Valero Energy (NYSE:VLO) Stock Price Down 3.3% – What’s Next?

Valero Energy Corporation (NYSE:VLO) shares were down 3.3% during mid-day trading on Thursday. The company traded as low as $437.02 and last traded at $444.4450. Approximately 2,512,636 shares traded hands during trading, a decline of 24% from the average session volume of 3,322,583 shares. The stock had previously closed at $459.78.

Trending Headlines about Valero Energy

Here are the key news stories impacting Valero Energy this week:

• Positive Sentiment: Analysts raised their price targets: Wells Fargo lifted its target to $485 from $389 and upgraded VLO to “overweight.” Citigroup also raised its target to $485 from $302, although it retained a “neutral” rating. The revisions reflect stronger expectations for refining profitability and provide a bullish signal for investor sentiment. Wells Fargo Adjusts Price Target on Valero Energy Citigroup Raises VLO Target to $485
• Positive Sentiment: Refining-margin outlook remains favorable: Valero’s ability to source discounted heavy sour crude, including Canadian and potentially Venezuelan supplies, could support margins by lowering feedstock costs and improving refinery economics. Can Valero’s Heavy Crude Advantage Support Stronger Refining Margins?
• Positive Sentiment: Recent operating momentum is strong: Coverage points to resilient fuel demand and tighter product supply as key reasons Valero returned to substantial profitability. VLO was also included in a Zacks list of top-ranked growth stocks. What Did Valero Stock Investors Miss Before the Run?
• Neutral Sentiment: Earnings are approaching: Valero is scheduled to report quarterly results next week. Analysts expect earnings growth, and Erste Group raised its fiscal-year EPS estimates, but it continues to rate the shares “hold.” Valero Energy Set to Announce Quarterly Earnings
• Negative Sentiment: Beat expectations are not especially strong: Zacks says VLO lacks the combination of estimate revisions and earnings-surprise factors that typically signal a likely earnings beat. That caution may weigh on the stock ahead of results, particularly after its substantial recent advance. Valero Energy Earnings Expected to Grow

Analysts Set New Price Targets

Several research firms recently weighed in on VLO. Barclays upped their price objective on shares of Valero Energy from $323.00 to $441.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 6th. Erste Group Bank lowered shares of Valero Energy from a “buy” rating to a “hold” rating in a research report on Thursday, August 27th. Zacks Research upgraded shares of Valero Energy from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 4th. Jefferies Financial Group cut their price target on shares of Valero Energy from $401.00 to $394.00 and set a “hold” rating for the company in a research note on Thursday, October 8th. Finally, The Goldman Sachs Group increased their price target on shares of Valero Energy from $365.00 to $457.00 and gave the stock a “buy” rating in a report on Wednesday, September 23rd. Two research analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $382.62.

Valero Energy Trading Down 3.3%

The stock has a fifty day moving average of $377.35 and a two-hundred day moving average of $301.37. The company has a market capitalization of $127.97 billion, a PE ratio of 18.44, a PEG ratio of 0.29 and a beta of 0.59. The company has a current ratio of 1.64, a quick ratio of 1.23 and a debt-to-equity ratio of 0.37.

Valero Energy (NYSE:VLO) last issued its quarterly earnings results on Thursday, July 30th. The oil and gas company reported $12.54 EPS for the quarter, beating analysts’ consensus estimates of $10.11 by $2.43. The business had revenue of $44.48 billion for the quarter, compared to analysts’ expectations of $39.47 billion. Valero Energy had a net margin of 5.17% and a return on equity of 26.74%. The business’s quarterly revenue was up 48.8% on a year-over-year basis. During the same period last year, the business earned $2.28 earnings per share. As a group, sell-side analysts anticipate that Valero Energy Corporation will post 51.77 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of VLO. Bank of America Corp DE boosted its position in Valero Energy by 11.4% during the 1st quarter. Bank of America Corp DE now owns 5,033,310 shares of the oil and gas company’s stock valued at $1,243,630,000 after buying an additional 516,975 shares during the period. Bank of New York Mellon Corp boosted its position in Valero Energy by 9.4% during the 1st quarter. Bank of New York Mellon Corp now owns 2,969,320 shares of the oil and gas company’s stock valued at $733,660,000 after acquiring an additional 254,604 shares in the last quarter. Arrowstreet Capital Limited Partnership grew its stake in Valero Energy by 18.4% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,842,339 shares of the oil and gas company’s stock worth $702,285,000 after purchasing an additional 442,177 shares during the period. Amundi grew its stake in Valero Energy by 45.3% in the first quarter. Amundi now owns 2,584,976 shares of the oil and gas company’s stock worth $638,695,000 after purchasing an additional 806,018 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its holdings in Valero Energy by 33.9% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,058,341 shares of the oil and gas company’s stock worth $536,074,000 after purchasing an additional 520,642 shares in the last quarter. Hedge funds and other institutional investors own 78.69% of the company’s stock.

About Valero Energy

Valero Energy Corporation is an international petroleum refining, renewable fuels and marketing company headquartered in San Antonio, Texas. Founded in 1980, the company processes crude oil and other feedstocks into transportation fuels and other products used by commercial, industrial and consumer customers.

Valero’s refined products include gasoline, diesel, jet fuel, asphalt, lubricants and petrochemical feedstocks. The company also produces and markets ethanol and renewable diesel, including through its Diamond Green Diesel joint venture with Darling Ingredients.