Valero Energy Stock Declines Amid Broader Market Gains
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 25 2026
0mins
Source: Fool
Valero Energy Corp (VLO) experienced a significant decline of 6.56%, hitting a 5-day low, despite the S&P 500 rising by 2.60% and the Nasdaq-100 showing a slight increase of 0.02%.
The drop in Valero's stock price can be attributed to sector rotation, as the broader market showed strength while Valero faced challenges ahead of its upcoming earnings report on April 30, 2026, where analysts expect a notable EPS of $2.79, despite a projected revenue decline of 7.73%. This situation reflects a cautious sentiment among investors, who may be reacting to the anticipated volatility in the energy sector due to geopolitical factors affecting oil prices.
The implications of this price movement suggest that while Valero has shown strong performance in the past, the current market dynamics and upcoming earnings report may lead to increased volatility. Investors should remain vigilant as the stock navigates through these challenges.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy VLO?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on VLO
Wall Street analysts forecast VLO stock price to fall
17 Analyst Rating
11 Buy
6 Hold
0 Sell
Moderate Buy
Current: 269.440
Low
149.00
Averages
186.56
High
223.00
Current: 269.440
Low
149.00
Averages
186.56
High
223.00
About VLO
Valero Energy Corporation, through its subsidiaries, is a multinational manufacturer and marketer of petroleum-based and low-carbon liquid transportation fuels and petrochemical products. The Company sells its products primarily in the United States (U.S.), Canada, the United Kingdom (U.K.), Ireland, and Latin America. It operates through three segments, which include Refining, Renewable Diesel, and Ethanol. The Refining segment includes the operations of its petroleum refineries, the associated activities to market its refined petroleum products, and the logistics assets that support its refining operations. The Renewable Diesel segment represents the operations of Diamond Green Diesel (DGD), and the associated activities to market low-carbon fuels, renewable diesel, renewable naphtha, and neat sustainable aviation fuel (SAF). The Ethanol segment includes the operations of its ethanol plants and the associated activities to market its ethanol and co-products.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Zacks Premium Empowers Confident Investing for New and Old Investors
- Investor Confidence Boost: Zacks Premium offers daily updates on Zacks Rank and industry rankings, enabling investors to make more informed decisions, thereby enhancing their confidence and optimizing their portfolios.
- Style Scoring System: The Zacks Style Scores evaluate stocks based on value, growth, and momentum characteristics, assisting investors in identifying stocks with the potential to outperform the market over the next 30 days, thus enhancing the effectiveness of investment strategies.
- Valero Energy Performance: Valero Energy Corporation (VLO) boasts a Growth Style Score of A, forecasting a year-over-year growth rate of 167.4% for the current fiscal year, highlighting its strong earnings potential and attracting growth investors' attention.
- Expert Stock Recommendations: Five Zacks experts have each selected their top stock picks, with one targeting millennial and Gen Z audiences generating nearly $1 billion in revenue last quarter, indicating its market appeal and growth potential.
See More
Gasoline Inventories Tighten, Keeping Prices Elevated
- Current Gas Prices: The average U.S. gasoline price stands at $3.83 per gallon, down from $4.29 a month ago but still significantly higher than last year, indicating that consumers are facing elevated costs at the pump despite falling crude prices.
- Refinery Operations: U.S. refiners are operating at maximum capacity, leading to tight gasoline supplies that prevent the quick conversion of cheaper crude into finished gasoline, thereby keeping retail prices high and reflecting a supply-demand imbalance in the market.
- Geopolitical Risks: Croft noted that ship traffic through the Strait of Hormuz remains below normal levels, averaging about 40 vessels per day compared to over 100 pre-tension, suggesting that geopolitical uncertainties may continue to impact energy prices.
- Market Outlook: Croft believes that mid-August will be a critical turning point for energy prices, contingent on shipping activity through the Strait of Hormuz, the progress of nuclear negotiations, and whether refinery utilization and gasoline inventories begin to normalize.
See More
US Stocks Rebound as Tech Shares Benefit from AI Demand
- Market Rebound: The S&P 500 Index rose by 0.72%, the Dow Jones Industrial Average increased by 0.82%, and the Nasdaq 100 Index climbed by 0.50%, indicating a recovery from Tuesday's sharp selloff as investors look to Micron Technology's earnings report to assess AI market performance.
- Micron Technology Gains: Micron's stock has surged over 260% this year, positioning the company as a major beneficiary of the soaring demand for AI infrastructure, which has attracted significant investor interest and reflects its strong market position.
- Housing Bill Impact: The passage of the 21st Century Road to Housing Act by Congress has led to gains for homebuilders and building suppliers, with KB Home and Builders Firstsource rising over 16% and 11% respectively, highlighting the positive impact of policy support on the industry.
- Crude Oil Price Drop: WTI crude oil prices fell more than 4% to a 3.5-month low, lowering inflation expectations and boosting stock markets, particularly benefiting airline and cruise line stocks due to reduced fuel costs, demonstrating the influence of energy market fluctuations on the broader economy.
See More
Analysis of XLE ETF's 52-Week Price Fluctuations
- Price Range Analysis: The XLE ETF has a 52-week low of $42.05 and a high of $63.46, with the last trade at $53.38, indicating stability and potential investment opportunities in the current market.
- Technical Analysis Tool: Comparing the current share price to the 200-day moving average provides valuable insights for investors, helping them better grasp market trends and timing for investments.
- ETF Unit Trading Mechanism: ETFs trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding helps identify ETFs experiencing significant inflows or outflows, allowing for timely adjustments in investment strategies to optimize portfolio performance.
See More
US Stocks Rise on US-Iran Peace Deal Optimism
- Market Rally: The S&P 500 rose 1.08%, the Dow Jones increased by 0.14%, and the Nasdaq 100 surged 2.48% as optimism over the US-Iran peace deal eased inflation risks, reflecting a positive market sentiment.
- Chip Sector Surge: Intel's stock jumped over 10% after President Trump announced a partnership with Apple to design and produce semiconductors domestically, leading the iShares Semiconductor ETF to rise more than 7%, indicating strong momentum in the tech sector.
- Energy Stocks Weaken: WTI crude oil prices fell to a 3.5-month low, causing significant declines in energy stocks, with SLB, ConocoPhillips, and Halliburton dropping over 3%, highlighting concerns over energy price volatility.
- Supportive Economic Data: Initial jobless claims fell to 226,000, close to the expected 225,000, indicating labor market strength, while the Philadelphia Fed business outlook index rose to 10.3, surpassing expectations, further boosting investor confidence.
See More
US Stocks Surge as Geopolitical Risks Ease
- Market Rebound: The signing of a preliminary deal by President Trump to end the US-Iran war has driven crude oil prices to a 3.5-month low, resulting in a broad market rally with the S&P 500 up 0.99% and the Nasdaq 100 up 2.16%, indicating a resurgence in risk appetite among investors.
- Chip Stocks Lead Gains: Intel shares surged 7% after Trump announced a partnership with Apple to design and produce semiconductors domestically, propelling the entire semiconductor sector higher, with the iShares Semiconductor ETF rising over 5%, reflecting strong investor confidence in tech stocks.
- Energy Stocks Under Pressure: Crude oil prices fell more than 3%, putting pressure on energy producers, with major companies like ExxonMobil and Chevron experiencing declines, highlighting market concerns regarding the energy sector's outlook amid falling oil prices.
- Supportive Economic Data: Initial jobless claims in the US fell to 226,000, close to the expected 225,000, indicating labor market resilience, while the Philadelphia Fed business outlook index rose to 10.3, exceeding expectations, further bolstering market optimism.
See More
Zacks Premium Empowers Confident Investing for New and Old Investors
- Investor Confidence Boost: Zacks Premium offers daily updates on Zacks Rank and industry rankings, enabling investors to make more informed decisions, thereby enhancing their confidence and optimizing their portfolios.
- Style Scoring System: The Zacks Style Scores evaluate stocks based on value, growth, and momentum characteristics, assisting investors in identifying stocks with the potential to outperform the market over the next 30 days, thus enhancing the effectiveness of investment strategies.
- Valero Energy Performance: Valero Energy Corporation (VLO) boasts a Growth Style Score of A, forecasting a year-over-year growth rate of 167.4% for the current fiscal year, highlighting its strong earnings potential and attracting growth investors' attention.
- Expert Stock Recommendations: Five Zacks experts have each selected their top stock picks, with one targeting millennial and Gen Z audiences generating nearly $1 billion in revenue last quarter, indicating its market appeal and growth potential.
See More
Gasoline Inventories Tighten, Keeping Prices Elevated
- Current Gas Prices: The average U.S. gasoline price stands at $3.83 per gallon, down from $4.29 a month ago but still significantly higher than last year, indicating that consumers are facing elevated costs at the pump despite falling crude prices.
- Refinery Operations: U.S. refiners are operating at maximum capacity, leading to tight gasoline supplies that prevent the quick conversion of cheaper crude into finished gasoline, thereby keeping retail prices high and reflecting a supply-demand imbalance in the market.
- Geopolitical Risks: Croft noted that ship traffic through the Strait of Hormuz remains below normal levels, averaging about 40 vessels per day compared to over 100 pre-tension, suggesting that geopolitical uncertainties may continue to impact energy prices.
- Market Outlook: Croft believes that mid-August will be a critical turning point for energy prices, contingent on shipping activity through the Strait of Hormuz, the progress of nuclear negotiations, and whether refinery utilization and gasoline inventories begin to normalize.
See More
US Stocks Rebound as Tech Shares Benefit from AI Demand
- Market Rebound: The S&P 500 Index rose by 0.72%, the Dow Jones Industrial Average increased by 0.82%, and the Nasdaq 100 Index climbed by 0.50%, indicating a recovery from Tuesday's sharp selloff as investors look to Micron Technology's earnings report to assess AI market performance.
- Micron Technology Gains: Micron's stock has surged over 260% this year, positioning the company as a major beneficiary of the soaring demand for AI infrastructure, which has attracted significant investor interest and reflects its strong market position.
- Housing Bill Impact: The passage of the 21st Century Road to Housing Act by Congress has led to gains for homebuilders and building suppliers, with KB Home and Builders Firstsource rising over 16% and 11% respectively, highlighting the positive impact of policy support on the industry.
- Crude Oil Price Drop: WTI crude oil prices fell more than 4% to a 3.5-month low, lowering inflation expectations and boosting stock markets, particularly benefiting airline and cruise line stocks due to reduced fuel costs, demonstrating the influence of energy market fluctuations on the broader economy.
See More
Analysis of XLE ETF's 52-Week Price Fluctuations
- Price Range Analysis: The XLE ETF has a 52-week low of $42.05 and a high of $63.46, with the last trade at $53.38, indicating stability and potential investment opportunities in the current market.
- Technical Analysis Tool: Comparing the current share price to the 200-day moving average provides valuable insights for investors, helping them better grasp market trends and timing for investments.
- ETF Unit Trading Mechanism: ETFs trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding helps identify ETFs experiencing significant inflows or outflows, allowing for timely adjustments in investment strategies to optimize portfolio performance.
See More
US Stocks Rise on US-Iran Peace Deal Optimism
- Market Rally: The S&P 500 rose 1.08%, the Dow Jones increased by 0.14%, and the Nasdaq 100 surged 2.48% as optimism over the US-Iran peace deal eased inflation risks, reflecting a positive market sentiment.
- Chip Sector Surge: Intel's stock jumped over 10% after President Trump announced a partnership with Apple to design and produce semiconductors domestically, leading the iShares Semiconductor ETF to rise more than 7%, indicating strong momentum in the tech sector.
- Energy Stocks Weaken: WTI crude oil prices fell to a 3.5-month low, causing significant declines in energy stocks, with SLB, ConocoPhillips, and Halliburton dropping over 3%, highlighting concerns over energy price volatility.
- Supportive Economic Data: Initial jobless claims fell to 226,000, close to the expected 225,000, indicating labor market strength, while the Philadelphia Fed business outlook index rose to 10.3, surpassing expectations, further boosting investor confidence.
See More
US Stocks Surge as Geopolitical Risks Ease
- Market Rebound: The signing of a preliminary deal by President Trump to end the US-Iran war has driven crude oil prices to a 3.5-month low, resulting in a broad market rally with the S&P 500 up 0.99% and the Nasdaq 100 up 2.16%, indicating a resurgence in risk appetite among investors.
- Chip Stocks Lead Gains: Intel shares surged 7% after Trump announced a partnership with Apple to design and produce semiconductors domestically, propelling the entire semiconductor sector higher, with the iShares Semiconductor ETF rising over 5%, reflecting strong investor confidence in tech stocks.
- Energy Stocks Under Pressure: Crude oil prices fell more than 3%, putting pressure on energy producers, with major companies like ExxonMobil and Chevron experiencing declines, highlighting market concerns regarding the energy sector's outlook amid falling oil prices.
- Supportive Economic Data: Initial jobless claims in the US fell to 226,000, close to the expected 225,000, indicating labor market resilience, while the Philadelphia Fed business outlook index rose to 10.3, exceeding expectations, further bolstering market optimism.
See More
