Valero Energy (NYSE:VLO) Reaches New 12-Month High After Analyst Upgrade

Valero Energy Corporation (NYSE:VLO) reached a new 52-week high during mid-day trading on Tuesday after Citigroup raised their price target on the stock from $190.00 to $212.00. Citigroup currently has a neutral rating on the stock. Valero Energy traded as high as $204.14 and last traded at $201.43, with a volume of 1948385 shares changing hands. The stock had previously closed at $202.68.

A number of other equities research analysts have also issued reports on VLO. Argus raised Valero Energy to a “hold” rating in a research report on Monday, February 2nd. Barclays increased their price target on Valero Energy from $169.00 to $184.00 and gave the company an “overweight” rating in a research report on Monday, November 17th. UBS Group restated a “buy” rating on shares of Valero Energy in a report on Tuesday, January 6th. TD Cowen upped their price objective on shares of Valero Energy from $162.00 to $165.00 and gave the company a “hold” rating in a research note on Friday, October 24th. Finally, Mizuho reissued a “neutral” rating and issued a $192.00 target price (up from $190.00) on shares of Valero Energy in a research report on Friday, December 12th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and ten have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $187.67.

Insiders Place Their Bets

In other Valero Energy news, CFO Jason W. Fraser sold 9,933 shares of Valero Energy stock in a transaction dated Friday, November 21st. The stock was sold at an average price of $174.02, for a total transaction of $1,728,540.66. Following the transaction, the chief financial officer owned 134,196 shares of the company’s stock, valued at $23,352,787.92. The trade was a 6.89% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. 0.37% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in VLO. JPL Wealth Management LLC acquired a new position in Valero Energy during the third quarter worth $27,000. Highline Wealth Partners LLC lifted its position in shares of Valero Energy by 70.2% in the third quarter. Highline Wealth Partners LLC now owns 160 shares of the oil and gas company’s stock worth $27,000 after buying an additional 66 shares during the last quarter. Torren Management LLC bought a new stake in shares of Valero Energy during the 4th quarter worth about $30,000. Global Wealth Strategies & Associates acquired a new position in shares of Valero Energy during the 3rd quarter valued at about $34,000. Finally, Cypress Capital Management LLC WY bought a new position in shares of Valero Energy in the 3rd quarter valued at approximately $34,000. 78.69% of the stock is owned by hedge funds and other institutional investors.

Valero Energy Price Performance

The stock has a 50 day moving average of $177.52 and a two-hundred day moving average of $165.96. The company has a debt-to-equity ratio of 0.36, a quick ratio of 1.09 and a current ratio of 1.60. The firm has a market capitalization of $61.44 billion, a P/E ratio of 26.37, a P/E/G ratio of 1.09 and a beta of 0.77.

Valero Energy (NYSE:VLO) last announced its earnings results on Thursday, January 29th. The oil and gas company reported $3.82 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.27 by $0.55. Valero Energy had a return on equity of 12.34% and a net margin of 1.91%.The firm had revenue of $30.37 billion during the quarter, compared to analysts’ expectations of $28.20 billion. During the same quarter in the prior year, the business earned $0.64 earnings per share. The company’s revenue was down 1.2% on a year-over-year basis. Sell-side analysts predict that Valero Energy Corporation will post 7.92 earnings per share for the current fiscal year.

Valero Energy Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 9th. Investors of record on Thursday, February 5th will be paid a $1.20 dividend. This represents a $4.80 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Thursday, February 5th. This is a boost from Valero Energy’s previous quarterly dividend of $1.13. Valero Energy’s dividend payout ratio (DPR) is 62.83%.

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.