Valvoline (NYSE:VVV) Shares Gap Down – Should You Sell?

Valvoline (NYSE:VVV)’s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $39.28, but opened at $36.40. Valvoline shares last traded at $37.26, with a volume of 608,819 shares trading hands.

Wall Street Analyst Weigh In

VVV has been the topic of several analyst reports. Piper Sandler reiterated an “overweight” rating and issued a $44.00 target price on shares of Valvoline in a research note on Wednesday, July 29th. Citigroup reissued a “neutral” rating on shares of Valvoline in a research report on Thursday, July 16th. JPMorgan Chase & Co. upgraded shares of Valvoline from an “underweight” rating to a “neutral” rating and set a $35.00 price objective for the company in a report on Friday, May 29th. Zacks Research raised Valvoline from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, July 21st. Finally, The Goldman Sachs Group reissued a “buy” rating and issued a $45.00 target price on shares of Valvoline in a report on Thursday, May 7th. One investment analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $42.75.

Valvoline Stock Performance

The business’s fifty day moving average price is $37.99 and its 200-day moving average price is $35.73. The company has a debt-to-equity ratio of 4.61, a quick ratio of 0.61 and a current ratio of 0.73. The stock has a market cap of $4.67 billion, a PE ratio of 50.00 and a beta of 1.00.

Valvoline (NYSE:VVV) last announced its quarterly earnings results on Wednesday, August 5th. The basic materials company reported $0.57 EPS for the quarter, topping analysts’ consensus estimates of $0.50 by $0.07. Valvoline had a net margin of 5.03% and a return on equity of 66.54%. The firm had revenue of $544.60 million during the quarter, compared to analyst estimates of $543.21 million. During the same period in the previous year, the business posted $0.47 earnings per share. The business’s revenue for the quarter was up 24.1% on a year-over-year basis. Valvoline has set its FY 2026 guidance at 1.700-1.750 EPS. As a group, equities research analysts forecast that Valvoline will post 1.75 EPS for the current fiscal year.

Insider Activity at Valvoline

In related news, CFO J Kevin Willis bought 10,000 shares of the firm’s stock in a transaction on Thursday, May 14th. The stock was acquired at an average cost of $31.80 per share, for a total transaction of $318,000.00. Following the purchase, the chief financial officer owned 32,725 shares in the company, valued at approximately $1,040,655. This represents a 44.00% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Jennifer Lynn Slater bought 1,000 shares of the firm’s stock in a transaction on Friday, May 15th. The shares were bought at an average price of $32.53 per share, with a total value of $32,530.00. Following the completion of the purchase, the director owned 1,000 shares in the company, valued at approximately $32,530. The trade was a ∞ increase in their position. The SEC filing for this purchase provides additional information. In the last 90 days, insiders acquired 14,100 shares of company stock worth $450,877. Company insiders own 0.66% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Royal Bank of Canada grew its stake in shares of Valvoline by 298.5% during the 1st quarter. Royal Bank of Canada now owns 253,447 shares of the basic materials company’s stock valued at $8,822,000 after purchasing an additional 189,842 shares during the period. Goldman Sachs Group Inc. boosted its holdings in shares of Valvoline by 4.6% in the first quarter. Goldman Sachs Group Inc. now owns 858,584 shares of the basic materials company’s stock worth $29,887,000 after buying an additional 37,657 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in shares of Valvoline by 4.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 487,609 shares of the basic materials company’s stock worth $16,974,000 after buying an additional 20,947 shares during the last quarter. Jane Street Group LLC grew its position in Valvoline by 15.7% during the first quarter. Jane Street Group LLC now owns 124,071 shares of the basic materials company’s stock valued at $4,319,000 after buying an additional 16,865 shares during the period. Finally, Creative Planning grew its position in Valvoline by 40.1% during the second quarter. Creative Planning now owns 8,225 shares of the basic materials company’s stock valued at $311,000 after buying an additional 2,353 shares during the period. Institutional investors own 96.13% of the company’s stock.

About Valvoline

Valvoline (NYSE: VVV) is a leading global producer and distributor of automotive and industrial lubricants. The company’s portfolio spans engine oils, gear oils, transmission fluids, greases, coolants and driveline products, all designed to help improve vehicle performance and longevity. Valvoline’s products are marketed under the Valvoline®, Valvoline NextGen® and Valvoline™ SynPower® brand names and are formulated to meet the stringent requirements of passenger cars, light trucks, heavy‐duty vehicles and off‐road applications.

In addition to its core lubricant business, Valvoline operates one of North America’s largest quick‐lubricant service networks through Valvoline Instant Oil Change℠ (VIOC).