Valvoline (NYSE:VVV) Shares Gap Down - Here's What Happened

Key Points

• Valvoline shares gapped down from a prior close of $39.28 to open at $36.40, later trading near $37.26 on volume of about 609,000 shares.
• Despite the decline, analysts maintain a “Moderate Buy” consensus with an average price target of $42.75, implying upside from the reported trading price.
• Valvoline’s latest quarterly results exceeded expectations, with EPS of $0.57 versus a $0.50 estimate and revenue of $544.6 million, up 24.1% year over year; fiscal 2026 EPS guidance is $1.70–$1.75.

Shares of Valvoline (NYSE:VVV - Get Free Report) gapped down prior to trading on Wednesday . The stock had previously closed at $39.28, but opened at $36.40. Valvoline shares last traded at $37.26, with a volume of 608,819 shares trading hands.

Wall Street Analysts Forecast Growth

VVV has been the topic of a number of analyst reports. The Goldman Sachs Group restated a "buy" rating and issued a $45.00 price objective on shares of Valvoline in a research report on Thursday, May 7th. Roth Capital reiterated a "buy" rating and issued a $46.00 price objective on shares of Valvoline in a report on Friday, May 8th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Valvoline in a research note on Friday, May 29th. Barclays lifted their price target on shares of Valvoline from $35.00 to $41.00 and gave the company an "equal weight" rating in a report on Tuesday, July 21st. Finally, Stifel Nicolaus raised their target price on shares of Valvoline from $42.00 to $44.00 and gave the stock a "buy" rating in a research report on Monday, May 11th. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, Valvoline currently has a consensus rating of "Moderate Buy" and a consensus target price of $42.75.

Valvoline Price Performance

The stock has a market cap of $4.67 billion, a P/E ratio of 50.00 and a beta of 1.00. The company has a debt-to-equity ratio of 4.61, a quick ratio of 0.61 and a current ratio of 0.73. The firm has a 50-day moving average price of $37.99 and a 200-day moving average price of $35.73.

Valvoline (NYSE:VVV - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The basic materials company reported $0.57 earnings per share for the quarter, beating the consensus estimate of $0.50 by $0.07. The company had revenue of $544.60 million for the quarter, compared to analyst estimates of $543.21 million. Valvoline had a return on equity of 66.54% and a net margin of 5.03%.The firm's revenue was up 24.1% on a year-over-year basis. During the same period in the previous year, the company posted $0.47 earnings per share. Valvoline has set its FY 2026 guidance at 1.700-1.750 EPS. On average, analysts forecast that Valvoline will post 1.75 earnings per share for the current fiscal year.

Insider Buying and Selling at Valvoline

In related news, insider Jonathan L. Caldwell sold 2,851 shares of the stock in a transaction dated Thursday, June 25th. The shares were sold at an average price of $40.00, for a total value of $114,040.00. Following the completion of the transaction, the insider directly owned 20,918 shares in the company, valued at $836,720. This trade represents a 11.99% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO J Kevin Willis acquired 10,000 shares of the company's stock in a transaction that occurred on Thursday, May 14th. The shares were acquired at an average cost of $31.80 per share, for a total transaction of $318,000.00. Following the purchase, the chief financial officer directly owned 32,725 shares of the company's stock, valued at $1,040,655. This represents a 44.00% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last quarter, insiders have bought 14,100 shares of company stock worth $450,877. Corporate insiders own 0.66% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Measured Wealth Private Client Group LLC purchased a new position in Valvoline during the first quarter valued at $28,000. Caitong International Asset Management Co. Ltd increased its holdings in shares of Valvoline by 1,621.3% during the third quarter. Caitong International Asset Management Co. Ltd now owns 1,050 shares of the basic materials company's stock valued at $38,000 after acquiring an additional 989 shares in the last quarter. Cedar Mountain Advisors LLC bought a new position in shares of Valvoline during the first quarter valued at $42,000. Vestor Capital LLC raised its position in shares of Valvoline by 169.4% in the 1st quarter. Vestor Capital LLC now owns 1,646 shares of the basic materials company's stock worth $55,000 after purchasing an additional 1,035 shares during the last quarter. Finally, UMB Bank n.a. raised its position in shares of Valvoline by 20.3% in the 4th quarter. UMB Bank n.a. now owns 1,906 shares of the basic materials company's stock worth $55,000 after purchasing an additional 321 shares during the last quarter. Institutional investors own 96.13% of the company's stock.

Valvoline Company Profile

Valvoline NYSE: VVV is a leading global producer and distributor of automotive and industrial lubricants. The company's portfolio spans engine oils, gear oils, transmission fluids, greases, coolants and driveline products, all designed to help improve vehicle performance and longevity. Valvoline's products are marketed under the Valvoline®, Valvoline NextGen® and Valvoline™ SynPower® brand names and are formulated to meet the stringent requirements of passenger cars, light trucks, heavy‐duty vehicles and off‐road applications.

In addition to its core lubricant business, Valvoline operates one of North America's largest quick‐lubricant service networks through Valvoline Instant Oil Change℠ (VIOC).

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