Valero Energy (NYSE:VLO) Stock Jumps 1.2% – Here’s Why

Valero Energy Corporation (NYSE:VLO)’s stock price was up 1.2% during trading on Friday. The stock traded as high as $380.67 and last traded at $379.5840. Approximately 2,178,768 shares changed hands during trading, a decline of 34% from the average daily volume of 3,303,816 shares. The stock had previously closed at $374.95.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. Mizuho increased their target price on Valero Energy from $434.00 to $436.00 and gave the company a “neutral” rating in a report on Monday, November 2nd. Morgan Stanley lifted their price target on Valero Energy from $411.00 to $420.00 and gave the stock an “equal weight” rating in a research note on Monday, November 2nd. Jefferies Financial Group dropped their price target on Valero Energy from $401.00 to $394.00 and set a “hold” rating for the company in a research report on Thursday, October 8th. UBS Group reissued a “buy” rating and issued a $467.00 price objective (up from $355.00) on shares of Valero Energy in a research note on Tuesday, October 6th. Finally, The Goldman Sachs Group raised their price objective on Valero Energy from $457.00 to $496.00 and gave the company a “buy” rating in a report on Friday, October 9th. Three analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating, eight have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, Valero Energy presently has an average rating of “Moderate Buy” and an average target price of $406.32.

Valero Energy Stock Performance

The stock has a 50-day moving average of $399.72 and a 200 day moving average of $293.11. The stock has a market cap of $105.86 billion, a PE ratio of 8.54, a P/E/G ratio of 0.19 and a beta of 0.58. The company has a quick ratio of 1.33, a current ratio of 1.72 and a debt-to-equity ratio of 0.32.

Valero Energy (NYSE:VLO) last issued its earnings results on Thursday, October 22nd. The oil and gas company reported $23.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $21.17 by $2.73. Valero Energy had a return on equity of 45.90% and a net margin of 8.44%. The company had revenue of $46.10 billion during the quarter, compared to analysts’ expectations of $42.71 billion. During the same period in the prior year, the business earned $3.66 EPS. The firm’s quarterly revenue was up 43.3% on a year-over-year basis. Equities analysts predict that Valero Energy Corporation will post 58.33 EPS for the current fiscal year.

Valero Energy Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, December 21st. Stockholders of record on Tuesday, November 24th will be given a dividend of $1.20 per share. The ex-dividend date of this dividend is Tuesday, November 24th. This represents a $4.80 annualized dividend and a dividend yield of 1.3%. Valero Energy’s payout ratio is presently 10.80%.

Institutional Investors Weigh In On Valero Energy

Several hedge funds and other institutional investors have recently bought and sold shares of VLO. Moore Capital Management LP acquired a new stake in Valero Energy during the second quarter worth $13,193,000. QRG Capital Management Inc. lifted its stake in shares of Valero Energy by 5.5% in the 2nd quarter. QRG Capital Management Inc. now owns 58,558 shares of the oil and gas company’s stock valued at $15,251,000 after purchasing an additional 3,037 shares during the last quarter. QP Wealth Management LLC acquired a new position in shares of Valero Energy in the 3rd quarter valued at $1,423,000. Atlatl Advisers LLC acquired a new position in shares of Valero Energy in the 3rd quarter valued at $10,206,000. Finally, Jennison Associates LLC grew its holdings in shares of Valero Energy by 377.1% during the 1st quarter. Jennison Associates LLC now owns 413,437 shares of the oil and gas company’s stock worth $102,152,000 after purchasing an additional 326,777 shares during the period. 78.69% of the stock is currently owned by institutional investors and hedge funds.

About Valero Energy

Valero Energy Corporation is an international refiner and producer of transportation fuels and other petroleum products, headquartered in San Antonio, Texas. Its refining business processes crude oil and other feedstocks into products such as gasoline, diesel, jet fuel, asphalt and petrochemical feedstocks. The company markets and distributes fuels to wholesale customers and through branded distribution networks. Its refining operations span the United States, Canada and the United Kingdom, with products serving customers in North America and other markets.