NYSE:VLO

Valero Energy Corp (VLO)

397.04
+14.09 (3.68%)
as of Sep 15, 2026, 8:00:00 pm Market Open.
62 watching
0
BUY
This is a cyclical company. Very small dividend but plenty of free cash flow so that they can expand or build a refinery if they have to.
WAIT
Largest refiner in North America. Gasoline prices have dropped and this comes out of the refiner's pockets. Margins are declining, especially as we are off the summer driving season. Buy on weakness over the next couple of months. Good company.
BUY
A pure play refinery. Last quarter was its best quarter ever. Refining has been the place to be.
BUY
A very good company generating almost 2 X free cash flows to its capital expenditures. Unless they have big plans ahead to build new refineries, they should continue to generate a lot of cash.
BUY
No new refineries have been built in North America in the last 30 years so this stock has done very well. Refineries will continue to benefit from scarcity.
HOLD
Has a great suite of refineries. You are coming into the summer driving season and the hurricane season. Cheap on a cash flow metric. One of the few pure plays you can get into. Very valued now.
PAST TOP PICK
(A Top Pick Jan 25/06. Down 2.5%.) Still likes and would recommend it. Refining is incredibly tight right now.
TOP PICK
It's an energy company and it's priced too low. "There's value that's not being realized"
SELL
Last year was a perfect positive storm for them when refinery margins went through the roof. That is now behind us with a lot of hurricane damaged refineries coming back on stream. They have now been producing gasoline at a net loss. You want to own this when refinery margins are going up.
PAST TOP PICK
(A Top Pick Nov 23/05. Up 17%.) Still sees a 60% positive differential on this stock.
TOP PICK
Likes refiners. U.S. looking at changing gas regulations which will increase the through put. Very bullish. Valuation cheap. Wide slat of refiners geographically diverse. Able to handle heavier grades of crude.
TOP PICK
And independent refiner in the US. There is a very strong case for refineries in general. A very tight supply of gasoline. Trading at about 7.2 X persons the other independent refiners which would be at 12/12.4. US is introducing new requirements for low sulphur in diesel and gasoline creating even tighter supplies.
DON'T BUY
At refining and marketing stock. They don't drill for oil, but buy oil and refine it. A play on the refining and marketing margins. Refining margins peaked earlier this year and the stock hasn't done much lately. Too late.
SELL
They are the largest pure oil market and refining in North America. You have probably now seen the best times for refining. Probably time to take your profits.
TOP PICK
Dirt cheap here. Even if it trades at today's valuation a year from now, it will trade at an implied rate of $131. His model price is $163, a 60% differential. It is very volatile.
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