Valvoline (NYSE:VVV) Shares Gap Down – Should You Sell?

Shares of Valvoline (NYSE:VVV) gapped down prior to trading on Wednesday . The stock had previously closed at $39.28, but opened at $36.40. Valvoline shares last traded at $37.26, with a volume of 608,819 shares trading hands.

Analyst Upgrades and Downgrades

VVV has been the topic of a number of analyst reports. Royal Bank Of Canada lowered their price objective on shares of Valvoline from $47.00 to $46.00 and set an “outperform” rating on the stock in a research report on Thursday. New Street Research set a $47.00 price objective on shares of Valvoline in a research report on Monday, July 20th. Barclays raised their target price on shares of Valvoline from $35.00 to $41.00 and gave the stock an “equal weight” rating in a research note on Tuesday, July 21st. Stifel Nicolaus lifted their target price on shares of Valvoline from $42.00 to $44.00 and gave the company a “buy” rating in a report on Monday, May 11th. Finally, JPMorgan Chase & Co. upgraded shares of Valvoline from an “underweight” rating to a “neutral” rating and set a $35.00 price target on the stock in a research note on Friday, May 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $42.56.

Valvoline Stock Performance

The stock’s 50 day moving average price is $38.07 and its two-hundred day moving average price is $35.79. The company has a current ratio of 0.70, a quick ratio of 0.61 and a debt-to-equity ratio of 3.77. The firm has a market capitalization of $4.51 billion, a price-to-earnings ratio of 44.48 and a beta of 1.00.

Valvoline (NYSE:VVV) last announced its quarterly earnings data on Wednesday, August 5th. The basic materials company reported $0.57 EPS for the quarter, beating the consensus estimate of $0.50 by $0.07. The firm had revenue of $544.60 million during the quarter, compared to analysts’ expectations of $543.21 million. Valvoline had a net margin of 5.17% and a return on equity of 65.12%. The business’s revenue for the quarter was up 24.1% compared to the same quarter last year. During the same quarter last year, the business earned $0.47 earnings per share. Valvoline has set its FY 2026 guidance at 1.700-1.750 EPS. On average, analysts forecast that Valvoline will post 1.74 EPS for the current year.

Insider Activity at Valvoline

In other news, CFO J Kevin Willis purchased 10,000 shares of the firm’s stock in a transaction dated Thursday, May 14th. The shares were acquired at an average price of $31.80 per share, with a total value of $318,000.00. Following the purchase, the chief financial officer directly owned 32,725 shares of the company’s stock, valued at $1,040,655. The trade was a 44.00% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Richard Joseph Freeland purchased 3,100 shares of the stock in a transaction that occurred on Thursday, May 14th. The stock was purchased at an average price of $32.37 per share, for a total transaction of $100,347.00. Following the acquisition, the director owned 16,112 shares in the company, valued at approximately $521,545.44. This trade represents a 23.82% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have purchased a total of 14,100 shares of company stock valued at $450,877 in the last 90 days. Insiders own 0.66% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Royal Bank of Canada grew its stake in Valvoline by 298.5% in the 1st quarter. Royal Bank of Canada now owns 253,447 shares of the basic materials company’s stock valued at $8,822,000 after acquiring an additional 189,842 shares during the last quarter. Goldman Sachs Group Inc. grew its position in shares of Valvoline by 4.6% in the first quarter. Goldman Sachs Group Inc. now owns 858,584 shares of the basic materials company’s stock valued at $29,887,000 after purchasing an additional 37,657 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in shares of Valvoline by 4.5% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 487,609 shares of the basic materials company’s stock worth $16,974,000 after purchasing an additional 20,947 shares in the last quarter. Jane Street Group LLC increased its stake in shares of Valvoline by 15.7% during the 1st quarter. Jane Street Group LLC now owns 124,071 shares of the basic materials company’s stock worth $4,319,000 after purchasing an additional 16,865 shares in the last quarter. Finally, Creative Planning raised its position in shares of Valvoline by 40.1% during the 2nd quarter. Creative Planning now owns 8,225 shares of the basic materials company’s stock worth $311,000 after purchasing an additional 2,353 shares during the last quarter. Hedge funds and other institutional investors own 96.13% of the company’s stock.

Valvoline Company Profile

Valvoline (NYSE: VVV) is a leading global producer and distributor of automotive and industrial lubricants. The company’s portfolio spans engine oils, gear oils, transmission fluids, greases, coolants and driveline products, all designed to help improve vehicle performance and longevity. Valvoline’s products are marketed under the Valvoline®, Valvoline NextGen® and Valvoline™ SynPower® brand names and are formulated to meet the stringent requirements of passenger cars, light trucks, heavy‐duty vehicles and off‐road applications.

In addition to its core lubricant business, Valvoline operates one of North America’s largest quick‐lubricant service networks through Valvoline Instant Oil Change℠ (VIOC).