Valero Energy Corporation (NYSE:VLO) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of Valero Energy Corporation (NYSE:VLO) have earned a consensus rating of “Moderate Buy” from the twenty-one analysts that are presently covering the stock, Marketbeat Ratings reports. One analyst has rated the stock with a sell recommendation, eight have assigned a hold recommendation, ten have given a buy recommendation and two have given a strong buy recommendation to the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $301.7647.

A number of equities research analysts recently weighed in on VLO shares. The Goldman Sachs Group upped their price objective on Valero Energy from $286.00 to $357.00 and gave the stock a “buy” rating in a research note on Wednesday, July 22nd. Mizuho boosted their target price on shares of Valero Energy from $289.00 to $300.00 and gave the stock a “neutral” rating in a report on Tuesday, August 4th. Citigroup increased their price target on shares of Valero Energy from $259.00 to $302.00 and gave the company a “neutral” rating in a research report on Tuesday, July 14th. Zacks Research upgraded shares of Valero Energy from a “hold” rating to a “strong-buy” rating in a report on Tuesday, August 4th. Finally, Morgan Stanley lifted their price objective on shares of Valero Energy from $232.00 to $255.00 and gave the stock an “equal weight” rating in a research report on Friday, June 12th.

Key Valero Energy News

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

• Positive Sentiment: Strong refining margins support profitability. Tight refined-product markets, relatively low diesel inventories and firm distillate demand are improving fuel crack spreads. Valero’s flexible coastal refinery network may allow it to capture these margins while global refining capacity remains constrained. Will Tight Refined Product Markets Support Valero’s Profitability?
• Positive Sentiment: Energy-market tailwinds are lifting the sector. Crude prices above $100 per barrel, amid concerns about shipping attacks and wider Middle East supply disruptions, have supported energy and refining stocks. Valero Energy gains as strong refining margins and energy-market tailwinds support shares
• Positive Sentiment: Recent earnings and estimates remain favorable. Valero’s latest reported quarter produced $12.54 in EPS versus a $10.11 consensus estimate, while revenue rose 48.8% year over year. Erste Group Bank also raised its 2026 EPS forecast to $43.31 from $42.76, above the current consensus estimate of $41.15.
• Positive Sentiment: Analyst and quantitative support add to bullish sentiment. UBS recently raised its price target to $450 while maintaining a Buy rating, and Zacks included VLO among its Rank #1 “Strong Buy” growth stocks. A reported bullish order-flow signal also attracted trading attention. Valero Energy Shares Up 2% After Key Trading Signal
• Neutral Sentiment: Institutional positioning is mixed. Hundreds of institutions added shares in the latest quarter, but several large investors reduced their holdings, including T. Rowe Price, Ameriprise, Victory Capital and Geode.
• Negative Sentiment: Insider selling is a cautionary signal. Valero insiders reportedly made three open-market sales totaling approximately 22,500 shares over the past six months, with no reported purchases. In addition, some published analyst targets remain well below the current share price, highlighting valuation risk if refining margins weaken.

Insider Transactions at Valero Energy

In other news, SVP Eric Fisher sold 7,500 shares of the company’s stock in a transaction on Monday, June 29th. The stock was sold at an average price of $268.17, for a total transaction of $2,011,275.00. Following the transaction, the senior vice president directly owned 19,742 shares of the company’s stock, valued at approximately $5,294,212.14. This represents a 27.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.36% of the company’s stock.

Institutional Trading of Valero Energy

A number of institutional investors have recently made changes to their positions in the business. Sierra Summit Advisors LLC lifted its holdings in shares of Valero Energy by 2,325.2% in the 4th quarter. Sierra Summit Advisors LLC now owns 36,378 shares of the oil and gas company’s stock valued at $5,922,000 after buying an additional 34,878 shares during the period. Meiji Yasuda Asset Management Co Ltd. grew its holdings in Valero Energy by 846.9% during the fourth quarter. Meiji Yasuda Asset Management Co Ltd. now owns 14,752 shares of the oil and gas company’s stock worth $2,401,000 after acquiring an additional 13,194 shares during the period. North Dakota State Investment Board acquired a new stake in Valero Energy during the fourth quarter worth about $1,743,000. Fort Washington Investment Advisors Inc. OH raised its position in Valero Energy by 4.2% during the first quarter. Fort Washington Investment Advisors Inc. OH now owns 192,430 shares of the oil and gas company’s stock valued at $47,546,000 after acquiring an additional 7,702 shares in the last quarter. Finally, Ethic Inc. raised its position in Valero Energy by 10.2% during the fourth quarter. Ethic Inc. now owns 45,008 shares of the oil and gas company’s stock valued at $7,327,000 after acquiring an additional 4,153 shares in the last quarter. Institutional investors and hedge funds own 78.69% of the company’s stock.

Valero Energy Trading Up 1.4%

NYSE:VLO opened at $390.81 on Friday. The firm has a market cap of $112.53 billion, a P/E ratio of 16.22, a P/E/G ratio of 0.44 and a beta of 0.57. Valero Energy has a one year low of $155.29 and a one year high of $399.26. The company has a debt-to-equity ratio of 0.37, a quick ratio of 1.23 and a current ratio of 1.64. The firm has a 50-day simple moving average of $327.00 and a 200-day simple moving average of $271.31.

Valero Energy (NYSE:VLO) last posted its earnings results on Thursday, July 30th. The oil and gas company reported $12.54 earnings per share for the quarter, topping analysts’ consensus estimates of $10.11 by $2.43. Valero Energy had a return on equity of 26.74% and a net margin of 5.17%.The company had revenue of $44.48 billion during the quarter, compared to analyst estimates of $39.47 billion. During the same quarter in the prior year, the business earned $2.28 earnings per share. Valero Energy’s revenue was up 48.8% on a year-over-year basis. Equities analysts anticipate that Valero Energy will post 41.95 EPS for the current fiscal year.

Valero Energy Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, August 31st. Shareholders of record on Friday, July 31st were issued a $1.20 dividend. This represents a $4.80 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend was Friday, July 31st. Valero Energy’s payout ratio is currently 19.92%.

Valero Energy Company Profile

Valero Energy Corporation is an international energy company headquartered in San Antonio, Texas. Its primary business is refining crude oil into transportation fuels and other products, including gasoline, diesel, jet fuel, asphalt, lubricants and petrochemical feedstocks.

Valero operates refineries and related facilities in the United States, Canada and the United Kingdom, and markets its products through wholesale and commercial channels in North America and other international markets.