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MARATHON PETROLEUM CORPORATION (MPC) — WACC Analysis

WACC Breakdown

MARATHON PETROLEUM CORPORATION (MPC) has a weighted average cost of capital (WACC) of 6.9%. The cost of equity is 8.1%, derived from a beta of 0.69 and a risk-free rate of 4.7%. The after-tax cost of debt is 3.2%. The capital structure is 75.7% equity and 24.3% debt.

Interpretation

A WACC of 6.9% suggests that the market views MARATHON PETROLEUM CORPORATION as relatively low-risk, with a lower cost of financing.

Investors can compare MPC's WACC of 6.9% against industry peers to gauge its relative financing costs. A beta of 0.69 reflects the stock's volatility relative to the broader market.

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VALUATION

MPC WACC: 6.91% for MARATHON PETROLEUM CORPORATION

Current inputs imply a 8.09% cost of equity and a 4.10% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
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[02]
WACC Calculation Process
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Market Data Loaded
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Company Data Fetched
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Beta Calculated (5Y)
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Inputs Auto-Populated
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WACC Calculated
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Step 2: Enter Ticker Symbol
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Step 4: Review Auto-Populated WACC Inputs

Values are automatically populated from real data. You can adjust them manually if needed.

4.30%
1.000
4.23%
5.00%
21.00%
70.00%
Debt: 30.00%Equity: 70.00%

Please enter a valid company ticker to calculate WACC

MARATHON PETROLEUM CORPORATION Common Stock (MPC) WACC Results
Weighted Average Cost of Capital
6.91%
Cost of Equity
8.09%
Risk-Free Rate4.73%
Beta0.69
Market Risk Premium4.23%
Cost of Debt
3.24%
Pre-Tax Cost of Debt4.10%
Tax Rate21.00%
Tax Shield0.86%
Capital Structure
Equity: 75.70%($103.58B)
Debt: 24.30%($33.26B)
Equity Component
6.12%
75.70% × 8.09%
Debt Component
0.79%
24.30% × 3.24%

MARATHON PETROLEUM CORPORATION (MPC) WACC in context

MARATHON PETROLEUM CORPORATION (MPC) currently screens with an estimated WACC of 6.91%. That blends a 8.09% cost of equity, a 4.10% pre-tax cost of debt, and a 75.70% equity weight into the discount rate you would typically use in a DCF model.

screens as a relatively low discount rate, which usually supports higher DCF values.

What MPC WACC implies

A 6.91% discount rate screens as a relatively low discount rate, which usually supports higher DCF values.

How this page calculates MPC

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.69 and equity accounts for 75.70% of capital.

What to do next

Validate business quality on the company page, then carry the same discount-rate assumptions into the DCF page to test fair value sensitivity.

Disclaimer: This is not financial advice. Data sourced from SEC EDGAR and Polygon.io. Past performance does not guarantee future results. Always conduct your own research before making investment decisions.

MPC WACC: 6.91% — MARATHON PETROLEUM CORPORATION Cost of Capital (September 2026) | DeepViews