Valero Energy (NYSE:VLO) Shares Gap Up – Should You Buy?

Shares of Valero Energy Corporation (NYSE:VLO) gapped up prior to trading on Monday . The stock had previously closed at $165.31, but opened at $179.69. Valero Energy shares last traded at $182.9790, with a volume of 2,833,760 shares trading hands.

Key Stories Impacting Valero Energy

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

• Positive Sentiment: Reports that Venezuelan oil sanctions will be eased and shipments to the U.S. could resume indefinitely, which would benefit complex refiners like Valero by increasing feedstock availability and margins. Valero Energy Stock Climbs On Reports Of Indefinite Venezuelan Oil Flows And Eased Sanctions
• Positive Sentiment: Analyst pieces highlight that Venezuelan heavy crude could particularly help integrated refiners (CVX, PSX, VLO) that can process heavier sour barrels — a structural tailwind if access expands. Venezuela’s Heavy Crude Potential: Can CVX, PSX & VLO Benefit?
• Positive Sentiment: BMO (report highlighted on TipRanks) reiterated a Buy rating on Valero with a $195 price target, supporting investor confidence and providing a near-term target above current levels. Valero Energy: Structurally Advantaged Refining… Support Buy Rating
• Positive Sentiment: Media coverage of Michael Burry’s successful prior bet on Valero and recent commentary that VLO could benefit from Venezuelan developments has drawn investor attention and likely short-term buying interest. Michael Burry Was Right About Valero Energy. Is He Right About an AI Bubble?
• Neutral Sentiment: Valero plans to boost gasoline imports to Northern California after the Benicia refinery closure; staying in-market via imports limits customer loss but could pressure margins or increase logistics costs. Valero to keep importing gasoline after Benicia refinery closure
• Neutral Sentiment: Other coverage frames the post-Maduro policy shift as an industry re?opening; this is a multi-month/quarter story — positive if realized, but uncertain on timing and political risk. Valero Energy In The Post Maduro Era
• Negative Sentiment: A critical Seeking Alpha piece warns investors to “Sell The Venezuela Hype,” arguing benefits may be overstated or delayed — a reminder of political, infrastructure and legal risks that could limit near-term upside. Valero Energy: Sell The Venezuela Hype
• Negative Sentiment: Unusually large put-option activity today (significant pickup vs. average) signals some investors are hedging or betting on a pullback, adding short-term downside risk if momentum fades.

Analyst Ratings Changes

A number of equities analysts have commented on VLO shares. Bank of America reiterated a “neutral” rating and issued a $195.00 price objective (down previously from $198.00) on shares of Valero Energy in a report on Thursday, December 11th. Barclays boosted their price target on Valero Energy from $169.00 to $184.00 and gave the stock an “overweight” rating in a research note on Monday, November 17th. Mizuho restated a “neutral” rating and set a $192.00 price objective (up previously from $190.00) on shares of Valero Energy in a research note on Friday, December 12th. Jefferies Financial Group upped their target price on Valero Energy from $181.00 to $194.00 and gave the company a “buy” rating in a research report on Friday, October 10th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Valero Energy in a research report on Wednesday, October 8th. Three analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating and eight have issued a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $183.20.

Valero Energy Trading Up 3.2%

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 market capitalization of $56.09 billion, a P/E ratio of 38.39, a P/E/G ratio of 1.03 and a beta of 0.77. The business’s fifty day simple moving average is $171.96 and its two-hundred day simple moving average is $158.59.

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

Valero Energy Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, December 18th. Investors of record on Thursday, November 20th were paid a $1.13 dividend. The ex-dividend date of this dividend was Thursday, November 20th. This represents a $4.52 dividend on an annualized basis and a yield of 2.5%. Valero Energy’s payout ratio is presently 94.36%.

Insider Transactions at Valero Energy

In other Valero Energy news, CFO Jason W. Fraser sold 9,933 shares of the firm’s stock in a transaction dated 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 in the company, valued at $23,352,787.92. This trade represents a 6.89% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.37% of the stock is owned by company insiders.

Institutional Trading of Valero Energy

Several hedge funds have recently modified their holdings of VLO. Northside Capital Management LLC grew its holdings in shares of Valero Energy by 43.8% during the fourth quarter. Northside Capital Management LLC now owns 2,463 shares of the oil and gas company’s stock worth $401,000 after purchasing an additional 750 shares during the last quarter. Procyon Advisors LLC grew its holdings in Valero Energy by 162.9% during the 4th quarter. Procyon Advisors LLC now owns 22,565 shares of the oil and gas company’s stock worth $3,673,000 after acquiring an additional 13,982 shares during the last quarter. Henrickson Nauta Wealth Advisors Inc. bought a new stake in Valero Energy during the 4th quarter worth about $385,000. CWA Asset Management Group LLC increased its position in Valero Energy by 359.0% in the 4th quarter. CWA Asset Management Group LLC now owns 14,243 shares of the oil and gas company’s stock valued at $2,319,000 after acquiring an additional 11,140 shares in the last quarter. Finally, Sagespring Wealth Partners LLC increased its position in Valero Energy by 5.6% in the 4th quarter. Sagespring Wealth Partners LLC now owns 5,275 shares of the oil and gas company’s stock valued at $859,000 after acquiring an additional 280 shares in the last quarter. Institutional investors and hedge funds own 78.69% of the company’s stock.

About Valero Energy

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.