Investors Purchase High Volume of Valero Energy Call Options (NYSE:VLO)

Key Points

• Valero Energy Corporation experienced a significant increase in options trading, with investors purchasing 15,223 call options, reflecting a 141% rise compared to the average daily volume.
• The company's stock reached $154.87 per share during midday trading, alongside a market capitalization of $48.11 billion and a debt-to-equity ratio of 0.38.
• Valero recently announced a quarterly dividend of $1.13 per share, representing an annual yield of 2.9%, with a dividend payout ratio of 188.33%.

Valero Energy Corporation (NYSE:VLO - Get Free Report) saw unusually large options trading activity on Wednesday. Investors purchased 15,223 call options on the stock. Thisrepresentsanincreaseof141% compared to the average daily volume of 6,316 call options.

Valero Energy Stock Performance

Valero Energy stock traded up $0.59 during midday trading on Wednesday, reaching $154.87. 1,309,237 shares of the company traded hands, compared to its average volume of 3,227,464. The firm has a market capitalization of $48.11 billion, a price-to-earnings ratio of 64.61, a price-to-earnings-growth ratio of 3.55 and a beta of 1.10. The business has a 50 day moving average of $142.24 and a two-hundred day moving average of $131.67. Valero Energy has a 12 month low of $99.00 and a 12 month high of $159.26. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.62 and a quick ratio of 1.11.

Valero Energy (NYSE:VLO - Get Free Report) last released its quarterly earnings results on Thursday, July 24th. The oil and gas company reported $2.28 earnings per share for the quarter, topping the consensus estimate of $1.66 by $0.62. The business had revenue of $29.89 billion for the quarter, compared to the consensus estimate of $27 billion. Valero Energy had a net margin of 0.62% and a return on equity of 5.76%. The company's quarterly revenue was down 13.3% on a year-over-year basis. During the same period last year, the firm earned $2.71 earnings per share. As a group, research analysts predict that Valero Energy will post 7.92 earnings per share for the current year.

Valero Energy Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 2nd. Investors of record on Thursday, July 31st were issued a dividend of $1.13 per share. The ex-dividend date was Thursday, July 31st. This represents a $4.52 dividend on an annualized basis and a yield of 2.9%. Valero Energy's dividend payout ratio (DPR) is presently 188.33%.

Institutional Investors Weigh In On Valero Energy

Large investors have recently modified their holdings of the business. Hoey Investments Inc. purchased a new stake in Valero Energy during the 2nd quarter worth approximately $26,000. Wayfinding Financial LLC acquired a new position in Valero Energy during the first quarter worth $26,000. GFG Capital LLC acquired a new position in Valero Energy during the second quarter worth $27,000. Hazlett Burt & Watson Inc. raised its position in shares of Valero Energy by 156.6% in the first quarter. Hazlett Burt & Watson Inc. now owns 213 shares of the oil and gas company's stock valued at $28,000 after buying an additional 130 shares during the last quarter. Finally, Ameriflex Group Inc. purchased a new position in Valero Energy during the fourth quarter worth about $29,000. Institutional investors own 78.69% of the company's stock.

Analyst Ratings Changes

Several brokerages have recently commented on VLO. Wells Fargo & Company upped their price objective on shares of Valero Energy from $151.00 to $168.00 and gave the company an "overweight" rating in a research note on Wednesday, July 9th. Citigroup lowered shares of Valero Energy from a "buy" rating to a "neutral" rating and increased their price target for the stock from $134.00 to $150.00 in a research note on Wednesday, July 16th. TD Cowen cut shares of Valero Energy from a "buy" rating to a "hold" rating and upped their price objective for the stock from $118.00 to $140.00 in a report on Tuesday, July 22nd. Wolfe Research cut Valero Energy from an "outperform" rating to a "peer perform" rating in a research report on Monday, July 14th. Finally, The Goldman Sachs Group raised Valero Energy from a "neutral" rating to a "buy" rating and boosted their price target for the stock from $127.00 to $154.00 in a research report on Tuesday, May 13th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, Valero Energy has a consensus rating of "Moderate Buy" and an average target price of $156.40.

About Valero Energy

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.