Valero Energy (NYSE:VLO) Sets New 12-Month High – What’s Next?

Valero Energy Corporation (NYSE:VLO)’s stock price hit a new 52-week high on Wednesday . The company traded as high as $193.33 and last traded at $190.1220, with a volume of 539832 shares traded. The stock had previously closed at $184.73.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the company. Barclays lifted their price objective on Valero Energy from $169.00 to $184.00 and gave the company an “overweight” rating in a research report on Monday, November 17th. Mizuho restated a “neutral” rating and issued a $192.00 price objective (up from $190.00) on shares of Valero Energy in a report on Friday, December 12th. Erste Group Bank began coverage on shares of Valero Energy in a research report on Monday, November 10th. They issued a “buy” rating for the company. Wall Street Zen cut shares of Valero Energy from a “buy” rating to a “hold” rating in a research note on Saturday, January 3rd. Finally, JPMorgan Chase & Co. upped their target price on shares of Valero Energy from $197.00 to $200.00 and gave the stock an “overweight” rating in a report on Thursday, January 8th. Three analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and eight have assigned a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $183.00.

Valero Energy Trading Up 2.6%

The company has a market capitalization of $57.81 billion, a price-to-earnings ratio of 39.58, a P/E/G ratio of 1.09 and a beta of 0.77. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.60 and a quick ratio of 1.09. The business’s 50-day moving average price is $174.18 and its two-hundred day moving average price is $161.85.

Valero Energy (NYSE:VLO) last posted its quarterly earnings results on Thursday, October 23rd. The oil and gas company reported $3.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.15 by $0.51. Valero Energy had a net margin of 1.21% and a return on equity of 8.69%. The business had revenue of $32.17 billion for the quarter, compared to analyst estimates of $28.80 billion. During the same quarter last year, the business posted $1.14 EPS. The firm’s revenue for the quarter was down 2.2% on a year-over-year basis. Research analysts predict that Valero Energy Corporation will post 7.92 earnings per share for the current year.

Valero Energy Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, December 18th. Investors of record on Thursday, November 20th were issued a dividend of $1.13 per share. The ex-dividend date of this dividend was Thursday, November 20th. This represents a $4.52 annualized dividend and a dividend yield of 2.4%. Valero Energy’s dividend payout ratio (DPR) is 94.36%.

Insider Activity at Valero Energy

In other news, CFO Jason W. Fraser sold 9,933 shares of the firm’s stock in a transaction on Friday, November 21st. The shares were sold at an average price of $174.02, for a total transaction of $1,728,540.66. Following the completion of the transaction, the chief financial officer owned 134,196 shares of the company’s stock, valued at approximately $23,352,787.92. This trade represents a 6.89% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.37% of the company’s stock.

Institutional Investors Weigh In On Valero Energy

A number of hedge funds have recently added to or reduced their stakes in VLO. Montecito Bank & Trust increased its holdings in Valero Energy by 1.4% during the fourth quarter. Montecito Bank & Trust now owns 3,909 shares of the oil and gas company’s stock worth $636,000 after buying an additional 54 shares during the last quarter. Waddell & Associates LLC increased its stake in shares of Valero Energy by 2.8% during the 3rd quarter. Waddell & Associates LLC now owns 2,040 shares of the oil and gas company’s stock worth $347,000 after purchasing an additional 56 shares during the last quarter. DSG Capital Advisors LLC raised its holdings in shares of Valero Energy by 1.6% in the 3rd quarter. DSG Capital Advisors LLC now owns 3,803 shares of the oil and gas company’s stock worth $647,000 after purchasing an additional 60 shares during the period. Cypress Capital Group lifted its stake in Valero Energy by 0.3% in the third quarter. Cypress Capital Group now owns 18,786 shares of the oil and gas company’s stock valued at $3,199,000 after purchasing an additional 63 shares during the last quarter. Finally, Private Trust Co. NA grew its holdings in Valero Energy by 2.0% during the third quarter. Private Trust Co. NA now owns 3,381 shares of the oil and gas company’s stock valued at $576,000 after purchasing an additional 65 shares during the period. Institutional investors and hedge funds own 78.69% of the company’s stock.

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.