Stock of the Day for July 10, 2024

Valero Energy Stock Report

Valero Energy
VLO 90-day performance NYSE:VLO Valero Energy
Current Price
$134.67
-4.47 (-3.21%)
(As of 02/21/2025 03:59 PM ET)
30 Day Performance
-3.67%
  
  
90 Day Performance
-3.69%
  
  
1 Year Performance
-4.88%
  
  
Market Capitalization
$42.63B
P/E Ratio
15.88
Dividend Yield
3.36%

About Valero Energy

Valero Energy Corporation is a Fortune 500 company that operates as an independent petroleum refining and marketing company based in San Antonio, Texas. The company was founded in 1980 and has since grown into one of the largest oil refiners in the United States. Valero Energy Corporation operates 15 refineries with a combined refining capacity of approximately 3.2 million barrels daily, making it the largest independent refiner in North America. Additionally, the company has an extensive network of over 7,000 retail and wholesale branded outlets across the United States, Canada, the United Kingdom, and Ireland.

The leadership team at Valero Energy Corporation is led by Chairman and Chief Executive Officer Joseph W. Gorder, who has been with the company since 1981. Gorder has served in several leadership positions at Valero Energy Corporation, including President and Chief Operating Officer, before being appointed to his current role in 2014. The company's Chief Financial Officer is Jason Fraser, who has been with Valero since 1999. Before being appointed CFO, Mr. Fraser served as General Counsel and Senior Vice President, providing oversight of public policy, planning, government affairs, and investor relations. 

Over the past few years, Valero Energy Corporation has consistently reported strong financial results. The company struggled in 2020 due to investors' concerns regarding the pandemic. However, the company still reported a net income of $1.1 billion for the year, down from $2.4 billion in 2019. Since then, the company has rebounded and reached all-time highs in its stock price. The company's profit margins have also remained strong, with gross profit margins of around 11% and an operating profit margin of about 5%.

Valero Energy Corporation has managed its debt levels well, with a total debt-to-equity ratio average of 0.36. The company's ownership structure has remained relatively stable, with no significant changes in ownership in recent years.

Valero Energy Corporation's valuation metrics include a price-to-earnings ratio and a price-to-book ratio that aligns with industry peers. The company's market capitalization is approximately $50 billion, making it one of the largest independent refiners in North America.

Valero Energy Corporation operates in a highly competitive industry, with significant competition from other independent refiners, integrated oil companies, and biofuel producers. The petroleum refining industry is subject to extensive regulatory oversight, and changes in regulations and political developments can significantly impact the industry's profitability. Additionally, the industry is subject to significant price volatility due to fluctuations in global oil prices.

Despite the industry's challenges, Valero Energy Corporation has several growth opportunities. The company has invested in renewable fuels and advanced technologies to improve its environmental performance, including developing renewable diesel and sustainable aviation fuel. Additionally, the company has announced plans to acquire several new renewable diesel plants, increasing its capacity to produce low-carbon fuels. Valero Energy Corporation is also expanding its retail and wholesale network, with plans to add new locations in strategic markets in the United States and Canada.

However, the company also faces several risks and challenges. Changes in consumer preferences towards electric vehicles and renewable energy could reduce demand for petroleum products, significantly impacting Valero Energy Corporation's revenue and profitability. Additionally, the company's business is subject to significant regulatory and environmental risks and geopolitical risks, such as the impact of international trade policies and sanctions.

Valero Energy Corporation has focused on improving its operational efficiency, reducing costs, and investing in new technologies to improve its environmental performance to mitigate these risks. The company has also maintained a strong balance sheet, focusing on managing its debt levels and maintaining a healthy cash position.

VLO Company Calendar

NOV. 20, 2024
Ex-Dividend for 12/20 Dividend
DEC. 20, 2024
Dividend Payable
JAN. 30, 2025
Last Earnings
JAN. 30, 2025
Ex-Dividend for 3/3 Dividend
FEB. 23, 2025
Today
MAR. 3, 2025
Dividend Payable
APR. 24, 2025
Next Earnings (Estimated)
DEC. 31, 2025
Fiscal Year End

Recent Valero Energy News

Valero Energy Co. (NYSE:VLO) Shares Sold by Pinnacle Financial Partners Inc
Valero Energy Co. (NYSE:VLO) Shares Purchased by Ieq Capital LLC
Valero Energy Q4 Earnings Transcript
CIBC Asset Management Inc Sells 6,386 Shares of Valero Energy Co. (NYSE:VLO)
Those who invested in Valero Energy (NYSE:VLO) five years ago are up 129%
This report was written by MarketBeat.com on February 23, 2025. This report first appeared on MarketBeat.com.