth, we believe valuation has been derisked at current levels and recommend buying on weakness."

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 $65.44 yesterday.