Valero Energy (NYSE:VLO) Reaches New 12-Month High – What’s Next?

Valero Energy Corporation (NYSE:VLO)’s stock price reached a new 52-week high during trading on Tuesday. The company traded as high as $450.22 and last traded at $445.6490, with a volume of 375,738 shares changing hands. The stock had previously closed at $436.00.

Analyst Upgrades and Downgrades

Several brokerages have commented on VLO. Citigroup boosted their price target on shares of Valero Energy from $259.00 to $302.00 and gave the stock a “neutral” rating in a research note on Tuesday, July 14th. Mizuho upped their price target on shares of Valero Energy from $300.00 to $434.00 and gave the company a “neutral” rating in a research note on Thursday, October 8th. Piper Sandler lifted their price target on shares of Valero Energy from $329.00 to $435.00 and gave the stock an “overweight” rating in a research note on Thursday, September 3rd. Jefferies Financial Group decreased their price objective on shares of Valero Energy from $401.00 to $394.00 and set a “hold” rating for the company in a report on Thursday, October 8th. Finally, Wells Fargo & Company raised their price target on Valero Energy from $356.00 to $389.00 and gave the company an “overweight” rating in a research note on Tuesday, September 1st. Two research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Valero Energy presently has an average rating of “Moderate Buy” and an average target price of $365.19.

Valero Energy Price Performance

The firm has a market capitalization of $129.48 billion, a PE ratio of 18.66, a P/E/G ratio of 0.28 and a beta of 0.59. The firm’s fifty day moving average price is $371.24 and its 200 day moving average price is $298.31. 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 posted its earnings results on Thursday, July 30th. The oil and gas company reported $12.54 earnings per share (EPS) for the quarter, beating the consensus estimate of $10.11 by $2.43. Valero Energy had a net margin of 5.17% and a return on equity of 26.74%. The firm had revenue of $44.48 billion during the quarter, compared to analysts’ expectations of $39.47 billion. During the same period in the previous year, the business posted $2.28 EPS. The business’s revenue was up 48.8% compared to the same quarter last year. As a group, equities analysts forecast that Valero Energy Corporation will post 51.31 earnings per share for the current year.

Valero Energy Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, August 31st. Stockholders of record on Friday, July 31st were issued a dividend of $1.20 per share. This represents a $4.80 annualized dividend and a dividend yield of 1.1%. The ex-dividend date was Friday, July 31st. Valero Energy’s payout ratio is currently 19.92%.

Institutional Investors Weigh In On Valero Energy

A number of hedge funds have recently modified their holdings of VLO. Bank of America Corp DE raised its position in Valero Energy by 11.4% in the first 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 purchasing an additional 516,975 shares during the period. Bank of New York Mellon Corp lifted its position in shares of Valero Energy by 9.4% during the first quarter. Bank of New York Mellon Corp now owns 2,969,320 shares of the oil and gas company’s stock worth $733,660,000 after purchasing an additional 254,604 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its stake in Valero Energy by 18.4% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,842,339 shares of the oil and gas company’s stock worth $702,285,000 after buying an additional 442,177 shares during the period. Amundi boosted its holdings 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 valued at $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 grew its stake in Valero Energy by 33.9% during the 2nd 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.

Valero Energy Company Profile

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.