Valero Energy (NYSE:VLO) Trading Down 4.2% After Analyst Downgrade

Valero Energy Corporation (NYSE:VLO) shares dropped 4.2% during mid-day trading on Friday after Piper Sandler lowered their price target on the stock from $223.00 to $217.00. Piper Sandler currently has an overweight rating on the stock. Valero Energy traded as low as $182.61 and last traded at $183.3680. Approximately 2,252,264 shares traded hands during trading, a decline of 58% from the average daily volume of 5,315,714 shares. The stock had previously closed at $191.32.

Other research analysts have also issued research reports about the stock. TD Cowen raised their price objective on shares of Valero Energy from $162.00 to $165.00 and gave the company a “hold” rating in a research note on Friday, October 24th. Morgan Stanley lowered shares of Valero Energy from an “overweight” rating to an “equal weight” rating and increased their target price for the stock from $160.00 to $175.00 in a report on Friday, October 3rd. Raymond James Financial reissued a “strong-buy” rating and issued a $195.00 price target (up previously from $181.00) on shares of Valero Energy in a research report on Friday, October 24th. Erste Group Bank began coverage on Valero Energy in a research report on Monday, November 10th. They set a “buy” rating on the stock. Finally, Wells Fargo & Company increased their price objective on Valero Energy from $216.00 to $220.00 and gave the company an “overweight” rating in a research note on Monday, November 10th. Three research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating and eight have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $183.00.

Insider Buying and Selling at Valero Energy

In other news, CFO Jason W. Fraser sold 9,933 shares of the firm’s stock in a transaction on Friday, November 21st. The shares were sold at an average price of $174.02, for a total value of $1,728,540.66. Following the sale, the chief financial officer directly owned 134,196 shares in the company, valued at approximately $23,352,787.92. This trade represents a 6.89% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.04% of the company’s stock.

Key Stories Impacting Valero Energy

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

• Positive Sentiment: Reports that Venezuelan oil shipments could resume indefinitely lifted expectations that refiners will get incremental feedstock and crude arbitrage opportunities, supporting earlier upside in VLO. Valero Energy Stock Climbs On Reports Of Indefinite Venezuelan Oil Flows And Eased Sanctions
• Positive Sentiment: President Trump’s planned meetings with major oil companies about rebuilding Venezuela’s industry raise the prospect of expedited permission or support that could benefit refiners and fuel suppliers. Trump to Meet With Chevron and Other Oil Companies on Venezuela. What We Know.
• Positive Sentiment: JPMorgan raised its price target to $200 and kept an overweight rating, signaling bullish analyst conviction that supports upside. Analyst Price Target Move
• Positive Sentiment: Fundamental write-ups highlight Valero’s operational flexibility and value characteristics—its ability to process diverse crude and shift yields can help margins in volatile markets. How Valero’s Operational Flexibility Drives Profitability
• Neutral Sentiment: Unusually high options volume indicates elevated trader interest and potential for short-term volatility, but it does not reveal directional conviction on its own. Valero Energy Sees Unusually High Options Volume (NYSE:VLO)
• Neutral Sentiment: Piper Sandler trimmed its price target slightly (from $223 to $217) but kept an overweight view; mixed analyst tweaks leave the consensus outlook positive but nuanced. Analyst Price Target Adjustment
• Negative Sentiment: Coverage caution: some analysts and commentaries warn the Venezuela narrative may be overplayed—major oil companies are likely to move slowly and are seeking guarantees before investing, which could delay any tangible benefit to refiners. Bessent says largest oil companies are likely to move slower in Venezuela
• Negative Sentiment: Critical pieces argue the Venezuela story is hype and that operational, legal and political obstacles could prevent sustained benefits—raising downside risk if optimism fades. Valero Energy: Sell The Venezuela Hype

Institutional Trading of Valero Energy

A number of institutional investors have recently bought and sold shares of the business. Montecito Bank & Trust raised its position in Valero Energy by 1.4% in the 4th quarter. Montecito Bank & Trust now owns 3,909 shares of the oil and gas company’s stock valued at $636,000 after purchasing an additional 54 shares during the last quarter. NorthCrest Asset Manangement LLC increased its stake in Valero Energy by 0.5% in the fourth quarter. NorthCrest Asset Manangement LLC now owns 109,188 shares of the oil and gas company’s stock valued at $19,716,000 after purchasing an additional 528 shares during the period. Gryphon Financial Partners LLC raised its holdings in shares of Valero Energy by 10.7% in the fourth quarter. Gryphon Financial Partners LLC now owns 2,231 shares of the oil and gas company’s stock valued at $363,000 after buying an additional 215 shares during the last quarter. Maridea Wealth Management LLC boosted its stake in shares of Valero Energy by 2.7% during the fourth quarter. Maridea Wealth Management LLC now owns 2,562 shares of the oil and gas company’s stock worth $417,000 after buying an additional 68 shares during the period. Finally, Nordea Investment Management AB grew its holdings in shares of Valero Energy by 51.3% during the fourth quarter. Nordea Investment Management AB now owns 92,328 shares of the oil and gas company’s stock worth $14,938,000 after buying an additional 31,296 shares during the last quarter. 78.69% of the stock is owned by hedge funds and other institutional investors.

Valero Energy Stock Performance

The stock has a market cap of $55.94 billion, a PE ratio of 38.29, a price-to-earnings-growth ratio of 1.05 and a beta of 0.77. The stock has a fifty day moving average of $172.65 and a 200-day moving average of $159.00. The company has a quick ratio of 1.09, a current ratio of 1.60 and a debt-to-equity ratio of 0.36.

Valero Energy (NYSE:VLO) last announced its earnings results on Thursday, October 23rd. The oil and gas company reported $3.66 earnings per share for the quarter, beating the consensus estimate of $3.15 by $0.51. Valero Energy had a return on equity of 8.69% and a net margin of 1.21%.The company had revenue of $32.17 billion for the quarter, compared to the consensus estimate of $28.80 billion. During the same period last year, the business posted $1.14 EPS. The company’s revenue was down 2.2% on a year-over-year basis. On average, equities analysts forecast that Valero Energy Corporation will post 7.92 EPS for the current year.

Valero Energy Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, December 18th. Shareholders of record on Thursday, November 20th were paid a $1.13 dividend. This represents a $4.52 annualized dividend and a yield of 2.5%. The ex-dividend date of this dividend was Thursday, November 20th. Valero Energy’s payout ratio is currently 94.36%.

Valero Energy Company Profile

Valero Energy Corporation is a San Antonio, Texas–based integrated downstream energy company that manufactures and markets transportation fuels, petrochemical feedstocks and other industrial products. The company’s operations focus on refining crude oil into finished fuels such as gasoline, diesel and jet fuel, as well as producing asphalt and other refined product streams for commercial and industrial customers.

In addition to refining, Valero has significant operations in renewable fuels, including the production of ethanol and other biofuels, and it manages an extensive logistics network of pipelines, terminals, rail and marine assets to move feedstocks and finished products.