- Valero Energy‘s 1Q adjusted earnings per share (EPS) were 89 cents, beating the estimate of 41 cents but lower than last year’s $3.82.
- Revenue came in at $30.26 billion, a 4.7% decrease year over year, surpassing the estimated $27.84 billion.
- Total throughput was 2,828 thousand barrels per day, a 2.5% increase year-over-year, close to the estimate of 2.84 million barrels per day.
- Adjusted refining operating income per barrel of throughput was $2.38, a 66% decline year-over-year.
- The Gulf Coast refining margin was $1.44 billion, down 30% year-over-year, slightly above the estimate of $1.4 billion.
- Mid-Continent refining margin was $321 million, a 41% year-over-year decrease, but near the estimate of $327.5 million.
- North Atlantic refining margin stood at $457 million, down 29% year-over-year, aligning closely with the estimate of $453.9 million.
- West Coast refining margin was $275 million, decreasing by 9.5% year-over-year, exceeding the estimate of $197 million.
- Cash flow from operations was $952 million, a 48% drop year-over-year, yet above the estimate of $815.3 million.
- Refining margin per barrel was $9.78, declining 30% year-over-year, but higher than the estimated $9.32.
- Despite maintenance challenges and tough margins in the Renewable Diesel segment, Valero delivered positive first-quarter results, as stated by CEO Lane Riggs.
- Analyst ratings include 16 buys, 5 holds, and 1 sell.
Valero Energy on Smartkarma
Analysts on Smartkarma, like Baptista Research, are closely following Valero Energy Corporation’s performance and strategies. In a recent report titled “Valero Energy Corporation’s Biofuel Strategy Is Turning Waste Into Gold—Can It Outrun Regulatory Shocks?” Baptista Research highlighted Valero’s operational achievements but noted financial challenges with a significant decrease in net income. Despite the hurdles, the report leans towards a bullish sentiment, emphasizing the potential of Valero’s biofuel strategy.
Another report by Baptista Research, “Valero Energy Corporation: How The St. Charles FCC Project Can Enhance Its Refining Efficiency!”, delves into Valero’s refining efficiency. The analysis discusses Valero’s third-quarter financial performance, showcasing operational and financial aspects affected by maintenance activities and a tough margin environment. Despite these challenges, the report remains bullish on Valero’s prospects, especially with the St. Charles FCC Project’s potential to boost efficiency.
A look at Valero Energy Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Valero Energy Corporation, an independent petroleum refining and marketing company with refineries in the US, Canada, and Aruba, is positioned well for long-term success. According to Smartkarma Smart Scores, Valero Energy excels in areas such as value, dividend payout, and growth potential, with high ratings in these categories. This indicates a positive outlook for the company’s financial performance and shareholder returns in the years to come.
While Valero Energy scores slightly lower in resilience, indicating some vulnerability to economic fluctuations, its strong momentum score suggests that the company is currently on a stable growth trajectory. Overall, Valero Energy‘s solid performance in key areas bodes well for its future prospects in the competitive petroleum industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
