Motor Oil – A good entry point – Upgrade to OWN IT (OI)
We believe this is a good entry point to explore MOH’s sensitivity on margins. This stands at E3/sh for every +$1/bbl uplift in margins, on our calculations. Currently at $6/bbl with the historical average at $8.4. With the major shutdown and capex needs behind the upside risks outweigh the downside ones. 80% of volume sold…