Valero Energy's Days Sales Outstanding for the
three
months ended in Mar. 2026 was 31.85.
Valero Energy's Days Inventory for the
three
months ended in Mar. 2026 was 22.76.
Valero Energy's Days Payable for the
three
months ended in Mar. 2026 was 35.38.
Therefore, Valero Energy's Cash Conversion Cycle (CCC) for the
three
months ended in Mar. 2026 was 19.23.
Valero Energy (MEX:VLO) Cash Conversion Cycle Explanation
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
Valero Energy Cash Conversion Cycle Related Terms
Valero Energy Cash Conversion Cycle Historical Data
* Premium members only.
The historical data trend for Valero Energy's Cash Conversion Cycle can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:VLO vs MPC, PSX, SUN: Cash Conversion Cycle Comparison
For the Oil & Gas Refining & Marketing subindustry, Valero Energy's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Valero Energy Cash Conversion Cycle vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Valero Energy's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Valero Energy's Cash Conversion Cycle falls into.
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
Valero Energy's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Valero Energy (MEX:VLO) has a Cash Conversion Cycle of 19.23 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Valero Energy and its competitors.
Is Valero Energy's Cash Conversion Cycle too high?
Valero Energy's current Cash Conversion Cycle is 19.23. The Oil & Gas industry median Cash Conversion Cycle is 18.37. Valero Energy's value of 19.23 is 4.7% above this industry median. Overall, Valero Energy has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Valero Energy's Cash Conversion Cycle compare to MPC and PSX?
Valero Energy's Cash Conversion Cycle of 19.23 can be compared against companies in the Oil & Gas industry. The industry median Cash Conversion Cycle is 18.37. Valero Energy's value of 19.23 is 4.7% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for an Oil & Gas company?
The median Cash Conversion Cycle among Oil & Gas companies is 18.37, based on 920 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Valero Energy's current Cash Conversion Cycle of 19.23 is 4.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Valero Energy and its competitors. For the Oil & Gas industry, the median Cash Conversion Cycle is 18.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Valero Energy's current Cash Conversion Cycle is 19.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Valero Energy stock overvalued right now?
Based on GuruFocus' analysis, Valero Energy (MEX:VLO) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN2,509.53, compared to a current price of MXN4,464.00 — trading 77.9% above its estimated fair value. The current Cash Conversion Cycle is 19.23 and 4.7% above the Oil & Gas industry median of 18.37. Valero Energy's overall GF Score™ is 53/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Valero Energy (MEX:VLO), the current Cash Conversion Cycle is 19.23 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Valero Energy (MEX:VLO) Overvalued in 2026?
Based on GuruFocus' analysis, Valero Energy stock appears to be overvalued.
The current stock price of MXN4,464.00 is trading 77.9% above its estimated GF Value™ of MXN2,509.53.
GuruFocus considers Valero Energy to be Significantly Overvalued.
Key valuation signals for MEX:VLO:
Cash Conversion Cycle: 19.23
GF Value™: MXN2,509.53 vs. price of MXN4,464.00 (77.9% above fair value)
Industry Position: 4.7% above the Oil & Gas median
No single metric tells the full story. See the MEX:VLO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Valero Energy is one of the largest independent refiners in the United States. It operates 15 refineries, with a total throughput capacity of 3.2 million barrels a day in the US, Canada, and the United Kingdom. Valero also owns 12 ethanol plants with capacity of 1.6 billion gallons a year and holds a 50% stake in Diamond Green Diesel, which can produce 1.2 billion gallons per year of renewable diesel.
53GF Score
Get the complete analysis for MEX:VLO
Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MEX:VLO has been successfully added to your 
