Valvoline (NYSE:VVV) Upgraded by JPMorgan Chase & Co. to "Neutral" Rating

Key Points

• JPMorgan Chase & Co. upgraded Valvoline from underweight to neutral and kept a $35 price target, implying only modest upside from the prior close.
• Analyst sentiment remains generally positive overall: Valvoline has a consensus “Moderate Buy” rating, with an average price target of $40.93 and several firms recently reiterating or raising buy ratings.
• Valvoline also posted a strong quarterly beat, reporting $0.41 EPS versus $0.35 expected and $503.8 million in revenue, while insiders recently bought shares, signaling confidence in the company.

Valvoline (NYSE:VVV - Get Free Report) was upgraded by stock analysts at JPMorgan Chase & Co. from an "underweight" rating to a "neutral" rating in a research report issued to clients and investors on Friday. The firm presently has a $35.00 target price on the basic materials company's stock. JPMorgan Chase & Co.'s price objective would indicate a potential upside of 2.41% from the stock's previous close.

Other equities analysts have also issued reports about the stock. The Goldman Sachs Group reaffirmed a "buy" rating and issued a $45.00 target price on shares of Valvoline in a research note on Thursday, May 7th. Stifel Nicolaus lifted their price target on Valvoline from $42.00 to $44.00 and gave the company a "buy" rating in a research note on Monday, May 11th. Barclays initiated coverage on Valvoline in a report on Thursday. They issued an "equal weight" rating and a $35.00 price target on the stock. Stephens increased their price objective on Valvoline from $38.00 to $44.00 and gave the stock an "overweight" rating in a report on Friday, February 6th. Finally, Piper Sandler restated an "overweight" rating and issued a $44.00 target price (up from $41.00) on shares of Valvoline in a research note on Friday, May 8th. Eleven analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $40.93.

Valvoline Price Performance

NYSE VVV opened at $34.18 on Friday. 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 stock has a market cap of $4.36 billion, a price-to-earnings ratio of 46.82 and a beta of 1.03. The business has a 50 day simple moving average of $33.55 and a 200 day simple moving average of $33.21. Valvoline has a 52-week low of $28.50 and a 52-week high of $41.33.

Valvoline (NYSE:VVV - Get Free Report) last released its quarterly earnings results on Thursday, May 7th. The basic materials company reported $0.41 earnings per share for the quarter, beating the consensus estimate of $0.35 by $0.06. Valvoline had a net margin of 5.03% and a return on equity of 66.54%. The company had revenue of $503.80 million during the quarter, compared to analysts' expectations of $495.67 million. During the same quarter in the prior year, the company earned $0.34 earnings per share. The business's quarterly revenue was up 25.0% compared to the same quarter last year. Valvoline has set its FY 2026 guidance at 1.650-1.750 EPS. Analysts anticipate that Valvoline will post 1.74 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Valvoline news, CFO J Kevin Willis purchased 10,000 shares of the business's stock in a transaction on Thursday, May 14th. The shares were purchased at an average cost of $31.80 per share, with a total value of $318,000.00. Following the transaction, 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 position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Richard Joseph Freeland purchased 3,100 shares of the firm's stock in a transaction on Thursday, May 14th. The stock was bought at an average price of $32.37 per share, with a total value of $100,347.00. Following the completion of the purchase, the director owned 16,112 shares of the company's stock, valued at approximately $521,545.44. This represents a 23.82% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have acquired 14,100 shares of company stock valued at $450,877 in the last three months. 0.66% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Valvoline

Several hedge funds have recently bought and sold shares of VVV. Alpine Woods Capital Investors LLC lifted its stake in Valvoline by 2.5% in the fourth quarter. Alpine Woods Capital Investors LLC now owns 10,866 shares of the basic materials company's stock worth $316,000 after acquiring an additional 267 shares during the period. Orion Porfolio Solutions LLC lifted its stake in Valvoline by 1.0% in the second quarter. Orion Porfolio Solutions LLC now owns 28,510 shares of the basic materials company's stock worth $1,080,000 after acquiring an additional 277 shares during the period. Quadrant Capital Group LLC lifted its stake in Valvoline by 4.2% in the fourth quarter. Quadrant Capital Group LLC now owns 7,912 shares of the basic materials company's stock worth $230,000 after acquiring an additional 319 shares during the period. UMB Bank n.a. lifted its stake in Valvoline by 20.3% in the fourth quarter. UMB Bank n.a. now owns 1,906 shares of the basic materials company's stock worth $55,000 after acquiring an additional 321 shares during the period. Finally, SummitTX Capital L.P. lifted its stake in Valvoline by 3.8% in the fourth quarter. SummitTX Capital L.P. now owns 9,008 shares of the basic materials company's stock worth $262,000 after acquiring an additional 326 shares during the period. 96.13% of the stock is currently owned by institutional investors and hedge funds.

About Valvoline

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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