Key Takeaways From Valero Energy Analyst Ratings

Valero Energy VLO underwent analysis by 4 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Valero Energy and provided 12-month price targets. The average target is $168.75, accompanied by a high estimate of $210.00 and a low estimate of $149.00. This upward trend is evident, with the current average reflecting a 10.47% increase from the previous average price target of $152.75.

Exploring Analyst Ratings: An In-Depth Overview

A clear picture of Valero Energy's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines 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 Valero Energy. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Valero Energy compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Valero Energy's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Valero Energy's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Valero Energy analyst ratings.

About Valero Energy

Valero Energy is one of the largest independent refiners in the United States. It operates 15 refineries with a total throughput capacity of 3.2 million barrels a day in the United States, Canada, and the United Kingdom. Valero also owns 12 ethanol plants with capacity of 1.6 billion gallons a year and holds a 50% stake in Diamond Green Diesel, which has capacity to produce 1.2 billion gallons per year of renewable diesel.

Unraveling the Financial Story of Valero Energy

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Revenue Challenges: Valero Energy's revenue growth over 3 months faced difficulties. As of 31 December, 2023, the company experienced a decline of approximately -15.17%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 3.39%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Valero Energy's ROE excels beyond industry benchmarks, reaching 4.58%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Valero Energy's ROA stands out, surpassing industry averages. With an impressive ROA of 1.9%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: With a below-average debt-to-equity ratio of 0.48, Valero Energy adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Basics of Analyst Ratings

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

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