Erste Group Bank Expects Stronger Earnings for Valero Energy

Valero Energy Corporation (NYSE:VLO) – Stock analysts at Erste Group Bank lifted their FY2026 earnings estimates for shares of Valero Energy in a research report issued to clients and investors on Thursday, June 25th. Erste Group Bank analyst H. Engel now expects that the oil and gas company will post earnings per share of $28.12 for the year, up from their prior estimate of $27.70. The consensus estimate for Valero Energy’s current full-year earnings is $27.45 per share. Erste Group Bank also issued estimates for Valero Energy’s FY2027 earnings at $21.03 EPS.

Valero Energy (NYSE:VLO) last released its quarterly earnings results on Thursday, April 30th. The oil and gas company reported $4.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.16 by $1.06. Valero Energy had a net margin of 3.37% and a return on equity of 15.94%. The firm had revenue of $32.38 billion for the quarter, compared to the consensus estimate of $31.38 billion. During the same quarter in the previous year, the firm posted $0.89 EPS. The firm’s quarterly revenue was up 7.0% on a year-over-year basis.

A number of other brokerages have also issued reports on VLO. Morgan Stanley lifted their target price on Valero Energy from $232.00 to $255.00 and gave the stock an “equal weight” rating in a research report on Friday, June 12th. Wolfe Research reissued an “underperform” rating and issued a $203.00 price target on shares of Valero Energy in a report on Tuesday, April 21st. Mizuho raised their price objective on Valero Energy from $222.00 to $289.00 and gave the company a “neutral” rating in a research note on Wednesday, May 27th. TD Cowen lifted their price objective on Valero Energy from $276.00 to $292.00 and gave the stock a “hold” rating in a report on Monday. Finally, Raymond James Financial upped their target price on Valero Energy from $215.00 to $290.00 and gave the company a “strong-buy” rating in a research report on Wednesday, March 25th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $246.53.

Valero Energy Stock Performance

NYSE:VLO opened at $260.62 on Wednesday. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.58 and a quick ratio of 1.15. The firm has a 50-day moving average of $247.50 and a two-hundred day moving average of $218.91. The stock has a market cap of $77.39 billion, a P/E ratio of 18.94, a PEG ratio of 0.38 and a beta of 0.55. Valero Energy has a 1-year low of $130.78 and a 1-year high of $272.17.

Valero Energy Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 23rd. Stockholders of record on Thursday, May 21st were given a dividend of $1.20 per share. The ex-dividend date of this dividend was Thursday, May 21st. This represents a $4.80 annualized dividend and a dividend yield of 1.8%. Valero Energy’s dividend payout ratio (DPR) is presently 34.88%.

Insider Activity at Valero Energy

In related news, SVP Eric A. Fisher sold 7,500 shares of Valero Energy stock in a transaction dated Monday, June 29th. The stock was 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 in the company, valued at approximately $5,294,212.14. This trade represents a 27.53% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.36% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the company. Sapient Capital LLC grew its position in shares of Valero Energy by 724.2% in the 1st quarter. Sapient Capital LLC now owns 34,361 shares of the oil and gas company’s stock worth $8,491,000 after acquiring an additional 30,192 shares in the last quarter. Pacer Advisors Inc. lifted its stake in Valero Energy by 15.0% during the first quarter. Pacer Advisors Inc. now owns 1,092,978 shares of the oil and gas company’s stock worth $270,053,000 after purchasing an additional 142,451 shares during the last quarter. First National Bank of Mount Dora Trust Investment Services boosted its holdings in Valero Energy by 245.0% in the first quarter. First National Bank of Mount Dora Trust Investment Services now owns 17,954 shares of the oil and gas company’s stock worth $4,436,000 after purchasing an additional 12,750 shares during the period. Parallel Advisors LLC boosted its holdings in Valero Energy by 15.2% in the first quarter. Parallel Advisors LLC now owns 2,850 shares of the oil and gas company’s stock worth $704,000 after purchasing an additional 376 shares during the period. Finally, NewEdge Advisors LLC increased its stake in Valero Energy by 19.2% during the first quarter. NewEdge Advisors LLC now owns 59,298 shares of the oil and gas company’s stock valued at $14,651,000 after purchasing an additional 9,553 shares during the last quarter. Institutional investors own 78.69% of the company’s stock.

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.