Valero Energy Corporation $VLO Stock: Retirement Systems of Alabama Decreases Stake

Retirement Systems of Alabama decreased its position in Valero Energy Corporation (NYSE:VLO) by 3.2% in the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 60,381 shares of the oil and gas company’s stock after selling 1,998 shares during the quarter. Retirement Systems of Alabama’s holdings in Valero Energy were worth $23,404,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also added to or reduced their stakes in VLO. Bank of America Corp DE grew its position in shares of Valero Energy by 11.4% in the 1st quarter. Bank of America Corp DE now owns 5,033,310 shares of the oil and gas company’s stock worth $1,243,630,000 after buying an additional 516,975 shares during the period. Bank of New York Mellon Corp lifted 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 during the period. Arrowstreet Capital Limited Partnership lifted its position 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 valued at $702,285,000 after acquiring an additional 442,177 shares during the period. Amundi boosted its stake in Valero Energy by 45.3% during the first quarter. Amundi now owns 2,584,976 shares of the oil and gas company’s stock worth $638,695,000 after acquiring an additional 806,018 shares in the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in Valero Energy by 33.9% during 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 acquiring an additional 520,642 shares in the last quarter. Hedge funds and other institutional investors own 78.69% of the company’s stock.

Analysts Set New Price Targets

A number of brokerages have weighed in on VLO. Wells Fargo & Company upped their price objective on shares of Valero Energy from $485.00 to $489.00 and gave the stock an “overweight” rating in a report on Friday, October 23rd. Mizuho lifted their target price on shares of Valero Energy from $434.00 to $436.00 and gave the company a “neutral” rating in a report on Monday, November 2nd. Barclays boosted their price target on Valero Energy from $441.00 to $443.00 and gave the stock an “overweight” rating in a research report on Friday, October 23rd. Piper Sandler upped their price target on Valero Energy from $329.00 to $435.00 and gave the stock an “overweight” rating in a research note on Thursday, September 3rd. Finally, Zacks Research raised Valero Energy from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 4th. Three equities research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $406.32.

Recent Valero Energy Headlines

These are some of the VLO headlines that stood out recently:

• Positive Sentiment: Zacks highlighted Valero for above-average financial growth and included VLO among its Rank #1 (Strong Buy) growth stocks, potentially reinforcing the bullish case for earnings prospects. Article: 3 Reasons Why Growth Investors Shouldn’t Overlook Valero Energy Article: Best Growth Stocks to Buy for November 11th
• Positive Sentiment: The board affirmed Valero’s regular $1.20-per-share quarterly dividend, payable December 21 to shareholders of record November 24. The article also points to discounted heavy crude, favorable freight rates, and renewable-fuels operations as potential business supports. Article: How Investors May Respond to Valero Energy Dividend Affirmation
• Negative Sentiment: Jim Cramer advised investors to sell, arguing that Valero’s refining-cycle rally may be over and that margins could normalize further. This is a caution about the cycle and profit-taking, rather than a reported change in Valero’s operations. Article: Cramer Recommends Selling Valero Energy Stock

Valero Energy Stock Performance

Shares of Valero Energy stock opened at $364.23 on Thursday. The stock has a market cap of $101.58 billion, a price-to-earnings ratio of 8.19, a PEG ratio of 0.18 and a beta of 0.58. The firm’s 50-day moving average is $399.54 and its 200 day moving average is $292.16. Valero Energy Corporation has a 1 year low of $159.90 and a 1 year high of $461.52. The company has a debt-to-equity ratio of 0.32, a current ratio of 1.72 and a quick ratio of 1.33.

Valero Energy (NYSE:VLO) last released its quarterly earnings data on Thursday, October 22nd. The oil and gas company reported $23.90 earnings per share for the quarter, beating analysts’ consensus estimates of $21.17 by $2.73. The business had revenue of $46.10 billion during the quarter, compared to analyst estimates of $42.71 billion. Valero Energy had a net margin of 8.44% and a return on equity of 45.90%. Valero Energy’s revenue was up 43.3% compared to the same quarter last year. During the same period last year, the business earned $3.66 EPS. Sell-side analysts anticipate that Valero Energy Corporation will post 58.33 EPS for the current fiscal year.

Valero Energy Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, December 21st. Stockholders of record on Tuesday, November 24th will be issued a dividend of $1.20 per share. The ex-dividend date is Tuesday, November 24th. This represents a $4.80 dividend on an annualized basis and a dividend yield of 1.3%. Valero Energy’s dividend payout ratio is presently 10.80%.

Valero Energy Profile

Valero Energy Corporation is an international refiner and producer of transportation fuels and other petroleum products, headquartered in San Antonio, Texas. Its refining business processes crude oil and other feedstocks into products such as gasoline, diesel, jet fuel, asphalt and petrochemical feedstocks. The company markets and distributes fuels to wholesale customers and through branded distribution networks. Its refining operations span the United States, Canada and the United Kingdom, with products serving customers in North America and other markets.