We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Valero Energy to Report Q2 Earnings: What's in the Cards?
Read MoreHide Full Article
Key Takeaways
Valero Energy is set to report Q2 earnings on July 24, with EPS estimated at $1.76 on $27.84B in revenues.
Higher refinery utilization and improved crack spreads may support margins despite lower crude prices.
Closure of a high-cost refinery and progress in renewable fuel initiatives may boost Q2 performance.
Valero Energy Corporation (VLO - Free Report) is set to report second-quarter 2025 results on July 24, before the opening bell. In the last reported quarter, Valero Energy’s adjusted earnings of 89 cents per share beat the Zacks Consensus Estimate of 43 cents due to lower total cost of sales. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed once, delivering an average surprise of 122.87%. This is depicted in the graph below:
The Zacks Consensus Estimate for second-quarter earnings per share of $1.76 has witnessed no downward revision and one upward revision in the past seven days. The estimated figure suggests a decline of 35.06% from the prior-year reported number.
The Zacks Consensus Estimate for revenues of $27.84 billion indicates a 19.29% decline from the year-ago recorded figure.
Factors to Consider
Valero Energy is expected to have maintained a stable performance in the second quarter, owing to high refinery utilization rates during this period. Per the data from the U.S. Energy Information Administration, spot prices for West Texas Intermediate Crude dropped nearly 21% from the prior-year quarter’s level. This might have supported the refining player’s profitability by reducing input costs.
Additionally, refining margins improved meaningfully during the quarter, driven by reduced global capacity from shutdowns at major refineries and strong seasonal demand, which boosted crack spreads, particularly benefiting Valero’s low-cost operations. The company’s strategic decision to close its high-cost Benicia refinery also aligns with broader industry consolidation, potentially enhancing future margins. Additionally, Valero has made notable progress in renewable diesel and SAF (sustainable aviation fuel) initiatives, which could have aided the company’s performance in the to-be-reported quarter.
These factors are expected to have positively impacted demand and pricing dynamics, potentially aiding Valero Energy’s quarterly performance.
Earnings Whispers
Our proven model indicates an earnings beat for VLO this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is just the case here, as you will see below.
Earnings ESP: Valero Energy has an Earnings ESP of +1.22%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: VLO currently carries a Zacks Rank #3.
Other Stocks to Consider
Here are some other firms from the energy space that you may want to consider, as these too have the right combination of elements to post an earnings beat this reporting cycle.
BP is scheduled to release second-quarter 2025 earnings on Aug. 5. The Zacks Consensus Estimate for BP’s earnings is pegged at 66 cents per share, implying a 34% year-over-year decline.
Matador Resources (MTDR - Free Report) has an Earnings ESP of +10.22% and a Zacks Rank #3 at present.
Matador Resources is set to release second-quarter 2025 earnings on July 22. The Zacks Consensus Estimate for MTDR’s earnings is pegged at $1.25 per share, indicating a 39% decline year over year.
Phillips 66 (PSX - Free Report) has an Earnings ESP of +4.25% and a Zacks Rank #3 at present.
Phillips 66 is scheduled to release second-quarter earnings on July 25. The Zacks Consensus Estimate for PSX’s earnings is pegged at $1.63 per share, which indicates a 29.4% year-over-year decline.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Shutterstock
Valero Energy to Report Q2 Earnings: What's in the Cards?
Key Takeaways
Valero Energy Corporation (VLO - Free Report) is set to report second-quarter 2025 results on July 24, before the opening bell. In the last reported quarter, Valero Energy’s adjusted earnings of 89 cents per share beat the Zacks Consensus Estimate of 43 cents due to lower total cost of sales. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed once, delivering an average surprise of 122.87%. This is depicted in the graph below:
Valero Energy Corporation Price and EPS Surprise
Valero Energy Corporation price-eps-surprise | Valero Energy Corporation Quote
Estimate Trend
The Zacks Consensus Estimate for second-quarter earnings per share of $1.76 has witnessed no downward revision and one upward revision in the past seven days. The estimated figure suggests a decline of 35.06% from the prior-year reported number.
The Zacks Consensus Estimate for revenues of $27.84 billion indicates a 19.29% decline from the year-ago recorded figure.
Factors to Consider
Valero Energy is expected to have maintained a stable performance in the second quarter, owing to high refinery utilization rates during this period. Per the data from the U.S. Energy Information Administration, spot prices for West Texas Intermediate Crude dropped nearly 21% from the prior-year quarter’s level. This might have supported the refining player’s profitability by reducing input costs.
Additionally, refining margins improved meaningfully during the quarter, driven by reduced global capacity from shutdowns at major refineries and strong seasonal demand, which boosted crack spreads, particularly benefiting Valero’s low-cost operations. The company’s strategic decision to close its high-cost Benicia refinery also aligns with broader industry consolidation, potentially enhancing future margins. Additionally, Valero has made notable progress in renewable diesel and SAF (sustainable aviation fuel) initiatives, which could have aided the company’s performance in the to-be-reported quarter.
These factors are expected to have positively impacted demand and pricing dynamics, potentially aiding Valero Energy’s quarterly performance.
Earnings Whispers
Our proven model indicates an earnings beat for VLO this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is just the case here, as you will see below.
Earnings ESP: Valero Energy has an Earnings ESP of +1.22%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: VLO currently carries a Zacks Rank #3.
Other Stocks to Consider
Here are some other firms from the energy space that you may want to consider, as these too have the right combination of elements to post an earnings beat this reporting cycle.
BP plc (BP - Free Report) has an Earnings ESP of +2.91% and a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
BP is scheduled to release second-quarter 2025 earnings on Aug. 5. The Zacks Consensus Estimate for BP’s earnings is pegged at 66 cents per share, implying a 34% year-over-year decline.
Matador Resources (MTDR - Free Report) has an Earnings ESP of +10.22% and a Zacks Rank #3 at present.
Matador Resources is set to release second-quarter 2025 earnings on July 22. The Zacks Consensus Estimate for MTDR’s earnings is pegged at $1.25 per share, indicating a 39% decline year over year.
Phillips 66 (PSX - Free Report) has an Earnings ESP of +4.25% and a Zacks Rank #3 at present.
Phillips 66 is scheduled to release second-quarter earnings on July 25. The Zacks Consensus Estimate for PSX’s earnings is pegged at $1.63 per share, which indicates a 29.4% year-over-year decline.