ST. PETERSBURG, Fla. — Retail gasoline margins averaged around 18 cents per gallon in the first quarter of 2015, according to CSPnet.com.
The research was compiled by Raymond James & Associates, noted the article.
“This represents a 40 [percent] decline sequentially from the 31-CPG margin of fourth-quarter 2014, a 10-year high. It was 13 [percent] higher than the year-ago quarter,” said the article.
February saw a five-year low in retail margins for regular gasoline, stated the article, but March levels were 30 percent higher than one year ago.
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The West saw the greatest margin improvement at 37 percent, shared the article. The Northeast saw an increase to 17 percent and Midwest levels rose to eight percent. The Southeast and Texas remained relatively flat.
“While the 1Q margin capture may exceed our expectations for the group and lower fuel prices present a potential demand catalyst, we remain neutral across the majority of our convenience retail coverage given what we see as limited multiple expansion from near-record valuation levels and risk of fuel margins compressing while lapping record (or near-record) year-ago margins 2H15,” the Raymond James report said in the article.
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