Valvoline (NYSE:VVV) Stock Price Up 7.2% on Strong Earnings

Shares of Valvoline Inc. (NYSE:VVV) rose 7.2% during mid-day trading on Thursday following a better than expected earnings announcement. The company traded as high as $39.52 and last traded at $39.48. Approximately 1,124,987 shares were traded during mid-day trading, a decline of 22% from the average daily 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%.

Analyst Ratings Changes

A number of brokerages recently commented on VVV. Royal Bank of Canada reduced their price objective on shares of Valvoline from $52.00 to $46.00 and set an “outperform” rating for the company in a research report on Wednesday, November 20th. Stifel Nicolaus began coverage on shares of Valvoline in a research report on Friday, December 20th. They issued a “hold” rating and a $42.00 price objective for the company. Morgan Stanley restated an “equal weight” rating and issued a $38.00 price objective (down previously from $42.00) on shares of Valvoline in a research report on Tuesday, January 21st. Wells Fargo & Company reduced their price objective on shares of Valvoline from $46.00 to $44.00 and set an “overweight” rating for the company in a research report on Wednesday, November 20th. Finally, Stephens began coverage on shares of Valvoline in a research report on Tuesday, October 15th. They set an “overweight” rating and a $49.00 price target for the company. Three analysts have rated the stock with a hold rating, six have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, Valvoline has a consensus rating of “Moderate Buy” and an average target price of $44.89.

Insider Transactions at Valvoline

In other Valvoline news, Director Charles M. Sonsteby acquired 10,000 shares of the company’s stock in a transaction dated Monday, November 25th. The stock was acquired at an average cost of $39.50 per share, with a total value of $395,000.00. Following the purchase, the director now directly owns 26,437 shares in the company, valued at approximately $1,044,261.50. This trade represents a 60.84 % increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this link. Also, CEO Lori Ann Flees acquired 2,500 shares of the company’s stock in a transaction dated Wednesday, November 27th. The shares were acquired at an average cost of $39.64 per share, with a total value of $99,100.00. Following the completion of the purchase, the chief executive officer now owns 38,428 shares in the company, valued at approximately $1,523,285.92. This represents a 6.96 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Corporate insiders own 0.66% of the company’s stock.

Institutional Trading of Valvoline

Hedge funds and other institutional investors have recently bought and sold shares of the company. State Street Corp grew its stake in Valvoline by 0.4% in the 3rd quarter. State Street Corp now owns 4,096,436 shares of the basic materials company’s stock worth $171,436,000 after acquiring an additional 16,916 shares during the period. Natixis Advisors LLC grew its stake in Valvoline by 8.1% in the 3rd quarter. Natixis Advisors LLC now owns 422,989 shares of the basic materials company’s stock worth $17,702,000 after acquiring an additional 31,661 shares during the period. B. Metzler seel. Sohn & Co. Holding AG purchased a new stake in Valvoline in the 3rd quarter worth approximately $4,628,000. Thrivent Financial for Lutherans grew its stake in Valvoline by 118.2% in the 3rd quarter. Thrivent Financial for Lutherans now owns 67,948 shares of the basic materials company’s stock worth $2,844,000 after acquiring an additional 36,814 shares during the period. Finally, Geode Capital Management LLC grew its stake in Valvoline by 2.5% in the 3rd quarter. Geode Capital Management LLC now owns 2,226,769 shares of the basic materials company’s stock worth $93,215,000 after acquiring an additional 54,545 shares during the period. 96.13% of the stock is owned by hedge funds and other institutional investors.

Valvoline Price Performance

The stock has a market capitalization of $5.08 billion, a PE ratio of 24.43 and a beta of 1.45. 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 company’s 50 day simple moving average is $37.03 and its 200 day simple moving average is $39.96.

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.