American Century Companies Inc. Sells 379,162 Shares of Valero Energy Corporation $VLO

Key Points

• American Century Companies cut its stake in Valero by 72.4% in Q3, selling 379,162 shares and leaving 144,530 shares valued at about $24.6 million.
• Valero priced an $850 million offering of 5.15% senior notes due 2036 to help repay higher‑cost 7.65% debt—steps that should lower interest expense—and also raised its quarterly dividend to $1.20 (annual $4.80, ~2.1% yield).
• Analyst sentiment is broadly positive with a consensus rating of Moderate Buy and an average target of $187.67, as several firms (Barclays, Wells Fargo, UBS) recently raised or reiterated bullish price targets.

American Century Companies Inc. lessened its holdings in Valero Energy Corporation (NYSE:VLO - Free Report) by 72.4% during the third quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 144,530 shares of the oil and gas company's stock after selling 379,162 shares during the quarter. American Century Companies Inc.'s holdings in Valero Energy were worth $24,608,000 as of its most recent SEC filing.

Several other large investors have also added to or reduced their stakes in VLO. Nisa Investment Advisors LLC raised its holdings in Valero Energy by 17.4% during the third quarter. Nisa Investment Advisors LLC now owns 160,794 shares of the oil and gas company's stock worth $27,377,000 after acquiring an additional 23,859 shares in the last quarter. Federated Hermes Inc. grew its stake in Valero Energy by 15.7% in the second quarter. Federated Hermes Inc. now owns 161,957 shares of the oil and gas company's stock valued at $21,770,000 after purchasing an additional 21,997 shares in the last quarter. Rakuten Investment Management Inc. acquired a new position in shares of Valero Energy during the 3rd quarter worth approximately $4,534,000. Tema Etfs LLC acquired a new position in shares of Valero Energy during the 3rd quarter worth approximately $1,669,000. Finally, Cerity Partners LLC raised its stake in shares of Valero Energy by 9.0% during the 3rd quarter. Cerity Partners LLC now owns 104,859 shares of the oil and gas company's stock worth $17,853,000 after purchasing an additional 8,638 shares in the last quarter. Institutional investors and hedge funds own 78.69% of the company's stock.

Wall Street Analyst Weigh In

Several research firms have recently commented on VLO. Barclays increased their price objective on Valero Energy from $169.00 to $184.00 and gave the company an "overweight" rating in a report on Monday, November 17th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Valero Energy in a research report on Wednesday, January 21st. Wells Fargo & Company increased their price target on shares of Valero Energy from $216.00 to $220.00 and gave the company an "overweight" rating in a research note on Monday, November 10th. UBS Group reissued a "buy" rating on shares of Valero Energy in a research report on Tuesday, January 6th. Finally, Argus raised shares of Valero Energy to a "hold" rating in a report on Monday, February 2nd. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and ten have assigned a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $187.67.

Valero Energy News Summary

Here are the key news stories impacting Valero Energy this week:

• Positive Sentiment: Valero priced an $850 million offering of 5.150% senior notes due 2036 and said proceeds may repay outstanding 7.65% debt — this should lower interest expense and extend maturities, supporting credit profile and cash flow. Valero Energy Corporation Announces Pricing of Notes Offering
• Positive Sentiment: Geopolitical shock from the Iran leadership change has pushed crude higher; analysts highlight refiners (including Valero) as beneficiaries of stronger crack spreads and margin expansion. Higher crude can raise refinery throughput economics in the near term. The Iran War Is Reshaping Energy Markets and These Stocks Win Big
• Positive Sentiment: Soaring jet fuel prices (Singapore benchmark) are widening margins for jet fuel — a key refined product — which benefits Valero’s refining economics and near‑term revenue potential. Jet Fuel Prices Are Soaring, and Airline Stocks Are Tumbling. These Companies Are the Big Winners.
• Positive Sentiment: Valero is advancing renewable diesel and sustainable aviation fuel projects, approved a dividend increase, and expects to benefit from new tax credits and changes in crude supply mix — supporting medium‑term earnings diversification and shareholder returns. Valero Energy Weighs Refining Strength Against Energy Transition Opportunities
• Neutral Sentiment: Options volume and open interest in VLO have spiked, signaling increased speculative or hedging activity; this can amplify intraday moves but is an ambiguous indicator for longer‑term direction. Spotlight on Valero Energy: Analyzing the Surge in Options Activity
• Neutral Sentiment: Multiple bullish analyst/style‑score pieces (Zacks, MSN summaries) argue VLO remains attractive as momentum/value—useful framing but largely reiterative and not a catalyst by itself. Why Valero Energy (VLO) is a Top Momentum Stock for the Long-Term
• Neutral Sentiment: Sector peer moves (e.g., Phillips 66) and technical momentum (reports of multi‑day gains) support the industry narrative, but they can also prompt profit‑taking in a fast‑run stock like VLO. Why Is Phillips 66 (PSX) Up 7.8% Since Last Earnings Report?
• Negative Sentiment: Barchart and other commentary warn that Middle East uncertainty increases downside risk and volatility for projections — geopolitical upside is not guaranteed and can reverse quickly, which raises short‑term risk for VLO’s high valuation. What Does the Middle East Conflict Mean for Valero Energy Stock?

Valero Energy Trading Down 1.3%

Shares of Valero Energy stock opened at $225.02 on Monday. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.64 and a quick ratio of 1.11. The business has a fifty day simple moving average of $191.65 and a two-hundred day simple moving average of $175.20. Valero Energy Corporation has a 1 year low of $99.00 and a 1 year high of $232.99. The company has a market capitalization of $67.29 billion, a price-to-earnings ratio of 29.45, a P/E/G ratio of 1.17 and a beta of 0.70.

Valero Energy (NYSE:VLO - Get Free Report) last released its quarterly earnings data on Thursday, January 29th. The oil and gas company reported $3.82 EPS for the quarter, beating the consensus estimate of $3.27 by $0.55. Valero Energy had a net margin of 1.91% and a return on equity of 12.35%. The business's quarterly revenue was down 1.2% compared to the same quarter last year. During the same period in the prior year, the company earned $0.64 EPS. Research analysts forecast that Valero Energy Corporation will post 7.92 EPS for the current year.

Valero Energy Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, March 9th. Shareholders of record on Thursday, February 5th will be issued a $1.20 dividend. The ex-dividend date of this dividend is Thursday, February 5th. This represents a $4.80 annualized dividend and a yield of 2.1%. This is an increase from Valero Energy's previous quarterly dividend of $1.13. Valero Energy's payout ratio is currently 62.83%.

Valero Energy Profile

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.

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