Hsbc Holdings PLC Purchases 40,957 Shares of Valero Energy Corporation $VLO

Key Points

• HSBC Holdings PLC increased its stake in Valero Energy by 6.0% in the first quarter, buying 40,957 additional shares and lifting its total holding to 723,763 shares worth about $178.8 million.
• Institutional ownership remains very high, with hedge funds and other institutions holding about 78.69% of Valero’s stock. Several major investors also added positions recently, including Norges Bank and Arrowstreet Capital.
• Valero has been active on shareholder returns, expanding its share repurchase authorization and declaring a quarterly dividend of $1.20 per share. The company also beat first-quarter earnings and revenue expectations, helping support a positive analyst outlook.

Hsbc Holdings PLC increased its position in Valero Energy Corporation (NYSE:VLO - Free Report) by 6.0% in the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 723,763 shares of the oil and gas company's stock after acquiring an additional 40,957 shares during the period. Hsbc Holdings PLC owned about 0.24% of Valero Energy worth $178,811,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Norges Bank bought a new stake in shares of Valero Energy in the 4th quarter worth $1,111,542,000. Arrowstreet Capital Limited Partnership bought a new position in shares of Valero Energy during the third quarter valued at $275,239,000. Pacer Advisors Inc. lifted its holdings in shares of Valero Energy by 2,635.7% during the fourth quarter. Pacer Advisors Inc. now owns 950,527 shares of the oil and gas company's stock valued at $154,736,000 after purchasing an additional 915,782 shares in the last quarter. Victory Capital Management Inc. boosted its position in shares of Valero Energy by 49.3% during the fourth quarter. Victory Capital Management Inc. now owns 1,696,811 shares of the oil and gas company's stock valued at $276,224,000 after buying an additional 560,116 shares during the last quarter. Finally, Franklin Resources Inc. boosted its position in shares of Valero Energy by 7.5% during the fourth quarter. Franklin Resources Inc. now owns 5,668,210 shares of the oil and gas company's stock valued at $922,728,000 after buying an additional 394,693 shares during the last quarter. 78.69% of the stock is owned by institutional investors.

Insider Activity at Valero Energy

In other news, SVP Eric A. Fisher sold 7,500 shares of the firm's stock in a transaction dated Monday, June 29th. The stock was sold at an average price of $268.17, for a total value of $2,011,275.00. Following the transaction, the senior vice president owned 19,742 shares of the company's stock, valued at $5,294,212.14. This trade represents a 27.53% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.36% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the company. Barclays boosted their target price on Valero Energy from $261.00 to $279.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 1st. Morgan Stanley raised their price target on shares of Valero Energy from $232.00 to $255.00 and gave the company an "equal weight" rating in a report on Friday, June 12th. TD Cowen lifted their price target on shares of Valero Energy from $276.00 to $292.00 and gave the stock a "hold" rating in a research note on Monday, June 29th. Wells Fargo & Company boosted their price objective on shares of Valero Energy from $220.00 to $292.00 and gave the company an "overweight" rating in a report on Tuesday, March 31st. Finally, Citigroup increased their price objective on shares of Valero Energy from $259.00 to $302.00 and gave the company a "neutral" rating in a research report on Tuesday, July 14th. One analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, nine have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $253.06.

Valero Energy News Roundup

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

• Positive Sentiment: Valero expanded its share repurchase authorization, which can boost earnings per share over time and indicates the board sees value in the stock. Valero Energy Expands Share Repurchase Authorization Program
• Positive Sentiment: Valero declared a quarterly cash dividend of $1.20 per share, reinforcing its appeal to income-focused investors and highlighting strong cash generation. Valero Energy Corporation Declares Regular Cash Dividend on Common Stock
• Positive Sentiment: Energy stocks rose late Friday afternoon, with the broader sector gaining on the day, which likely provided a supportive backdrop for VLO shares. Sector Update: Energy Stocks Rise Late Afternoon
• Neutral Sentiment: Separately, there was unusual put-option activity in Valero, suggesting some traders are hedging or positioning for near-term volatility rather than making a clear directional bet.
• Neutral Sentiment: Recent articles also pointed to improving earnings estimates and momentum, which may be helping sentiment, though these were commentary pieces rather than new company announcements. Can Valero Energy (VLO) Run Higher on Rising Earnings Estimates?

Valero Energy Trading Up 3.1%

Shares of VLO stock opened at $309.50 on Friday. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.58 and a quick ratio of 1.15. The company has a market cap of $91.90 billion, a price-to-earnings ratio of 22.49, a PEG ratio of 0.38 and a beta of 0.55. Valero Energy Corporation has a 1 year low of $130.78 and a 1 year high of $309.90. The firm has a fifty day moving average price of $258.97 and a 200-day moving average price of $229.32.

Valero Energy (NYSE:VLO - Get Free Report) last announced its earnings results on Thursday, April 30th. The oil and gas company reported $4.22 EPS for the quarter, topping analysts' consensus estimates of $3.16 by $1.06. The company had revenue of $32.38 billion for the quarter, compared to analysts' expectations of $31.38 billion. Valero Energy had a return on equity of 15.94% and a net margin of 3.37%.Valero Energy's revenue for the quarter was up 7.0% compared to the same quarter last year. During the same period last year, the firm earned $0.89 EPS. As a group, equities analysts predict that Valero Energy Corporation will post 32.61 earnings per share for the current year.

Valero Energy Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, August 31st. Shareholders of record on Friday, July 31st will be given a $1.20 dividend. The ex-dividend date is Friday, July 31st. This represents a $4.80 dividend on an annualized basis and a yield of 1.6%. Valero Energy's dividend payout ratio is presently 34.88%.

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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