Valero Energy Corporation (VLO) — Free Cash Flow Yield
Energy
Valero Energy Corporation manufactures, markets, and sells petroleum-based and low-carbon liquid transportation fuels and petrochemical products in the United States, Canada, the United Kingdom, Ireland, Latin America, Mexico, Peru, and internationally. It operates through three segments: Refining, Renewable Diesel, and Ethanol. The company produces California Reformulated Gasoline Blendstock for Oxygenate Blending (CARBOB) and Conventional Blendstock for Oxygenate Blending (CBOB) gasolines, CARB diesel, diesel, jet fuel, heating oil, and asphalt; feedstocks; aromatics; sulfur and residual fuel oil; intermediate oils; and sulfur, sweet, and sour crude oils. It sells its refined products through wholesale rack and bulk markets; and through outlets under the Valero, Beacon, Diamond Shamrock, Shamrock, Ultramar, and Texaco brands. The company also owns and operates renewable diesel and ethanol plants, as well as produces and sells renewable diesel, renewable naphtha, and neat sustainable aviation fuel under the Diamond Green Diesel brand name. In addition, it offers ethanol and various co-products, including dry distillers grains, syrup, and inedible distillers corn oil to animal feed customers. The company was formerly known as Valero Refining and Marketing Company and changed its name to Valero Energy Corporation in August 1997. Valero Energy Corporation was founded in 1980 and is headquartered in San Antonio, Texas.
| Metric | Value |
|---|---|
| FCF Yield | 5.1% |
| Energy Sector Avg FCF Yield | 4.5% |
| Annual Free Cash Flow | $5.0B |
| Market Cap | $98.4B |
| P/E Ratio | 14.2x |
Valero Energy Corporation's FCF yield of 5.1% is above the Energy sector average (4.5%).
Deep Dive Analysis Available
Valero Energy (VLO) FCF Analysis: Post-Peak Decline
Read Full FCF Analysis →Frequently Asked Questions
What is Valero Energy Corporation's (VLO) free cash flow yield?
Valero Energy Corporation's (VLO) free cash flow yield is 5.1%. That is above the Energy sector average (4.5%).
Is VLO's free cash flow yield good?
At 5.1%, VLO's free cash flow yield is considered fair — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.
How much free cash flow does Valero Energy Corporation generate?
Valero Energy Corporation generated $5.0B in free cash flow, against a market cap of $98.4B.
How is free cash flow yield calculated?
Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.
Data from public filings. Not investment advice. Calculate your own FCF yield →