State Street Corp Decreases Stake in Valero Energy Corporation $VLO

Key Points

• State Street reduced its Valero stake by 3.6%, selling 711,990 shares and retaining 18.9 million shares valued at approximately $4.9 billion. Institutional investors still own 78.69% of VLO.
• Valero reported strong quarterly results, with EPS of $12.54 beating estimates by $2.43 and revenue rising 48.8% year over year to $44.48 billion. Favorable refining margins and tight fuel supplies continue to support the earnings outlook.
• VLO traded near $390.86 after a significant rally, while analyst sentiment remained generally positive but mixed: the average rating was “Moderate Buy,” and Jefferies downgraded the stock to Hold with a $401 price target.

State Street Corp reduced its position in shares of Valero Energy Corporation (NYSE:VLO - Free Report) by 3.6% in the second quarter, according to its most recent filing with the SEC. The fund owned 18,903,012 shares of the oil and gas company's stock after selling 711,990 shares during the quarter. State Street Corp owned about 6.57% of Valero Energy worth $4,923,100,000 at the end of the most recent reporting period.

Several other large investors also recently added to or reduced their stakes in VLO. Security National Bank of SO Dak bought a new position in shares of Valero Energy during the 2nd quarter valued at approximately $108,000. Bouchey Financial Group Ltd. grew its position in Valero Energy by 4.6% in the 2nd quarter. Bouchey Financial Group Ltd. now owns 1,016 shares of the oil and gas company's stock valued at $265,000 after acquiring an additional 45 shares during the last quarter. Core Capital Management & Research inc. bought a new position in Valero Energy in the 2nd quarter valued at $80,000. Sequoia Financial Advisors LLC increased its stake in Valero Energy by 9.2% in the second quarter. Sequoia Financial Advisors LLC now owns 27,186 shares of the oil and gas company's stock worth $7,080,000 after purchasing an additional 2,299 shares during the period. Finally, Tidal Investments LLC increased its stake in Valero Energy by 81.1% in the second quarter. Tidal Investments LLC now owns 46,117 shares of the oil and gas company's stock worth $12,011,000 after purchasing an additional 20,649 shares during the period. 78.69% of the stock is owned by institutional investors.

More Valero Energy News

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

• Positive Sentiment: Earnings expectations remain favorable: Zacks highlighted VLO among stocks with potential to exceed upcoming quarterly earnings estimates, while another Zacks report ranked Valero among companies likely to deliver an earnings beat. Strong refining margins and tight global fuel supplies continue to support the earnings outlook. Why Investors Need to Take Advantage of These 2 Oils and Energy Stocks Now
• Positive Sentiment: Refining fundamentals remain supportive: Morgan Stanley cited unusually strong global refining margins and disruptions that have reduced refining capacity, tightening gasoline, diesel and jet-fuel supplies. Those conditions helped drive VLO’s substantial 2026 rally and remain a potential earnings tailwind. Morgan Stanley Sees More Fuel for Valero’s Rally
• Neutral Sentiment: Jefferies maintained a Hold rating and set a $401 price target, implying limited near-term upside based on the referenced price. The action signals that the firm sees fair value near current levels rather than a major deterioration in Valero’s outlook. Jefferies Downgrades Valero Energy to Hold
• Negative Sentiment: Jefferies downgraded VLO from Buy to Hold, reducing a key source of bullish support after the stock’s powerful run. The downgrade is likely weighing on sentiment even though the $401 target remains close to the current valuation. Jefferies Downgrades Valero Energy to Hold
• Negative Sentiment: Lower crude prices and profit-taking pressured the energy sector. Crude fell to an approximately 11-day low amid possible Middle East diplomatic progress and improving regional supply flows. After VLO’s major advance, investors appear to be locking in gains as refining momentum cooled. Valero Energy Dips Amid Broader Energy Sector Pullback

Valero Energy Stock Down 0.6%

Shares of VLO stock traded down $2.41 during mid-day trading on Tuesday, hitting $390.86. The stock had a trading volume of 3,408,500 shares, compared to its average volume of 3,336,230. Valero Energy Corporation has a 12-month low of $155.29 and a 12-month high of $419.04. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.64 and a quick ratio of 1.23. The firm's 50-day moving average is $341.51 and its two-hundred day moving average is $280.01. The firm has a market capitalization of $112.54 billion, a P/E ratio of 16.20, a price-to-earnings-growth ratio of 0.28 and a beta of 0.57.

Valero Energy (NYSE:VLO - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The oil and gas company reported $12.54 EPS for the quarter, beating the consensus estimate of $10.11 by $2.43. The firm had revenue of $44.48 billion for the quarter, compared to analyst estimates of $39.47 billion. Valero Energy had a return on equity of 26.74% and a net margin of 5.17%.The business's revenue for the quarter was up 48.8% on a year-over-year basis. During the same quarter last year, the firm posted $2.28 earnings per share. On average, analysts predict that Valero Energy Corporation will post 48.58 earnings per share for the current fiscal year.

Valero Energy Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, August 31st. Stockholders of record on Friday, July 31st were issued a $1.20 dividend. The ex-dividend date was Friday, July 31st. This represents a $4.80 annualized dividend and a dividend yield of 1.2%. Valero Energy's payout ratio is currently 19.92%.

Analyst Ratings Changes

VLO has been the subject of a number of recent analyst reports. Piper Sandler boosted their target price on shares of Valero Energy from $329.00 to $435.00 and gave the company an "overweight" rating in a research note on Thursday, September 3rd. Mizuho raised their price target on shares of Valero Energy from $289.00 to $300.00 and gave the stock a "neutral" rating in a research note on Tuesday, August 4th. Wells Fargo & Company lifted their price objective on shares of Valero Energy from $356.00 to $389.00 and gave the company an "overweight" rating in a report on Tuesday, September 1st. The Goldman Sachs Group boosted their price objective on shares of Valero Energy from $286.00 to $357.00 and gave the company a "buy" rating in a research report on Wednesday, July 22nd. Finally, Zacks Research upgraded shares of Valero Energy from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, August 4th. Two analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $328.88.

Insider Activity at Valero Energy

In other news, SVP Eric Fisher sold 7,500 shares of the company's stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $268.17, for a total value of $2,011,275.00. Following the completion of the sale, the senior vice president owned 19,742 shares of the company's stock, valued at approximately $5,294,212.14. This represents a 27.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 0.36% of the company's stock.

Valero Energy Profile

Valero Energy Corporation is an international energy company headquartered in San Antonio, Texas. Its primary business is refining crude oil into transportation fuels and other products, including gasoline, diesel, jet fuel, asphalt, lubricants and petrochemical feedstocks.

Valero operates refineries and related facilities in the United States, Canada and the United Kingdom, and markets its products through wholesale and commercial channels in North America and other international markets.

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