Brokerages Expect Valero Energy Co. (VLO) Will Post Earnings of $1.09 Per Share

Equities analysts predict that Valero Energy Co. (NYSE:VLO) will announce earnings of $1.09 per share for the current quarter, according to Zacks Investment Research. Three analysts have issued estimates for Valero Energy’s earnings, with the highest EPS estimate coming in at $1.41 and the lowest estimate coming in at $0.65. Valero Energy posted earnings per share of $1.16 in the same quarter last year, which indicates a negative year over year growth rate of 6%. The company is scheduled to announce its next quarterly earnings results on Thursday, February 7th.

On average, analysts expect that Valero Energy will report full-year earnings of $6.30 per share for the current fiscal year, with EPS estimates ranging from $5.65 to $6.65. For the next fiscal year, analysts forecast that the company will post earnings of $9.32 per share, with EPS estimates ranging from $8.02 to $11.89. Zacks’ earnings per share calculations are an average based on a survey of sell-side analysts that cover Valero Energy.

Valero Energy (NYSE:VLO) last posted its earnings results on Thursday, October 25th. The oil and gas company reported $2.01 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.95 by $0.06. Valero Energy had a net margin of 3.96% and a return on equity of 11.90%. The company had revenue of $30.85 billion for the quarter, compared to analyst estimates of $31.82 billion.

A number of research analysts have recently commented on VLO shares. Goldman Sachs Group downgraded shares of Valero Energy from a “neutral” rating to a “sell” rating in a research report on Friday, October 19th. ValuEngine downgraded shares of Valero Energy from a “buy” rating to a “hold” rating in a report on Tuesday, September 4th. Morgan Stanley dropped their price objective on shares of Valero Energy from $145.00 to $135.00 and set a “buy” rating for the company in a research note on Monday, October 29th. Citigroup lifted their price objective on shares of Valero Energy from $125.00 to $134.00 and gave the stock a “buy” rating in a research note on Friday, September 7th. Finally, Credit Suisse Group upgraded shares of Valero Energy from a “neutral” rating to an “outperform” rating and dropped their target price for the company from $135.00 to $120.00 in a research report on Thursday, November 1st. Two equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating and twelve have given a buy rating to the company. The company presently has a consensus rating of “Hold” and an average price target of $117.80.

Shares of NYSE:VLO traded up $0.59 during midday trading on Thursday, reaching $79.20. 4,243,968 shares of the company were exchanged, compared to its average volume of 4,741,664. The firm has a market cap of $33.35 billion, a price-to-earnings ratio of 15.97, a PEG ratio of 0.64 and a beta of 1.15. Valero Energy has a fifty-two week low of $78.00 and a fifty-two week high of $126.98. The company has a quick ratio of 0.99, a current ratio of 1.59 and a debt-to-equity ratio of 0.39.

The company also recently announced a quarterly dividend, which will be paid on Wednesday, December 12th. Stockholders of record on Tuesday, November 20th will be issued a $0.80 dividend. This represents a $3.20 annualized dividend and a dividend yield of 4.04%. The ex-dividend date is Monday, November 19th. Valero Energy’s dividend payout ratio is 64.52%.

A number of large investors have recently added to or reduced their stakes in the stock. FMR LLC raised its position in shares of Valero Energy by 71.1% in the 2nd quarter. FMR LLC now owns 16,436,742 shares of the oil and gas company’s stock worth $1,821,684,000 after purchasing an additional 6,831,581 shares during the last quarter. Rehmann Capital Advisory Group grew its stake in shares of Valero Energy by 11,863.7% during the 3rd quarter. Rehmann Capital Advisory Group now owns 1,063,694 shares of the oil and gas company’s stock valued at $9,351,000 after purchasing an additional 1,054,803 shares during the period. Alliancebernstein L.P. grew its stake in shares of Valero Energy by 86.3% during the 3rd quarter. Alliancebernstein L.P. now owns 2,119,846 shares of the oil and gas company’s stock valued at $241,132,000 after acquiring an additional 982,198 shares during the period. Janus Henderson Group PLC grew its stake in shares of Valero Energy by 47.4% during the 3rd quarter. Janus Henderson Group PLC now owns 2,590,296 shares of the oil and gas company’s stock valued at $294,647,000 after acquiring an additional 832,413 shares during the period. Finally, AQR Capital Management LLC boosted its stake in Valero Energy by 10.3% in the 3rd quarter. AQR Capital Management LLC now owns 8,371,097 shares of the oil and gas company’s stock worth $952,212,000 after purchasing an additional 781,426 shares during the period. Institutional investors and hedge funds own 77.72% of the company’s stock.

About Valero Energy

Valero Energy Corporation operates as an independent petroleum refining and ethanol producing company. It operates through three segments: Refining, Ethanol, and VLP (Valero Energy Partners LP). The company is involved in oil and gas refining, marketing, and bulk selling activities. It produces conventional and premium gasolines, gasoline meeting the specifications of the California Air Resources Board (CARB), diesel fuels, low-sulfur and ultra-low-sulfur diesel fuels, CARB diesel, other distillates, jet fuels, asphalts, petrochemicals, lubricants, and other refined petroleum products.

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