Valero Energy (NYSE:VLO) Sets New 12-Month High Following Analyst Upgrade

Valero Energy Corporation (NYSE:VLO)’s share price hit a new 52-week high during trading on Monday after Citigroup raised their price target on the stock from $259.00 to $302.00. Citigroup currently has a neutral rating on the stock. Valero Energy traded as high as $287.05 and last traded at $287.5160, with a volume of 1931882 shares trading hands. The stock had previously closed at $280.69.

A number of other analysts have also recently commented on the stock. Wells Fargo & Company raised their price objective on Valero Energy from $220.00 to $292.00 and gave the stock an “overweight” rating in a research note on Tuesday, March 31st. Zacks Research downgraded Valero Energy from a “strong-buy” rating to a “hold” rating in a report on Monday, June 22nd. TD Cowen raised their price target on Valero Energy from $276.00 to $292.00 and gave the stock a “hold” rating in a research report on Monday, June 29th. Wolfe Research reiterated an “underperform” rating and set a $203.00 price objective on shares of Valero Energy in a report on Tuesday, April 21st. Finally, Raymond James Financial boosted their price objective on Valero Energy from $300.00 to $340.00 and gave the company a “strong-buy” rating in a research report on Monday. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $253.06.

Insiders Place Their Bets

In other Valero Energy news, SVP Eric A. Fisher sold 7,500 shares of the stock in a transaction dated 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 completion of the transaction, the senior vice president owned 19,742 shares in the company, valued at approximately $5,294,212.14. This represents a 27.53% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.36% of the company’s stock.

Key Valero Energy News

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

• Positive Sentiment: Citigroup raised its price target on Valero Energy to $302 from $259, while Raymond James lifted its target to $340 and reiterated a strong-buy view, signaling continued analyst confidence in the stock’s outlook.
• Positive Sentiment: Valero saw unusually large call option buying, with 13,172 contracts traded versus an average of 8,412, suggesting traders are positioning for further upside.
• Positive Sentiment: Articles citing renewed Middle East tensions and disruptions around the Strait of Hormuz point to higher gasoline and refined-product prices, which can support Valero’s refining margins and earnings.
• Positive Sentiment: Recent coverage also highlighted Valero’s strong stock performance over the past year and year to date, reinforcing momentum-driven interest from investors.
• Neutral Sentiment: Valero was mentioned in broader market commentary about energy stocks benefiting from higher U.S. gas prices, but this was not a company-specific development.
• Neutral Sentiment: A Zacks note said Valero has outperformed the market recently, but it was more of a performance recap than a new fundamental catalyst.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Ballast Inc. raised its position in Valero Energy by 7.4% in the 2nd quarter. Ballast Inc. now owns 6,217 shares of the oil and gas company’s stock valued at $1,619,000 after buying an additional 430 shares during the last quarter. Regent Peak Wealth Advisors LLC acquired a new stake in shares of Valero Energy in the second quarter valued at approximately $205,000. Heck Capital Advisors LLC bought a new stake in shares of Valero Energy in the second quarter worth $286,000. Tema ETFs LLC lifted its position in shares of Valero Energy by 10.2% in the second quarter. Tema ETFs LLC now owns 6,270 shares of the oil and gas company’s stock worth $1,633,000 after purchasing an additional 580 shares in the last quarter. Finally, HRC Wealth Management LLC acquired a new position in Valero Energy during the second quarter worth $208,000. 78.69% of the stock is owned by institutional investors and hedge funds.

Valero Energy Price Performance

The company has a quick ratio of 1.15, a current ratio of 1.58 and a debt-to-equity ratio of 0.39. The company’s fifty day moving average is $255.16 and its 200 day moving average is $226.88. The firm has a market cap of $89.16 billion, a price-to-earnings ratio of 21.82, a PEG ratio of 0.37 and a beta of 0.55.

Valero Energy (NYSE:VLO) last posted its quarterly earnings data on Thursday, April 30th. The oil and gas company reported $4.22 EPS for the quarter, topping analysts’ consensus estimates of $3.16 by $1.06. The company had revenue of $32.38 billion during the quarter, compared to the consensus estimate of $31.38 billion. Valero Energy had a net margin of 3.37% and a return on equity of 15.94%. The company’s quarterly revenue was up 7.0% on a year-over-year basis. During the same period in the prior year, the business posted $0.89 EPS. On average, equities research analysts predict that Valero Energy Corporation will post 31.04 EPS for the current year.

Valero Energy Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 23rd. Shareholders of record on Thursday, May 21st were paid a $1.20 dividend. This represents a $4.80 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date was Thursday, May 21st. Valero Energy’s dividend payout ratio (DPR) is currently 34.88%.

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.