Valero Energy (NYSE:VLO) Rating Increased to Strong-Buy at Zacks Research

Zacks Research upgraded shares of Valero Energy (NYSE:VLO) from a hold rating to a strong-buy rating in a report published on Tuesday morning,Zacks.com reports.

Other analysts also recently issued research reports about the company. Weiss Ratings upgraded Valero Energy from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 23rd. Citigroup increased their price target on shares of Valero Energy from $259.00 to $302.00 and gave the company a “neutral” rating in a research report on Tuesday, July 14th. Wells Fargo & Company lifted their price target on shares of Valero Energy from $292.00 to $356.00 and gave the stock an “overweight” rating in a research note on Friday, July 31st. Barclays boosted their price objective on shares of Valero Energy from $279.00 to $323.00 and gave the stock an “overweight” rating in a report on Friday, July 31st. Finally, The Goldman Sachs Group increased their target price on shares of Valero Energy from $286.00 to $357.00 and gave the company a “buy” rating in a report on Wednesday, July 22nd. Two analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $288.00.

Valero Energy Stock Performance

NYSE VLO opened at $302.10 on Tuesday. Valero Energy has a 52-week low of $130.78 and a 52-week high of $320.24. The company has a fifty day moving average of $274.40 and a 200-day moving average of $241.68. The company has a market capitalization of $89.70 billion, a P/E ratio of 12.54, a P/E/G ratio of 0.21 and a beta of 0.55. The company has a debt-to-equity ratio of 0.37, a quick ratio of 1.23 and a current ratio of 1.64.

Valero Energy (NYSE:VLO) last released its quarterly earnings results on Thursday, July 30th. The oil and gas company reported $12.54 earnings per share for the quarter, beating analysts’ consensus estimates of $10.11 by $2.43. Valero Energy had a return on equity of 26.74% and a net margin of 5.17%.The business had revenue of $44.48 billion for the quarter, compared to the consensus estimate of $39.47 billion. During the same quarter last year, the business posted $2.28 earnings per share. The company’s revenue for the quarter was up 48.8% on a year-over-year basis. As a group, equities research analysts predict that Valero Energy will post 39.19 EPS for the current fiscal year.

Valero Energy Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, August 31st. Stockholders of record on Friday, July 31st will be given a $1.20 dividend. This represents a $4.80 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend is Friday, July 31st. Valero Energy’s dividend payout ratio (DPR) is currently 19.92%.

Insider Activity

In related news, SVP Eric A. Fisher sold 7,500 shares of the stock in a transaction dated Monday, June 29th. The shares were sold at an average price of $268.17, for a total value of $2,011,275.00. Following the completion of the transaction, the senior vice president directly owned 19,742 shares of the company’s stock, valued at $5,294,212.14. This represents a 27.53% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 0.36% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in VLO. State Street Corp grew its stake in Valero Energy by 0.9% in the fourth quarter. State Street Corp now owns 18,177,191 shares of the oil and gas company’s stock worth $2,959,065,000 after purchasing an additional 163,975 shares during the period. Charles Schwab Investment Management Inc. grew its position in shares of Valero Energy by 0.5% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 11,950,982 shares of the oil and gas company’s stock worth $1,945,500,000 after buying an additional 63,919 shares during the period. Norges Bank purchased a new stake in shares of Valero Energy in the 4th quarter worth about $1,111,542,000. Franklin Resources Inc. increased its stake in shares of Valero Energy by 7.5% in the 4th quarter. Franklin Resources Inc. now owns 5,668,210 shares of the oil and gas company’s stock worth $922,728,000 after acquiring an additional 394,693 shares in the last quarter. Finally, Bank of America Corp DE lifted its position in Valero Energy by 11.4% during the 1st quarter. Bank of America Corp DE now owns 5,033,310 shares of the oil and gas company’s stock valued at $1,243,630,000 after acquiring an additional 516,975 shares during the period. Institutional investors own 78.69% of the company’s stock.

More Valero Energy News

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

• Positive Sentiment: Zacks upgraded Valero to Rank #1, or “Strong Buy.” The upgrade reflects improving expectations for Valero’s earnings and could support additional near-term buying interest. The stock was also added to Zacks’ strong-buy lists for growth, value and income investors. All You Need to Know About Valero Energy Rating Upgrade to Strong Buy
• Positive Sentiment: TD Cowen raised its price target to $350. The higher target implies continued confidence in Valero’s earnings outlook and refining-market performance. TD Cowen Boosts Valero Energy Price Target
• Positive Sentiment: Valero’s second-quarter results showed broad-based strength. Stronger refining, renewable diesel and ethanol profits boosted earnings and cash flow. The company reported $12.54 in EPS, substantially above the $10.11 consensus estimate, while revenue rose 48.8% year over year to $44.48 billion. How Valero’s Q2 Refining and Renewable Diesel Surge Reshapes 2026
• Neutral Sentiment: Analyst views remain mixed. Mizuho lifted its price target from $289 to $300 but retained a neutral rating, while TD Cowen continued to rate the shares Hold. These ratings suggest the stock’s strong run may already reflect much of the positive outlook. TD Cowen Sticks to Its Hold Rating

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.