The Analyst Verdict: Valvoline In The Eyes Of 7 Experts

Analysts' ratings for Valvoline VVV over the last quarter vary from bullish to bearish, as provided by 7 analysts.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $45.0, a high estimate of $49.00, and a low estimate of $42.00. Observing a downward trend, the current average is 7.02% lower than the prior average price target of $48.40.

Deciphering Analyst Ratings: An In-Depth Analysis

A comprehensive examination of how financial experts perceive Valvoline is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Valvoline. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Valvoline compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Capture valuable insights into Valvoline's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Valvoline analyst ratings.

About Valvoline

Valvoline Inc produces, markets, and sells automotive maintenance products, particularly lubricants, to retail outlets installers, and customers. The company offers various products such as engine oil, heavy-duty engine oil, motorcycle oil, grease and brake fluid, and others. Geographically, the majority of the revenue is generated from the United States of America.

Breaking Down Valvoline's Financial Performance

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Valvoline's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 11.67% as of 30 September, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: Valvoline's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 21.19% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Valvoline's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 63.2%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Valvoline's ROA stands out, surpassing industry averages. With an impressive ROA of 3.83%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Valvoline's debt-to-equity ratio is notably higher than the industry average. With a ratio of 7.4, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.