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Valero Energy (NYSE:VLO) GF Value Rank

: 3 (As of Today)
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Valero Energy has the GF Value Rank of 3.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Competitive Comparison

For the Oil & Gas Refining & Marketing subindustry, Valero Energy's GF Value Rank, along with its competitors' market caps and GF Value Rank 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 GF Value Rank Distribution

For the Oil & Gas industry and Energy sector, Valero Energy's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Valero Energy's GF Value Rank falls in comparison to its industry or sector. The grey bar indicates the GF Value Rank's extreme value range as defined by GuruFocus.

Valero Energy GF Value Rank Related Terms

Thank you for viewing the detailed overview of Valero Energy's GF Value Rank provided by Please click on the following links to see related term pages.

Valero Energy (NYSE:VLO) Business Description

Valero Energy logo
One Valero Way, San Antonio, TX, USA, 78249
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 United States, Canada, and the United Kingdom. Valero also owns 12 ethanol plants with capacity of 1.6 billion gallons of ethanol a year and holds a 50% stake in Diamond Green Diesel, which has capacity to produce 1.2 billion gallons per year of renewable diesel.
Kimberly S, Greene director 30 IVAN ALLEN JR. BLVD., NW, ATLANTA GA 30308
Rayford Jr Wilkins director 208 S. AKARD ST., --, DALLAS TX 75202
Philip J. Pfeiffer director P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Deborah P Majoras director ONE PROCTER & GAMBLE PLAZA, CINCINNATI OH 45202
Marie A Ffolkes director 17450 COLLEGE PARKWAY, LIVONIA MI 48152
Donald L Nickles director 6100 N WESTERN AVENUE, P O BOX 18496, OKLAHOMA CITY OK 73118
Robert Profusek director P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Gary K. Simmons officer: EVP & CCO P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Joseph W Gorder director, officer: COB & CEO P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Paulett Eberhart director C/O LPL FINANCIAL, 4707 EXECUTIVE DRIVE, SAN DIEGO CA 32121
Fred M Diaz director 9614 AMALFI CT, BRENTWOOD TN 37027
Cheryl L. Thomas officer: SVP & CTO P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Jason W. Fraser officer: EVP and CFO P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Richard Joe Walsh officer: SVP and GC P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Eric D. Mullins director HERITAGE PLAZA, 1111 BAGBY STREET, SUITE 4600, HOUSTON TX 77002