Stock Analysis on Net

Valero Energy Corp. (NYSE:VLO)

Common Stock Valuation Ratios (Price Multiples)

Microsoft Excel

Current Valuation Ratios

Valero Energy Corp., current price multiples

Microsoft Excel
Valero Energy Corp. Chevron Corp. ConocoPhillips Exxon Mobil Corp. Marathon Petroleum Corp. Occidental Petroleum Corp. Pioneer Natural Resources Co. Oil, Gas & Consumable Fuels Energy
Selected Financial Data
Current share price (P) $167.81
No. shares of common stock outstanding 332,481,908
Growth rate (g) 5.11%
 
Earnings per share (EPS) $26.57
Next year expected EPS $27.93
Operating profit per share $35.67
Sales per share $435.41
Book value per share (BVPS) $79.24
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 6.32 13.59 13.62 12.67 7.35 14.97 12.41 11.93 12.22
Price to next year expected earnings 6.01 13.73 12.38 12.25 6.80 16.11 11.87 11.53 12.00
Price-earnings-growth (PEG) 1.23 1.37 3.75 0.91 2.71 3.38 6.60
Price to operating profit (P/OP) 4.71 9.59 8.69 8.39 4.90 8.25 9.30 8.06 8.29
Price to sales (P/S) 0.39 1.47 2.66 1.36 0.48 2.00 3.14 1.23 1.27
Price to book value (P/BV) 2.12 1.80 3.03 2.23 2.92 1.87 2.62 2.20 2.26

Based on: 10-K (reporting date: 2023-12-31).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Valero Energy Corp., historical price multiples

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Price to earnings (P/E) 5.26 4.26 37.78 12.12
Price to operating profit (P/OP) 3.92 3.13 16.50 7.65
Price to sales (P/S) 0.32 0.28 0.31 0.48 0.27
Price to book value (P/BV) 1.76 2.09 1.91 1.65 1.35

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Valero Energy Corp. P/E ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Valero Energy Corp. P/OP ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Valero Energy Corp. P/S ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Valero Energy Corp. P/BV ratio increased from 2021 to 2022 but then decreased significantly from 2022 to 2023.

Price to Earnings (P/E)

Valero Energy Corp., historical P/E calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 332,481,908 371,150,836 409,303,630 408,562,891 409,337,126
Selected Financial Data (US$)
Net income (loss) attributable to Valero Energy Corporation stockholders (in millions) 8,835 11,528 930 (1,421) 2,422
Earnings per share (EPS)2 26.57 31.06 2.27 -3.48 5.92
Share price1, 3 139.78 132.43 85.84 75.81 71.72
Valuation Ratio
P/E ratio4 5.26 4.26 37.78 12.12
Benchmarks
P/E Ratio, Competitors5
Chevron Corp. 13.42 8.71 16.81 70.06
ConocoPhillips 11.92 7.07 14.66 8.77
Exxon Mobil Corp. 11.49 8.01 14.11 15.64
Marathon Petroleum Corp. 6.24 3.85 4.32 11.68
Occidental Petroleum Corp. 13.36 4.24 23.89
Pioneer Natural Resources Co. 11.17 6.14 25.60 29.80
P/E Ratio, Sector
Oil, Gas & Consumable Fuels 10.92 7.00 14.31 20.63
P/E Ratio, Industry
Energy 11.20 7.35 14.77 34.21

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
EPS = Net income (loss) attributable to Valero Energy Corporation stockholders ÷ No. shares of common stock outstanding
= 8,835,000,000 ÷ 332,481,908 = 26.57

3 Closing price as at the filing date of Valero Energy Corp. Annual Report.

4 2023 Calculation
P/E ratio = Share price ÷ EPS
= 139.78 ÷ 26.57 = 5.26

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Valero Energy Corp. P/E ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.

Price to Operating Profit (P/OP)

Valero Energy Corp., historical P/OP calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 332,481,908 371,150,836 409,303,630 408,562,891 409,337,126
Selected Financial Data (US$)
Operating income (loss) (in millions) 11,858 15,690 2,130 (1,579) 3,836
Operating profit per share2 35.67 42.27 5.20 -3.86 9.37
Share price1, 3 139.78 132.43 85.84 75.81 71.72
Valuation Ratio
P/OP ratio4 3.92 3.13 16.50 7.65
Benchmarks
P/OP Ratio, Competitors5
Chevron Corp. 9.48 6.12 11.40 30.35
ConocoPhillips 7.61 4.57 8.66 6.04
Exxon Mobil Corp. 7.62 5.65 9.86 10.14
Marathon Petroleum Corp. 4.16 2.60 9.79 5.52
Occidental Petroleum Corp. 7.37 3.78 7.96 45.37
Pioneer Natural Resources Co. 8.37 4.70 16.34 170.14 14.48
P/OP Ratio, Sector
Oil, Gas & Consumable Fuels 7.37 4.98 10.40 11.87
P/OP Ratio, Industry
Energy 7.60 5.24 10.72 16.06

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
Operating profit per share = Operating income (loss) ÷ No. shares of common stock outstanding
= 11,858,000,000 ÷ 332,481,908 = 35.67

3 Closing price as at the filing date of Valero Energy Corp. Annual Report.

4 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 139.78 ÷ 35.67 = 3.92

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Valero Energy Corp. P/OP ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.

Price to Sales (P/S)

Valero Energy Corp., historical P/S calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 332,481,908 371,150,836 409,303,630 408,562,891 409,337,126
Selected Financial Data (US$)
Revenues, includes excise taxes on sales by certain of foreign operations (in millions) 144,766 176,383 113,977 64,912 108,324
Sales per share2 435.41 475.23 278.47 158.88 264.63
Share price1, 3 139.78 132.43 85.84 75.81 71.72
Valuation Ratio
P/S ratio4 0.32 0.28 0.31 0.48 0.27
Benchmarks
P/S Ratio, Competitors5
Chevron Corp. 1.46 1.31 1.69 2.09 1.46
ConocoPhillips 2.33 1.68 2.58 3.52 1.94
Exxon Mobil Corp. 1.24 1.12 1.17 1.34 0.88
Marathon Petroleum Corp. 0.41 0.32 0.35 0.51 0.25
Occidental Petroleum Corp. 1.78 1.45 1.40 1.39 1.44
Pioneer Natural Resources Co. 2.82 1.98 3.03 4.58 2.33
P/S Ratio, Sector
Oil, Gas & Consumable Fuels 1.12 0.97 1.16 1.39 0.88
P/S Ratio, Industry
Energy 1.16 1.02 1.19 1.38 0.91

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
Sales per share = Revenues, includes excise taxes on sales by certain of foreign operations ÷ No. shares of common stock outstanding
= 144,766,000,000 ÷ 332,481,908 = 435.41

3 Closing price as at the filing date of Valero Energy Corp. Annual Report.

4 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 139.78 ÷ 435.41 = 0.32

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Valero Energy Corp. P/S ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.

Price to Book Value (P/BV)

Valero Energy Corp., historical P/BV calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 332,481,908 371,150,836 409,303,630 408,562,891 409,337,126
Selected Financial Data (US$)
Total Valero Energy Corporation stockholders’ equity (in millions) 26,346 23,561 18,430 18,801 21,803
Book value per share (BVPS)2 79.24 63.48 45.03 46.02 53.26
Share price1, 3 139.78 132.43 85.84 75.81 71.72
Valuation Ratio
P/BV ratio4 1.76 2.09 1.91 1.65 1.35
Benchmarks
P/BV Ratio, Competitors5
Chevron Corp. 1.78 1.94 1.89 1.50 1.42
ConocoPhillips 2.65 2.75 2.61 2.22 1.80
Exxon Mobil Corp. 2.02 2.29 1.93 1.53 1.17
Marathon Petroleum Corp. 2.48 2.02 1.61 1.60 0.91
Occidental Petroleum Corp. 1.67 1.76 1.79 1.33 0.86
Pioneer Natural Resources Co. 2.36 2.14 2.37 2.78 1.86
P/BV Ratio, Sector
Oil, Gas & Consumable Fuels 2.01 2.16 1.98 1.61 1.28
P/BV Ratio, Industry
Energy 2.07 2.24 2.04 1.64 1.32

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
BVPS = Total Valero Energy Corporation stockholders’ equity ÷ No. shares of common stock outstanding
= 26,346,000,000 ÷ 332,481,908 = 79.24

3 Closing price as at the filing date of Valero Energy Corp. Annual Report.

4 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 139.78 ÷ 79.24 = 1.76

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Valero Energy Corp. P/BV ratio increased from 2021 to 2022 but then decreased significantly from 2022 to 2023.