Valero Energy (NYSE:VLO) Reaches New 12-Month High After Analyst Upgrade

Valero Energy Corporation (NYSE:VLO)’s share price reached a new 52-week high on Tuesday after Citigroup raised their price target on the stock from $190.00 to $212.00. Citigroup currently has a neutral rating on the stock. Valero Energy traded as high as $204.14 and last traded at $201.43, with a volume of 1948385 shares traded. The stock had previously closed at $202.68.

A number of other equities analysts have also commented on VLO. Erste Group Bank started coverage on Valero Energy in a research note on Monday, November 10th. They issued a “buy” rating on the stock. UBS Group reaffirmed a “buy” rating on shares of Valero Energy in a report on Tuesday, January 6th. Bank of America reiterated a “neutral” rating and set a $195.00 price target (down from $198.00) on shares of Valero Energy in a report on Thursday, December 11th. TD Cowen increased their price objective on Valero Energy from $162.00 to $165.00 and gave the company a “hold” rating in a research report on Friday, October 24th. Finally, Zacks Research downgraded shares of Valero Energy from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 20th. One equities research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and ten have given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $187.67.

Insider Activity

In related news, CFO Jason W. Fraser sold 9,933 shares of the company’s stock in a transaction on Friday, November 21st. The stock was sold at an average price of $174.02, for a total value of $1,728,540.66. Following the completion of the transaction, the chief financial officer directly owned 134,196 shares in the company, valued at approximately $23,352,787.92. This represents a 6.89% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Corporate insiders own 0.37% of the company’s stock.

Hedge Funds Weigh In On Valero Energy

Hedge funds have recently made changes to their positions in the business. Highline Wealth Partners LLC boosted its position in shares of Valero Energy by 70.2% during the 3rd quarter. Highline Wealth Partners LLC now owns 160 shares of the oil and gas company’s stock valued at $27,000 after acquiring an additional 66 shares in the last quarter. JPL Wealth Management LLC bought a new position in Valero Energy during the third quarter worth about $27,000. Torren Management LLC bought a new position in Valero Energy during the fourth quarter worth about $30,000. Hantz Financial Services Inc. boosted its holdings in Valero Energy by 1,277.8% during the second quarter. Hantz Financial Services Inc. now owns 248 shares of the oil and gas company’s stock valued at $33,000 after purchasing an additional 230 shares in the last quarter. Finally, Global Wealth Strategies & Associates bought a new stake in shares of Valero Energy in the 3rd quarter valued at approximately $34,000. Institutional investors and hedge funds own 78.69% of the company’s stock.

Valero Energy Stock Performance

The company has a current ratio of 1.60, a quick ratio of 1.09 and a debt-to-equity ratio of 0.36. The stock has a fifty day moving average price of $177.52 and a 200-day moving average price of $165.96. The firm has a market capitalization of $61.44 billion, a price-to-earnings ratio of 26.37, a PEG ratio of 1.09 and a beta of 0.77.

Valero Energy (NYSE:VLO) last announced its quarterly earnings results on Thursday, January 29th. The oil and gas company reported $3.82 EPS for the quarter, beating the consensus estimate of $3.27 by $0.55. Valero Energy had a return on equity of 12.34% and a net margin of 1.91%.The business had revenue of $30.37 billion for the quarter, compared to analyst estimates of $28.20 billion. During the same quarter in the previous year, the firm earned $0.64 EPS. Valero Energy’s quarterly revenue was down 1.2% on a year-over-year basis. As a group, analysts anticipate that Valero Energy Corporation will post 7.92 earnings per share for the current fiscal year.

Valero Energy Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 9th. Stockholders of record on Thursday, February 5th will be issued a $1.20 dividend. This represents a $4.80 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Thursday, February 5th. This is a positive change from Valero Energy’s previous quarterly dividend of $1.13. Valero Energy’s payout ratio is currently 62.83%.

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.