Valero Energy (VLO - Free Report) closed the most recent trading day at $78.95, moving +0.61% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.53%. At the same time, the Dow lost 0.36%, and the tech-heavy Nasdaq lost 0.94%.
Coming into today, shares of the oil refiner had gained 6.82% in the past month. In that same time, the Oils-Energy sector gained 1.41%, while the S&P 500 lost 1.47%.
VLO will be looking to display strength as it nears its next earnings release, which is expected to be January 31, 2019. The company is expected to report EPS of $0.95, down 18.1% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $29.07 billion, up 10.16% from the prior-year quarter.
Any recent changes to analyst estimates for VLO should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.14% lower. VLO is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that VLO has a Forward P/E ratio of 9.27 right now. This represents a discount compared to its industry's average Forward P/E of 10.41.
It is also worth noting that VLO currently has a PEG ratio of 0.24. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Refining and Marketing was holding an average PEG ratio of 0.87 at yesterday's closing price.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 108, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.