Nuveen LLC Makes New Investment in Valero Energy Corporation (NYSE:VLO)

Key Points

• Nuveen LLC has acquired a significant stake of 4,011,992 shares in Valero Energy, valued at approximately $529.86 million, now owning about 1.28% of the company.
• Valero Energy reported a quarterly earnings per share of $2.28, beating expectations, with a revenue of $29.89 billion, although down 13.3% compared to the previous year.
• The company recently announced a quarterly dividend of $1.13 per share, representing an annualized yield of 3.4%, with a payout ratio of 188.33%.

Nuveen LLC bought a new position in shares of Valero Energy Corporation (NYSE:VLO - Free Report) in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 4,011,992 shares of the oil and gas company's stock, valued at approximately $529,864,000. Nuveen LLC owned approximately 1.28% of Valero Energy as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also modified their holdings of the stock. Vanguard Group Inc. grew its stake in Valero Energy by 12.0% during the 1st quarter. Vanguard Group Inc. now owns 38,881,222 shares of the oil and gas company's stock valued at $5,135,043,000 after acquiring an additional 4,155,522 shares in the last quarter. GAMMA Investing LLC grew its stake in Valero Energy by 15,395.5% during the 1st quarter. GAMMA Investing LLC now owns 1,355,699 shares of the oil and gas company's stock valued at $179,047,000 after acquiring an additional 1,346,950 shares in the last quarter. Invesco Ltd. grew its stake in Valero Energy by 34.1% during the 1st quarter. Invesco Ltd. now owns 4,905,145 shares of the oil and gas company's stock valued at $647,823,000 after acquiring an additional 1,247,196 shares in the last quarter. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in Valero Energy in the 4th quarter valued at about $98,376,000. Finally, Charles Schwab Investment Management Inc. boosted its holdings in Valero Energy by 6.9% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 11,437,765 shares of the oil and gas company's stock valued at $1,510,586,000 after purchasing an additional 736,533 shares during the last quarter. Hedge funds and other institutional investors own 78.69% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on VLO. Raymond James Financial boosted their target price on shares of Valero Energy from $155.00 to $172.00 and gave the company a "strong-buy" rating in a report on Tuesday, July 15th. The Goldman Sachs Group upgraded shares of Valero Energy from a "neutral" rating to a "buy" rating and boosted their target price for the company from $127.00 to $154.00 in a report on Tuesday, May 13th. Barclays boosted their target price on shares of Valero Energy from $140.00 to $141.00 and gave the company an "overweight" rating in a report on Monday, May 12th. Wells Fargo & Company boosted their target price on shares of Valero Energy from $151.00 to $168.00 and gave the company an "overweight" rating in a report on Wednesday, July 9th. Finally, Piper Sandler upped their price objective on shares of Valero Energy from $159.00 to $168.00 and gave the stock an "overweight" rating in a report on Monday, July 28th. Five research analysts have rated the stock with a hold rating, ten have assigned a buy rating and two have issued a strong buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $154.47.

Valero Energy Price Performance

Shares of NYSE VLO traded up $1.02 during midday trading on Friday, hitting $136.84. The company had a trading volume of 742,542 shares, compared to its average volume of 3,303,298. The company has a quick ratio of 1.11, a current ratio of 1.62 and a debt-to-equity ratio of 0.38. The firm has a market capitalization of $42.51 billion, a price-to-earnings ratio of 57.00, a price-to-earnings-growth ratio of 3.22 and a beta of 1.03. The business has a 50-day simple moving average of $139.64 and a two-hundred day simple moving average of $130.84. Valero Energy Corporation has a twelve month low of $99.00 and a twelve month high of $155.12.

Valero Energy (NYSE:VLO - Get Free Report) last announced its earnings results on Thursday, July 24th. The oil and gas company reported $2.28 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.66 by $0.62. The company had revenue of $29.89 billion during the quarter, compared to analysts' expectations of $27 billion. Valero Energy had a net margin of 0.62% and a return on equity of 5.76%. The firm's quarterly revenue was down 13.3% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.71 earnings per share. Equities research analysts anticipate that Valero Energy Corporation will post 7.92 earnings per share for the current year.

Valero Energy Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 2nd. Investors of record on Thursday, July 31st will be issued a $1.13 dividend. This represents a $4.52 dividend on an annualized basis and a yield of 3.3%. The ex-dividend date is Thursday, July 31st. Valero Energy's payout ratio is presently 188.33%.

Valero Energy Profile

Valero Energy Corporation manufactures, markets, and sells petroleum-based and low-carbon liquid transportation fuels and petrochemical products in the United States, Canada, the United Kingdom, Ireland, Latin America, Mexico, Peru, and internationally. It operates through three segments: Refining, Renewable Diesel, and Ethanol.