Is Valero Energy Stock a Good Investment?
Valero Energy Investment Advice | VLO |
- Examine Valero Energy's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Valero Energy's leadership team and their track record. Good management can help Valero Energy navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Oil & Gas Refining & Marketing space and any emerging trends that could impact Valero Energy's business and its evolving consumer preferences.
- Compare Valero Energy's performance and market position to its competitors. Analyze how Valero Energy is positioned in terms of product offerings, innovation, and market share.
- Check if Valero Energy pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Valero Energy's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Valero Energy stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Valero Energy is a good investment.
Sell | Buy |
Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Valero Energy Stock
Researching Valero Energy's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 84.0% of the company outstanding shares are owned by institutional investors. The company has Price to Book (P/B) ratio of 1.77. Historically many companies with similar price-to-book (P/B) ratio do better than the market in the long run. Valero Energy has Price/Earnings To Growth (PEG) ratio of 0.21. The entity recorded earning per share (EPS) of 11.38. The firm last dividend was issued on the 20th of November 2024. Valero Energy had 1094:1000 split on the 2nd of May 2013.
To determine if Valero Energy is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Valero Energy's research are outlined below:
| Valero Energy generated a negative expected return over the last 90 days | |
| Over 84.0% of the company outstanding shares are owned by institutional investors | |
| Latest headline from news.google.com: Northwest Bancshares Inc. Has 4.45 Million Stock Position in Valero Energy Co. - MarketBeat |
Valero Energy Quarterly Accounts Payable |
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Valero Energy uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Valero Energy. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Valero Energy's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 25th of April 2024 Upcoming Quarterly Report | View | |
| 25th of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 23rd of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Valero Energy's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Valero Energy's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2002-10-30 | 2002-09-30 | 0.06 | 0.07 | 0.01 | 16 | ||
1998-01-22 | 1997-12-31 | 0.07 | 0.06 | -0.01 | 14 | ||
1997-04-17 | 1997-03-31 | 0.08 | 0.07 | -0.01 | 12 | ||
1997-01-21 | 1996-12-31 | 0.08 | 0.09 | 0.01 | 12 | ||
1996-10-24 | 1996-09-30 | 0.07 | 0.06 | -0.01 | 14 | ||
2012-01-31 | 2011-12-31 | -0.19 | -0.21 | -0.02 | 10 | ||
2003-01-28 | 2002-12-31 | 0.18 | 0.2 | 0.02 | 11 | ||
2000-04-20 | 2000-03-31 | 0.12 | 0.14 | 0.02 | 16 |
Know Valero Energy's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Valero Energy is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Valero Energy backward and forwards among themselves. Valero Energy's institutional investor refers to the entity that pools money to purchase Valero Energy's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Norges Bank | 2024-06-30 | 4.5 M | Franklin Resources Inc | 2024-06-30 | 4.4 M | Barclays Plc | 2024-06-30 | 4.2 M | Royal Bank Of Canada | 2024-06-30 | 4.2 M | Amvescap Plc. | 2024-06-30 | 3.5 M | Bank Of New York Mellon Corp | 2024-06-30 | 3.4 M | Northern Trust Corp | 2024-09-30 | 3.3 M | Pacer Advisors, Inc. | 2024-06-30 | 3 M | Legal & General Group Plc | 2024-06-30 | 2.8 M | Vanguard Group Inc | 2024-09-30 | 29.9 M | Blackrock Inc | 2024-06-30 | 26.8 M |
Valero Energy's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 44.7 B.Market Cap |
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Valero Energy's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.14 | 0.15 | |
| Return On Capital Employed | 0.26 | 0.27 | |
| Return On Assets | 0.14 | 0.15 | |
| Return On Equity | 0.34 | 0.35 |
Determining Valero Energy's profitability involves analyzing its financial statements and using various financial metrics to determine if Valero Energy is a good buy. For example, gross profit margin measures Valero Energy's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Valero Energy's profitability and make more informed investment decisions.
Evaluate Valero Energy's management efficiency
Valero Energy has Return on Asset of 0.0511 % which means that on every $100 spent on assets, it made $0.0511 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.138 %, implying that it generated $0.138 on every 100 dollars invested. Valero Energy's management efficiency ratios could be used to measure how well Valero Energy manages its routine affairs as well as how well it operates its assets and liabilities. As of the 21st of November 2024, Return On Tangible Assets is likely to grow to 0.15. Also, Return On Capital Employed is likely to grow to 0.27. At this time, Valero Energy's Debt To Assets are very stable compared to the past year. As of the 21st of November 2024, Return On Assets is likely to grow to 0.15, while Other Current Assets are likely to drop about 654.5 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 80.80 | 84.84 | |
| Tangible Book Value Per Share | 79.55 | 83.53 | |
| Enterprise Value Over EBITDA | 3.62 | 6.69 | |
| Price Book Value Ratio | 1.74 | 0.88 | |
| Enterprise Value Multiple | 3.62 | 6.69 | |
| Price Fair Value | 1.74 | 0.88 | |
| Enterprise Value | 28.9 B | 30.3 B |
The decision-making processes within Valero Energy are key to its success in a competitive market. By evaluating these processes, we assess the stock's potential for future gains.
Dividend Yield 0.0301 | Forward Dividend Yield 0.0301 | Forward Dividend Rate 4.28 | Beta 1.374 |
Basic technical analysis of Valero Stock
As of the 21st of November, Valero Energy has the Coefficient Of Variation of 6566.37, risk adjusted performance of 0.0177, and Semi Deviation of 2.05. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Valero Energy, as well as the relationship between them.Valero Energy's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Valero Energy insiders, such as employees or executives, is commonly permitted as long as it does not rely on Valero Energy's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Valero Energy insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Rayford Wilkins over three months ago Disposition of 428 shares by Rayford Wilkins of Valero Energy at 158.125 subject to Rule 16b-3 |
Valero Energy's Outstanding Corporate Bonds
Valero Energy issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Valero Energy uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Valero bonds can be classified according to their maturity, which is the date when Valero Energy has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| VALERO ENERGY P Corp BondUS91913YAB65 | View | |
| VALE OVERSEAS LTD Corp BondUS91911TAK97 | View | |
| VALE OVERSEAS LTD Corp BondUS91911TAE38 | View | |
| VALE OVERSEAS LTD Corp BondUS91911TAH68 | View | |
| VALERO ENERGY P Corp BondUS91913YAP51 | View | |
| VALERO ENERGY P Corp BondUS91913YAS90 | View | |
| VALERO ENERGY P Corp BondUS91913YAL48 | View | |
| US91911TAQ67 Corp BondUS91911TAQ67 | View |
Understand Valero Energy's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Valero Energy's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0177 | |||
| Market Risk Adjusted Performance | 0.0315 | |||
| Mean Deviation | 1.47 | |||
| Semi Deviation | 2.05 | |||
| Downside Deviation | 2.1 | |||
| Coefficient Of Variation | 6566.37 | |||
| Standard Deviation | 2.0 | |||
| Variance | 4.01 | |||
| Information Ratio | (0.03) | |||
| Jensen Alpha | (0.06) | |||
| Total Risk Alpha | (0.21) | |||
| Sortino Ratio | (0.03) | |||
| Treynor Ratio | 0.0215 | |||
| Maximum Drawdown | 11.46 | |||
| Value At Risk | (3.31) | |||
| Potential Upside | 2.87 | |||
| Downside Variance | 4.4 | |||
| Semi Variance | 4.22 | |||
| Expected Short fall | (1.42) | |||
| Skewness | 0.0914 | |||
| Kurtosis | 1.35 |
| Risk Adjusted Performance | 0.0177 | |||
| Market Risk Adjusted Performance | 0.0315 | |||
| Mean Deviation | 1.47 | |||
| Semi Deviation | 2.05 | |||
| Downside Deviation | 2.1 | |||
| Coefficient Of Variation | 6566.37 | |||
| Standard Deviation | 2.0 | |||
| Variance | 4.01 | |||
| Information Ratio | (0.03) | |||
| Jensen Alpha | (0.06) | |||
| Total Risk Alpha | (0.21) | |||
| Sortino Ratio | (0.03) | |||
| Treynor Ratio | 0.0215 | |||
| Maximum Drawdown | 11.46 | |||
| Value At Risk | (3.31) | |||
| Potential Upside | 2.87 | |||
| Downside Variance | 4.4 | |||
| Semi Variance | 4.22 | |||
| Expected Short fall | (1.42) | |||
| Skewness | 0.0914 | |||
| Kurtosis | 1.35 |
Consider Valero Energy's intraday indicators
Valero Energy intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Valero Energy stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Valero Energy Corporate Filings
| 13th of November 2024 Other Reports | ViewVerify | |
F4 | 8th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 30th of October 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 24th of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
Valero Stock media impact
Far too much social signal, news, headlines, and media speculation about Valero Energy that are available to investors today. That information is available publicly through Valero media outlets and privately through word of mouth or via Valero internal channels. However, regardless of the origin, that massive amount of Valero data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Valero Energy news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Valero Energy relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Valero Energy's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Valero Energy alpha.
Valero Energy Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Valero Energy can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Valero Energy Historical Investor Sentiment
Investor biases related to Valero Energy's public news can be used to forecast risks associated with an investment in Valero. The trend in average sentiment can be used to explain how an investor holding Valero can time the market purely based on public headlines and social activities around Valero Energy. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Valero Energy's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Valero Energy and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Valero Energy news discussions. The higher the estimate score, the more favorable the investor's outlook on Valero Energy.
Valero Energy Corporate Directors
| Randall Weisenburger | Independent Director | Profile | |
| Rayford Wilkins | Independent Director | Profile | |
| Philip Pfeiffer | Independent Director | Profile | |
| Donald Nickles | Independent Director | Profile |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Valero Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of economic analysis. To learn how to invest in Valero Stock, please use our How to Invest in Valero Energy guide.You can also try the Stocks Directory module to find actively traded stocks across global markets.
Is Oil & Gas Refining & Marketing space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Valero Energy. If investors know Valero will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Valero Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.85) | Dividend Share 4.23 | Earnings Share 11.38 | Revenue Per Share 393.974 | Quarterly Revenue Growth (0.15) |
The market value of Valero Energy is measured differently than its book value, which is the value of Valero that is recorded on the company's balance sheet. Investors also form their own opinion of Valero Energy's value that differs from its market value or its book value, called intrinsic value, which is Valero Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Valero Energy's market value can be influenced by many factors that don't directly affect Valero Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Valero Energy's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Valero Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Valero Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.