Valero Energy operates as an independent petroleum refining and marketing company in the United States, Canada, the Caribbean, the United Kingdom, and Ireland. It operates through two segments, Refining and Ethanol. The company was founded in 1955 and is based in San Antonio, Texas.
VLO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Valero Energy Corp. To summarize, we found that Valero Energy Corp ranked in the 20th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Valero Energy Corp ended up being:
Its compound free cash flow growth rate, as measured over the past 5.74 years, is -0.16% -- higher than merely 10.27% of stocks in our DCF forecasting set.
Valero Energy Corp's weighted average cost of capital (WACC) is 7%; for context, that number is higher than only 7.1% of tickers in our DCF set.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than merely 19.2% of stocks in its sector (Energy).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Energy that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as VLO, try SLB, AROC, FTSI, RNET, and GEOS.
Valero Energy (VLO) says it plans to operate its 15 refineries at up to 79% of their combined total throughput capacity of 3.15M bbl/day in Q3, as demand remains reduced because of COVID-19.The refiner plans for its eight Gulf Coast refineries to operate at 1.4M-1.45M bbl/day during the quarter, the...
SAN ANTONIO--(BUSINESS WIRE)--Valero Energy Corporation (NYSE: VLO, “Valero”) today reported net income attributable to Valero stockholders of $1.3 billion, or $3.07 per share, for the second quarter of 2020 compared to net income of $612 million, or $1.47 per share, for the second quarter of 2019. Excluding the adjustments shown in the accompanying earnings release tables, adjusted net loss attributable to Valero stockholders was $504 million, or $1.25 per share, for the second quarter of 2020
Shares of Valero Energy (NYSE:VLO) fell 1.2% in pre-market trading after the company reported Q2 results.Quarterly Results Earnings per share were down 182.78% year over year to ($1.25), which beat the estimate of ($1.40).Revenue of $10,397,000,000 decreased by 64.07% year over year, which missed the estimate of $15,940,000,000.Guidance Earnings guidance hasn't been issued by the company for now.Revenue guidance hasn't been issued by the company for now.Conference Call Details Date: Jul 30, 2020View more earnings on VLOTime: 10:00 AMET Webcast URL: https://78449.themediaframe.com/dataconf/productusers/valero/mediaframe/39233/indexl.htmlRecent Stock Performance Company's 52-week high was at $101.99Company's 52-week low was at $31.00Price action over last quarter: down 5.3...