The Devil in the Details: Analysts Take Aim at Valvoline Inc. (:VVV)

Valvoline Inc. (:VVV) currently has an Average Broker Rating of 2. The ABR rank within the industry stands at 55. This number is based on the 8 sell-side firms polled by Zacks.  

Each brokerage research report carries with it some form of recommendation. The brokerage firms may use different lingo for their rating systems (like saying Outperform instead of Buy), but they can all be properly sorted into our 5 level classification system that is now the industry standard. Each of the 5 classifications has a value associated with it to help compute the ABR. 

As the name implies the ABR will show you the Average of Brokerage Recommendations on a given stock. The benefit is that you quickly get a snapshot of where Wall Street stands on a stock without having to read a mountain of research reports.

Broker recommendations are made by brokerage firms (for example, JP Morgan) and are not an outright recommendation to buy or sell a share, but instead give an indication of how the broker thinks the company will perform relative to its sector. Their recommendations are issued over a particular period of time. The recommendations provided in the Research Centre are shown on a 75 day rolling basis. Each brokerage firm has its own way of rating that may make it difficult to compare broker recommendations between the brokerage houses.

For example, at one brokerage “buy” may be the strongest recommendation, while at another “buy” could be second to a “strong buy” rating. The second-highest ratings also have a number of different other names: “accumulate”, “outperform”, “moderate buy” or “overweight”.

Analysts on a consensus basis are expecting that the stock will reach $25 within the year.

Investors are usually trying to take advantage of every possible market scenario. Tracking the market from many different angles can help the investor put together the big stock market picture. Many investors have the tendency to get caught up in all the headlines and news of the day. Sometimes that news will be relevant, but other times it will just be noise. Everyone has an opinion on where the stock market is headed, but nobody knows for sure. Studying the fundamentals and pertinent economic numbers can provide a solid foundation for investors to build from. 

Most recently Valvoline Inc. (:VVV) posted quarterly earnings of $0.34 which compared to the sell-side estimates of 0.34. The stock’s 12-month trailing earnings per share stands at $1.35. Shares have moved $8.69 over the past month and more recently, $1.9 over the past week heading into the earnings announcement. There are 2 analyst projections that were taken into consideration from respected brokerage firms.

Research analysts are predicting that Valvoline Inc. (:VVV) will report earnings of $0.36 per share when the firm issues their next quarterly report. This is the consensus earnings per share number according to data from Zack’s Research.

Valvoline Inc. (:VVV) closed the last session at $24.15 and sees an average of 1173276.5 shares trade hands in each session. The 52-week low of the stock stands at $18.9 while the current level stands at 91.15% of the 52-week High-Low range. Looking further out we can see that the stock has moved 7% over the past 12 weeks and 12.33% year to date.

Some investors may be bemoaning the stock choices they have made over the last year. Crafting a detailed plan may help with turning things around. The stock market is still running at high levels and investors need to be able to make every trade count. The next couple of weeks may be a great time for investors to review the portfolio and make some adjustments for the last few months of the year. Most investors realize that there are no certainties when it comes to stock market investing. Investors who make the proper preparations and put in the extra time may be able to get themselves headed on the right track to realizing profits.

4 analysts rate Valvoline Inc. a Buy or Strong Buy, which is 50% of all the analyst ratings.

Leave a Comment