Valero Energy Corporation $VLO Shares Sold by Principal Financial Group Inc.

Key Points

• Principal Financial Group trimmed its Valero Energy stake by 1.2% in the fourth quarter, though it still held 349,946 shares valued at about $56.97 million.
• Valero reported strong quarterly results, with EPS of $4.22 beating estimates by $1.06 and revenue of $32.38 billion topping expectations, while revenue rose 7% year over year.
• Several signals remain constructive for the stock, including a new $1.20 quarterly dividend, multiple analyst price-target increases, and a consensus rating of Moderate Buy with a $237.94 target price.

Principal Financial Group Inc. decreased its holdings in shares of Valero Energy Corporation (NYSE:VLO - Free Report) by 1.2% in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 349,946 shares of the oil and gas company's stock after selling 4,266 shares during the period. Principal Financial Group Inc. owned approximately 0.11% of Valero Energy worth $56,968,000 as of its most recent filing with the Securities and Exchange Commission.

Several other large investors also recently made changes to their positions in VLO. Woodline Partners LP boosted its position in shares of Valero Energy by 40.7% during the 1st quarter. Woodline Partners LP now owns 26,747 shares of the oil and gas company's stock valued at $3,532,000 after purchasing an additional 7,735 shares in the last quarter. Sivia Capital Partners LLC boosted its holdings in shares of Valero Energy by 13.0% during the second quarter. Sivia Capital Partners LLC now owns 1,929 shares of the oil and gas company's stock worth $259,000 after purchasing an additional 222 shares during the period. Gamco Investors INC. ET AL acquired a new stake in shares of Valero Energy during the second quarter worth approximately $528,000. Sei Investments Co. boosted its holdings in shares of Valero Energy by 11.3% during the second quarter. Sei Investments Co. now owns 269,043 shares of the oil and gas company's stock worth $36,165,000 after purchasing an additional 27,291 shares during the period. Finally, Treasurer of the State of North Carolina lifted its stake in Valero Energy by 0.9% in the second quarter. Treasurer of the State of North Carolina now owns 145,810 shares of the oil and gas company's stock valued at $19,600,000 after acquiring an additional 1,338 shares during the last quarter. Institutional investors own 78.69% of the company's stock.

Key Headlines Impacting Valero Energy

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

• Positive Sentiment: Valero was highlighted on “best low-beta” stock screens, suggesting investors may be rotating into steadier, less volatile names during market turbulence. Best Low-Beta Stocks to Own Right Away: LQDA, CBOE, VLO & FANG
• Positive Sentiment: Analysts at Erste Group raised FY2027 EPS estimates for Valero, signaling improving earnings expectations. Valero Energy estimate update
• Positive Sentiment: Morgan Stanley lifted its price target on Valero to $232 from $222, pointing to stronger-than-expected first-quarter results and reinforcing a constructive view on the stock. Morgan Stanley Raises its Price Target on Valero Energy (VLO) to $232
• Positive Sentiment: Valero was added to a Zacks Rank #1 “Strong Buy” growth list, which can draw momentum and growth-oriented investors. Best Growth Stocks to Buy for May 7th
• Positive Sentiment: The company declared a quarterly cash dividend of $1.20 per share, confirming shareholder returns and supporting income-investor demand. Valero Energy Corporation Declares Regular Cash Dividend on Common Stock
• Neutral Sentiment: Valero also appeared in PEG-driven “GARP” stock roundups, highlighting its mix of value and growth but offering no new company-specific catalyst. Zacks.com featured highlights include Dow, Valero Energy, Ultrapar Participacoes and Nexa Resources

Wall Street Analyst Weigh In

A number of analysts have issued reports on the stock. Wells Fargo & Company lifted their target price on shares of Valero Energy from $220.00 to $292.00 and gave the company an "overweight" rating in a research note on Tuesday, March 31st. Wolfe Research reissued an "underperform" rating and issued a $203.00 price target on shares of Valero Energy in a research report on Tuesday, April 21st. Weiss Ratings raised shares of Valero Energy from a "hold (c)" rating to a "buy (b-)" rating in a research report on Monday. Zacks Research raised shares of Valero Energy from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, April 21st. Finally, BMO Capital Markets lifted their price target on shares of Valero Energy from $230.00 to $270.00 and gave the company an "outperform" rating in a research report on Monday, April 6th. Two analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $237.94.

Valero Energy Trading Up 1.9%

Shares of Valero Energy stock opened at $240.81 on Friday. Valero Energy Corporation has a 52-week low of $121.41 and a 52-week high of $258.43. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.58 and a quick ratio of 1.11. The company's fifty day moving average price is $234.82 and its two-hundred day moving average price is $198.52. The firm has a market capitalization of $72.01 billion, a PE ratio of 17.50, a price-to-earnings-growth ratio of 0.34 and a beta of 0.58.

Valero Energy (NYSE:VLO - Get Free Report) last issued its earnings results on Thursday, April 30th. The oil and gas company reported $4.22 EPS for the quarter, beating the consensus estimate of $3.16 by $1.06. Valero Energy had a net margin of 3.37% and a return on equity of 15.94%. The company had revenue of $32.38 billion for the quarter, compared to the consensus estimate of $31.38 billion. During the same quarter in the previous year, the company earned $0.89 EPS. The firm's revenue for the quarter was up 7.0% compared to the same quarter last year. On average, analysts expect that Valero Energy Corporation will post 27.55 EPS for the current year.

Valero Energy Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 23rd. Stockholders of record on Thursday, May 21st will be paid a $1.20 dividend. This represents a $4.80 annualized dividend and a dividend yield of 2.0%. The ex-dividend date is Thursday, May 21st. Valero Energy's payout ratio is currently 34.88%.

Insider Transactions at Valero Energy

In related news, SVP Eric A. Fisher sold 8,311 shares of the company's stock in a transaction dated Wednesday, March 11th. The shares were sold at an average price of $227.69, for a total transaction of $1,892,331.59. Following the transaction, the senior vice president owned 42,242 shares in the company, valued at $9,618,080.98. This represents a 16.44% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. 0.36% of the stock is currently owned by company insiders.

About Valero Energy

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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