Herd Of Investors Is Moving Into Valero Energy Corporation (VLO)

Valero Energy Corporation (VLO) will probably climb 51.12 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $165price as 12-month high target. This represents a whopping 113.12 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $104.5, which represents a return potential of 34.98 percent when compared to the closing price of the stock of $77.42 on Thursday, January 10. The lowest price target for the stock is $72 — slightly more than -7 percent from VLO’s current share price.

The stock is currently hovering around the first support level of $76.47. Below this, the next support is placed in the zone of $75.52. Till the time, the VLO stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 52.29 on daily chart, which may remain a cause for concern. If the price breaks below $75.52 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $78.22 mark may result into a pull-back move towards $79.02 level.

On 10th of January, Valero Energy Corporation (NYSE:VLO) shares ended higher after a volatile session. The shares accumulated 0.13 points or 0.17 percent at $77.42 with a light trade volume of 3.817 million shares. After opening the session at $77.47, the shares went as high as $78.07 and as low as $76.32, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $32.9 billion and now has 425 million shares outstanding. Valero Energy Corporation (VLO) stock has gained 5.51 percent of market value in 21 trading days.

VLO stock has a trailing 3-year beta of 1.02, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was $6.2 a share in the trailing twelve months. The stock’s value has surged 3.27 percent year to date (YTD) against a decline of -17.73 percent in 12 month’s time. The company’s shares still trade -39.03 percent away from its 1-year high of $126.98 and 12.51 percent up from 52-week low of $68.81. The average consensus rating on the company is 2.2, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Valero Energy Corporation (VLO) are trading at a P/E ratio of 19.14 times earnings reported for the past 12 months. The industry VLO operates in has an average P/E of 22.68. Its P/E ratio went as low as 5.56X and as high as 13.87 over the 5-year span. Further, it is sporting a 0.29 on the Price-to-Sales ratio. Compare this with the industry average P/S of 1.11. 8.7 percent is the gross profit margin for Valero Energy Corporation and operating margin sits at 3.6 percent. Along with this, the net profit margin is 4 percent.

Let’s take a look at some insider activity at Valero Energy Corporation (NYSE:VLO) and see the pattern. The earliest insider trade took place on 12/11/2018. Weisenburger Randall J gathered a total of 25 thousand shares of company at average share price of $72.74. The total for the purchase was set at $1.82 million. After this transaction, the Director account balance stood at 53.72 thousand shares. The stock grew 6.43 percent since that insider purchase. On 10/29/2018, Eberhart Paulett, Director, purchased 0.06 thousand shares at a price per share of $86.23. This added 5.17 thousand shares to the insider’s fortune and the stock saw a -10.22 percent retreat in value since the news became public. This transaction left 4.22 thousand shares in the Director account.

On 07/30/2018, Director Waters Stephen M performed a sale transaction worth $116.76 thousand. This sale at $116.76 each has eliminated 1 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -33.69 percent decrease since the transaction was reported. The insider now is left with 7.46 thousand shares remaining in the account. Waters Stephen M, who performs the Director job, sold 1 thousand shares for $121.04 thousand. The disposal occurred on 05/23/2018 was priced at $121.04 per share. The share price plunged -36.04 percent since the reporting date. Waters Stephen M now left with a stake of 8.46 thousand VLO stock worth $655.28 thousand after the insider selling.