Is Murphy Oil Corp. overvalued or undervalued?

As of 6 August 2025, the valuation grade for Murphy Oil Corp. moved from very expensive to very attractive, indicating a significant shift in its perceived value. The company appears undervalued, with a P/E ratio of 8, a Price to Book Value of 0.81, and an EV to EBITDA of 3.57, all suggesting that the stock is trading at a discount compared to its earnings and assets.
In comparison to peers, Murphy Oil Corp. has a lower P/E ratio than Antero Resources Corp., which stands at 17.26, and a more favorable EV to EBITDA ratio than Ovintiv, Inc., which is at 3.77. Despite recent underperformance with a YTD return of -10.67% compared to the S&P 500's 12.22%, the long-term outlook remains positive, as evidenced by a 5-year return of 158.91%, outperforming the S&P 500's 96.61%.