Valvoline Inc. (VVV, Financial) reported second-quarter revenue of $403 million, slightly missing market expectations of $404.82 million. Despite this, the company's performance remains steady, as stated by President and CEO Lori Flees, who highlighted the resilience of their operations amid an uncertain economic and tariff climate.
The company has taken steps to address potential tariff challenges and remains attentive to changes in trade policies. Valvoline also reaffirmed its financial guidance for the fiscal year 2025. A significant development this quarter was the announcement of a definitive agreement to acquire Breeze Autocare, a move expected to boost the company's growth and earnings.
In regulatory matters, Valvoline received a Second Request from the Federal Trade Commission in April and is actively working towards securing approval to finalize the acquisition deal.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 12 analysts, the average target price for Valvoline Inc (VVV, Financial) is $43.08 with a high estimate of $48.00 and a low estimate of $38.00. The average target implies an upside of 24.63% from the current price of $34.57. More detailed estimate data can be found on the Valvoline Inc (VVV) Forecast page.
Based on the consensus recommendation from 15 brokerage firms, Valvoline Inc's (VVV, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Valvoline Inc (VVV, Financial) in one year is $64.14, suggesting a upside of 85.54% from the current price of $34.57. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Valvoline Inc (VVV) Summary page.
