Valvoline (NYSE:VVV) Sees Significant Increase in Short Interest

Key Points

• Valvoline saw a remarkable increase in short interest, rising by 1,667.2% to a total of 10,170,000 shares by July 15th.
• The company's recent earnings report indicated an EPS of $0.34, missing estimates by $0.02, while revenue grew 3.7% year-over-year.
• Analysts have mixed views on Valvoline, with average price targets ranging from $39.00 to $44.00 and a current consensus rating of "Moderate Buy".

Valvoline (NYSE:VVV - Get Free Report) was the target of a significant growth in short interest in July. As of July 15th, there was short interest totaling 10,170,000 shares, agrowthof1,667.2% from the June 30th total of 575,500 shares. Based on an average daily volume of 1,860,000 shares, the short-interest ratio is currently 5.5 days. Approximately8.0% of the shares of the stock are sold short. Approximately8.0% of the shares of the stock are sold short. Based on an average daily volume of 1,860,000 shares, the short-interest ratio is currently 5.5 days.

Valvoline Trading Up 1.0%

Shares of VVV traded up $0.34 during mid-day trading on Monday, reaching $35.36. The company had a trading volume of 1,941,606 shares, compared to its average volume of 1,740,595. The stock has a market cap of $4.49 billion, a price-to-earnings ratio of 17.17 and a beta of 1.17. The firm has a fifty day simple moving average of $36.71 and a 200-day simple moving average of $35.96. Valvoline has a fifty-two week low of $31.01 and a fifty-two week high of $43.89. The company has a current ratio of 0.73, a quick ratio of 0.60 and a debt-to-equity ratio of 4.23.

Valvoline (NYSE:VVV - Get Free Report) last posted its quarterly earnings data on Thursday, May 8th. The basic materials company reported $0.34 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.36 by ($0.02). Valvoline had a net margin of 15.97% and a return on equity of 106.36%. The firm had revenue of $403.20 million for the quarter, compared to analysts' expectations of $405.38 million. During the same quarter in the prior year, the business earned $0.37 EPS. The company's revenue for the quarter was up 3.7% on a year-over-year basis. On average, sell-side analysts anticipate that Valvoline will post 1.63 EPS for the current fiscal year.

Insiders Place Their Bets

In other Valvoline news, CEO Lori Ann Flees bought 3,000 shares of Valvoline stock in a transaction that occurred on Tuesday, May 27th. The shares were bought at an average price of $33.78 per share, with a total value of $101,340.00. Following the acquisition, the chief executive officer owned 46,614 shares in the company, valued at approximately $1,574,620.92. This trade represents a 6.88% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.66% of the stock is owned by insiders.

Institutional Investors Weigh In On Valvoline

Institutional investors have recently bought and sold shares of the stock. Maseco LLP acquired a new stake in shares of Valvoline in the second quarter valued at $27,000. Huntington National Bank grew its stake in shares of Valvoline by 1,004.9% in the 4th quarter. Huntington National Bank now owns 895 shares of the basic materials company's stock worth $32,000 after purchasing an additional 814 shares during the last quarter. Opal Wealth Advisors LLC bought a new stake in shares of Valvoline in the 1st quarter worth approximately $35,000. American National Bank & Trust bought a new stake in Valvoline during the first quarter worth approximately $40,000. Finally, Versant Capital Management Inc grew its position in Valvoline by 221.8% in the first quarter. Versant Capital Management Inc now owns 1,181 shares of the basic materials company's stock worth $41,000 after buying an additional 814 shares during the last quarter. Institutional investors and hedge funds own 96.13% of the company's stock.

Analyst Upgrades and Downgrades

VVV has been the topic of several recent research reports. Cfra Research raised shares of Valvoline to a "hold" rating in a report on Monday, July 7th. Citigroup decreased their price objective on shares of Valvoline from $41.00 to $38.00 and set a "neutral" rating for the company in a report on Tuesday, April 29th. Piper Sandler reaffirmed an "overweight" rating and issued a $44.00 target price (down from $45.00) on shares of Valvoline in a report on Friday, May 9th. Morgan Stanley decreased their target price on Valvoline from $41.00 to $39.00 and set an "equal weight" rating on the stock in a report on Friday, May 9th. Finally, Wells Fargo & Company decreased their target price on Valvoline from $44.00 to $42.00 and set an "overweight" rating on the stock in a report on Monday, April 28th. Five research analysts have rated the stock with a hold rating, nine have issued a buy rating and one has given a strong buy rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $42.15.

Valvoline Company Profile

Valvoline Inc engages in the operation and franchising of vehicle service centers and retail stores in the United States and Canada. The company, through its service centers, provides fluid exchange for motor oil, transmission and differential fluid, and coolant; parts replacement for batteries, filters, wiper blades, and belts; and safety services, such as tire inflation and rotation, bulbs, and safety checks.