Valero Energy Valuation
| VLO Stock | USD 141.20 0.26 0.18% |
At this time, the company appears to be overvalued. Valero Energy has a current Real Value of $116.54 per share. The regular price of the company is $141.2. Our model measures the value of Valero Energy from inspecting the company fundamentals such as Operating Margin of 0.02 %, return on equity of 0.14, and Shares Outstanding of 316.58 M as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Valero Energy's valuation include:
Price Book 1.7702 | Enterprise Value 50.3 B | Enterprise Value Ebitda 6.0925 | Price Sales 0.3472 | Forward PE 12.7551 |
Overvalued
Today
Please note that Valero Energy's price fluctuation is very steady at this time. Calculation of the real value of Valero Energy is based on 3 months time horizon. Increasing Valero Energy's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Valero Energy is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Valero Stock. However, Valero Energy's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 141.2 | Real 116.54 | Target 150.47 | Hype 141.2 | Naive 145.7 |
The intrinsic value of Valero Energy's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Valero Energy's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Valero Energy helps investors to forecast how Valero stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Valero Energy more accurately as focusing exclusively on Valero Energy's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Valero Energy's intrinsic value based on its ongoing forecasts of Valero Energy's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Valero Energy's closest peers.
Valero Energy Cash |
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Valero Valuation Trend
Knowing Valero Energy's actual value is paramount for traders when making sound investment determinations. Using both Valero Energy's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Valero Revenue by Product
Valero Energy Total Value Analysis
Valero Energy is at this time expected to have company total value of 50.32 B with market capitalization of 44.7 B, debt of 12.64 B, and cash on hands of 4.86 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Valero Energy fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
50.32 B | 44.7 B | 12.64 B | 4.86 B |
Valero Energy Investor Information
About 84.0% of the company outstanding shares are owned by institutional investors. The company has Price to Book (P/B) ratio of 1.77. Historically many companies with similar price-to-book (P/B) ratio do better than the market in the long run. Valero Energy has Price/Earnings To Growth (PEG) ratio of 0.21. The entity recorded earning per share (EPS) of 11.38. The firm last dividend was issued on the 20th of November 2024. Valero Energy had 1094:1000 split on the 2nd of May 2013. Based on the key measurements obtained from Valero Energy's financial statements, Valero Energy is doing better financially today then in previous quarter. It has a moderate likelihood of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 9.7 B | 9.2 B |
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Valero Energy Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Valero Energy has an asset utilization ratio of 220.44 percent. This suggests that the Company is making $2.2 for each dollar of assets. An increasing asset utilization means that Valero Energy is more efficient with each dollar of assets it utilizes for everyday operations.Valero Energy Ownership Allocation
Valero Energy shows a total of 316.58 Million outstanding shares. The majority of Valero Energy outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Valero Energy to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Valero Energy. Please pay attention to any change in the institutional holdings of Valero Energy as this could imply that something significant has changed or is about to change at the company. Please note that on April 29, 2024, Senator Thomas R Carper of US Senate acquired under $15k worth of Valero Energy's common stock.Valero Energy Profitability Analysis
The company reported the last year's revenue of 139 B. Total Income to common stockholders was 8.81 B with profit before taxes, overhead, and interest of 19.22 B.Valero Energy Past Distributions to stockholders
About Valero Energy Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Valero Energy. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Valero Energy based exclusively on its fundamental and basic technical indicators. By analyzing Valero Energy's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Valero Energy's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Valero Energy. We calculate exposure to Valero Energy's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Valero Energy's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 7.4 B | 3.8 B | |
| Pretax Profit Margin | 0.08 | 0.04 | |
| Operating Profit Margin | 0.09 | 0.05 | |
| Net Profit Margin | 0.06 | 0.07 | |
| Gross Profit Margin | 0.05 | 0.09 |
A single share of Valero Energy represents a small ownership stake in the entity. As a stockholder of Valero, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Valero Energy Dividends Analysis For Valuation
At this time, Valero Energy's Dividends Paid is very stable compared to the past year. As of the 21st of November 2024, Dividend Payout Ratio is likely to grow to 0.28, while Dividend Yield is likely to drop 0.02. . At this time, Valero Energy's Retained Earnings are very stable compared to the past year. As of the 21st of November 2024, Earnings Yield is likely to grow to 0.20, while Retained Earnings Total Equity is likely to drop about 26.6 B.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 1.5 B | 1.5 B | |
| Dividend Yield | 0.03 | 0.02 | |
| Dividend Payout Ratio | 0.16 | 0.28 | |
| Dividend Paid And Capex Coverage Ratio | 3.91 | 4.10 |
There are various types of dividends Valero Energy can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Valero shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Valero Energy directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Valero pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Valero Energy by the value of the dividends paid out.
Valero Energy Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 353 M | |
| Quarterly Earnings Growth Y O Y | -0.848 | |
| Forward Price Earnings | 12.7551 |
Valero Energy Current Valuation Indicators
Valero Energy's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Valero Energy's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Valero Energy, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Valero Energy's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Valero Energy's worth.When determining whether Valero Energy offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Valero Energy's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Valero Energy Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Valero Energy Stock: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Valero Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of economic analysis. To learn how to invest in Valero Stock, please use our How to Invest in Valero Energy guide.You can also try the Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Is Oil & Gas Refining & Marketing space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Valero Energy. If investors know Valero will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Valero Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.85) | Dividend Share 4.23 | Earnings Share 11.38 | Revenue Per Share 393.974 | Quarterly Revenue Growth (0.15) |
The market value of Valero Energy is measured differently than its book value, which is the value of Valero that is recorded on the company's balance sheet. Investors also form their own opinion of Valero Energy's value that differs from its market value or its book value, called intrinsic value, which is Valero Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Valero Energy's market value can be influenced by many factors that don't directly affect Valero Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Valero Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Valero Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Valero Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.