5-Year Return on Invested Incremental Capital (5-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 5-year.
Valero Energy's 5-Year ROIIC % for the quarter that ended in Dec. 2025 was 1,152.77%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Valero Energy's 5-Year ROIIC % or its related term are showing as below:
MEX:VLO's 5-Year ROIIC % is ranked better than 99.31% of 866
companies
in the Oil & Gas industry
Industry Median: 5.17
vs MEX:VLO: 1152.77
Valero Energy (MEX:VLO) 5-Year ROIIC % Explanation
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
Valero Energy 5-Year ROIIC % Related Terms
Valero Energy 5-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Valero Energy's 5-Year ROIIC % 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: 5-Year ROIIC % Comparison
For the Oil & Gas Refining & Marketing subindustry, Valero Energy's 5-Year ROIIC %, along with its competitors' market caps and 5-Year ROIIC % 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 5-Year ROIIC % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Valero Energy's 5-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Valero Energy's 5-Year ROIIC % falls into.
* 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.
** Annual data of NOPAT and Invested Capital was used to calculate 5-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
Valero Energy (MEX:VLO) has a 5-Year ROIIC % of 1,152.77 as of Dec. 2025. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on Valero Energy and its competitors. According to the industry distribution chart, Valero Energy ranks #6 out of 866 companies in the Oil & Gas industry, placing it in the top 0.7%.
Is Valero Energy's 5-Year ROIIC % too high?
Valero Energy's current 5-Year ROIIC % is 1,152.77. The Oil & Gas industry median 5-Year ROIIC % is 5.17. Valero Energy's value of 1,152.77 is 22197.3% above this industry median. Based on the distribution chart, Valero Energy ranks #6 out of 866 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. 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 5-Year ROIIC % compare to MPC and PSX?
According to the Oil & Gas industry distribution chart, Valero Energy ranks #6 out of 866 companies for 5-Year ROIIC %. This places Valero Energy in the top 1% of its industry — outperforming the majority of peers. The industry median 5-Year ROIIC % is 5.17. Valero Energy's value of 1,152.77 is 22197.3% 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 5-Year ROIIC % for an Oil & Gas company?
The median 5-Year ROIIC % among Oil & Gas companies is 5.17, based on 866 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Valero Energy's current 5-Year ROIIC % of 1,152.77 is 22197.3% 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 5-Year ROIIC % mean?
A high 5-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on Valero Energy and its competitors. For the Oil & Gas industry, the median 5-Year ROIIC % is 5.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Valero Energy's current 5-Year ROIIC % is 1,152.77. 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 MXN2,402.57, compared to a current price of MXN4,676.85 — trading 94.7% above its estimated fair value. The current 5-Year ROIIC % is 1,152.77 and 22197.3% above the Oil & Gas industry median of 5.17. 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 5-Year ROIIC % calculated?
5-Year ROIIC % is calculated from a company's financial statements. For Valero Energy (MEX:VLO), the current 5-Year ROIIC % is 1,152.77 as of Dec. 2025. 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 MXN4,676.85 is trading 94.7% above its estimated GF Value™ of MXN2,402.57.
GuruFocus considers Valero Energy to be Significantly Overvalued.
Key valuation signals for MEX:VLO:
5-Year ROIIC %: 1,152.77
GF Value™: MXN2,402.57 vs. price of MXN4,676.85 (94.7% above fair value)
Industry Position: 22197.3% above the Oil & Gas median (#6 of 866)
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
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