Valvoline (NYSE:VVV) Shares Up 7.2% Following Earnings Beat

Valvoline Inc. (NYSE:VVV) shot up 7.2% during trading on Thursday following a stronger than expected earnings report. The stock traded as high as $39.52 and last traded at $39.48. 1,124,987 shares changed hands during mid-day trading, a decline of 22% from the average session volume of 1,441,876 shares. The stock had previously closed at $36.84.

The basic materials company reported $0.32 earnings per share for the quarter, topping the consensus estimate of $0.31 by $0.01. Valvoline had a net margin of 13.06% and a return on equity of 197.22%.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on the stock. Morgan Stanley reiterated an “equal weight” rating and issued a $38.00 price target (down previously from $42.00) on shares of Valvoline in a report on Tuesday, January 21st. Robert W. Baird cut their price target on shares of Valvoline from $48.00 to $46.00 and set an “outperform” rating on the stock in a report on Wednesday, November 20th. Mizuho dropped their price objective on shares of Valvoline from $46.00 to $42.00 and set an “outperform” rating on the stock in a research note on Monday, January 6th. Stephens initiated coverage on shares of Valvoline in a research note on Tuesday, October 15th. They set an “overweight” rating and a $49.00 price objective on the stock. Finally, Stifel Nicolaus initiated coverage on shares of Valvoline in a research note on Friday, December 20th. They set a “hold” rating and a $42.00 price objective on the stock. Three analysts have rated the stock with a hold rating, six have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $45.11.

Insider Activity at Valvoline

In other news, CEO Lori Ann Flees acquired 2,500 shares of the firm’s stock in a transaction on Wednesday, November 27th. The shares were bought at an average price of $39.64 per share, for a total transaction of $99,100.00. Following the acquisition, the chief executive officer now owns 38,428 shares of the company’s stock, valued at approximately $1,523,285.92. This trade represents a 6.96 % increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CTO Robert Travis Dobbins sold 1,914 shares of the firm’s stock in a transaction on Wednesday, December 11th. The shares were sold at an average price of $40.00, for a total value of $76,560.00. Following the completion of the transaction, the chief technology officer now owns 14,956 shares in the company, valued at $598,240. The trade was a 11.35 % decrease in their position. The disclosure for this sale can be found here. 0.66% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. UMB Bank n.a. raised its holdings in shares of Valvoline by 92.1% during the 3rd quarter. UMB Bank n.a. now owns 630 shares of the basic materials company’s stock worth $26,000 after acquiring an additional 302 shares during the period. Centricity Wealth Management LLC purchased a new position in shares of Valvoline during the 4th quarter worth $36,000. Prospera Private Wealth LLC purchased a new position in shares of Valvoline during the 3rd quarter worth $41,000. ORG Partners LLC raised its holdings in shares of Valvoline by 466.7% during the 4th quarter. ORG Partners LLC now owns 1,275 shares of the basic materials company’s stock worth $46,000 after acquiring an additional 1,050 shares during the period. Finally, Blue Trust Inc. raised its holdings in shares of Valvoline by 83.0% during the 3rd quarter. Blue Trust Inc. now owns 1,332 shares of the basic materials company’s stock worth $58,000 after acquiring an additional 604 shares during the period. Hedge funds and other institutional investors own 96.13% of the company’s stock.

Valvoline Stock Performance

The company has a current ratio of 0.72, a quick ratio of 0.61 and a debt-to-equity ratio of 5.77. The firm has a fifty day moving average price of $37.02 and a 200 day moving average price of $39.96. The firm has a market cap of $4.97 billion, a PE ratio of 23.91 and a beta of 1.45.

Valvoline Company Profile

Valvoline Inc engages in the operation and franchising of vehicle service centers and retail stores in the United States and Canada. The company, through its service centers, provides fluid exchange for motor oil, transmission and differential fluid, and coolant; parts replacement for batteries, filters, wiper blades, and belts; and safety services, such as tire inflation and rotation, bulbs, and safety checks.