Valero Energy Corporation

VLO · Energy · Oil & Gas Refining & Marketing

Large CapCash Generator
$236.30
-1.45%

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, …

What to know about VLO

Valero Energy Corporation is a large Energy company with a mixed financial profile. It scores well on valuation and health, but profitability is worth keeping an eye on.

Should you consider VLO?

Based on 31 financial metrics and sector comparison. Not financial advice.

  1. Valero Energy Corporation is a large-cap Energy company with a mixed overall financial profile — it ranks near the bottom of Energy stocks (19 of 21).

  2. Profit margins are thin compared to most S&P 500 peers — the company keeps less of each dollar it earns than the average. Watch for signs of margin improvement.

  3. Valuation looks attractive — the stock is priced reasonably relative to its earnings and sales compared to most peers. You're not overpaying for the business.

  4. Growth has been slower than most peers. That's not necessarily a dealbreaker, but it means the investment case rests more on current earnings than future expansion.

  5. There is a small dividend (0.02%), but income-focused investors will likely find better yields elsewhere in the market.

  6. Volatility is close to the S&P 500 average — typical market swings, nothing unusual.

  7. There are several areas of concern. This may suit investors with a higher risk tolerance or a specific contrarian view on the Energy sector.

At a glance

Price $236.30
Market size 70.17B
Annual dividend 0.02%
Strongest metric Price to Sales 0.60

How it scores

We look at 31 different financial metrics and group them into categories. Here's how VLO compares to the other S&P 500 stocks.

Valuation
Good
Health
Good
Size
Good
Risk
Good
Dividends
Average
Cash Flow
Average
Sentiment
Average
Growth
Average
Profitability
Average
Dive deeper — all 31 metrics 9 categories · valuation, growth, health, dividends & more Show all Hide

Valuation

Is the stock cheap or expensive relative to its earnings, sales, and assets? Lower multiples often mean better value.

Metric Value vs S&P 500
P/E Ratio (Trailing) 17.25 Top 25%
Forward P/E 11.06 Top 25%
PEG Ratio 4.08 Below avg
Price to Sales 0.60 Top 25%
Price to Book 2.98 Above avg
EV/EBITDA 8.84 Top 25%
Earnings Yield 5.80% Top 25%

Profitability

How efficiently does the company turn revenue into profit? Higher margins mean more money kept from each dollar earned.

Metric Value vs S&P 500
Gross Margin 14.56% Below avg
Operating Margin 6.05% Below avg
Net Profit Margin 3.57% Below avg
Return on Equity 15.85% Average
Return on Invested Capital 6.49% Above avg

Growth

How fast is the business expanding? Strong growth in revenue and earnings signals increasing market demand.

Metric Value vs S&P 500
Revenue Growth (YoY) 6.60% Average
Revenue Growth (3Y CAGR) -11.40% Below avg
EPS Growth (YoY) N/A
Free Cash Flow Growth -12.92% Average

Health

Can the company cover its debts and obligations? A healthy balance sheet reduces the risk of financial trouble.

Metric Value vs S&P 500
Current Ratio 1.58 Above avg
Debt to Equity 0.43 Top 25%
Interest Coverage 6.40 Average
Altman Z-Score 5.01 Above avg

Dividends

Does the company pay shareholders, and is that payment growing and sustainable?

Metric Value vs S&P 500
Dividend Yield 1.97% Above avg
Payout Ratio 33.53% Average
Dividend Growth (5Y) -9.35% Average

Cash Flow

Is real cash flowing into the business — not just accounting profits? Strong cash flow funds growth and dividends.

Metric Value vs S&P 500
Free Cash Flow Yield 7.91% Top 25%
OCF to Sales 5.02% Below avg

Risk

How volatile is the stock compared to the broader market? Lower beta and volatility mean a smoother ride.

Metric Value vs S&P 500
Beta (1-Year) 0.55 Top 25%
Volatility (30-Day) 34.10% Average

Sentiment

What do analysts and short-sellers think? High analyst ratings and low short interest signal broad confidence.

Metric Value vs S&P 500
Short % of Float 3.60% Average
Avg. Analyst Rating 2.40 Below avg
Target Upside % 10.74% Average

Size

How large is the company by market value? Size affects stability, growth potential, and index inclusion.

Metric Value vs S&P 500
Market Capitalization 70.17B Above avg

How does VLO compare to…?

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