We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Valero Energy (VLO) Stock Sinks As Market Gains: What You Should Know
Read MoreHide Full Article
Valero Energy (VLO - Free Report) closed at $109.59 in the latest trading session, marking a -1.56% move from the prior day. This move lagged the S&P 500's daily gain of 0.34%. At the same time, the Dow added 0.1%, and the tech-heavy Nasdaq lost 0.05%.
Heading into today, shares of the oil refiner had lost 1.75% over the past month, lagging the Oils-Energy sector's loss of 0.08% and outpacing the S&P 500's loss of 7.95% in that time.
Valero Energy will be looking to display strength as it nears its next earnings release, which is expected to be October 25, 2022. The company is expected to report EPS of $8.43, up 590.98% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $42.12 billion, up 42.67% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $27.50 per share and revenue of $173.97 billion, which would represent changes of +878.65% and +52.64%, respectively, from the prior year.
Any recent changes to analyst estimates for Valero Energy should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.81% higher. Valero Energy currently has a Zacks Rank of #2 (Buy).
Digging into valuation, Valero Energy currently has a Forward P/E ratio of 4.05. Its industry sports an average Forward P/E of 5.66, so we one might conclude that Valero Energy is trading at a discount comparatively.
We can also see that VLO currently has a PEG ratio of 0.67. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Refining and Marketing was holding an average PEG ratio of 0.46 at yesterday's closing price.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 9, putting it in the top 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Valero Energy (VLO) Stock Sinks As Market Gains: What You Should Know
Valero Energy (VLO - Free Report) closed at $109.59 in the latest trading session, marking a -1.56% move from the prior day. This move lagged the S&P 500's daily gain of 0.34%. At the same time, the Dow added 0.1%, and the tech-heavy Nasdaq lost 0.05%.
Heading into today, shares of the oil refiner had lost 1.75% over the past month, lagging the Oils-Energy sector's loss of 0.08% and outpacing the S&P 500's loss of 7.95% in that time.
Valero Energy will be looking to display strength as it nears its next earnings release, which is expected to be October 25, 2022. The company is expected to report EPS of $8.43, up 590.98% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $42.12 billion, up 42.67% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $27.50 per share and revenue of $173.97 billion, which would represent changes of +878.65% and +52.64%, respectively, from the prior year.
Any recent changes to analyst estimates for Valero Energy should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.81% higher. Valero Energy currently has a Zacks Rank of #2 (Buy).
Digging into valuation, Valero Energy currently has a Forward P/E ratio of 4.05. Its industry sports an average Forward P/E of 5.66, so we one might conclude that Valero Energy is trading at a discount comparatively.
We can also see that VLO currently has a PEG ratio of 0.67. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Refining and Marketing was holding an average PEG ratio of 0.46 at yesterday's closing price.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 9, putting it in the top 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.