Valero Energy Corporation (NYSE:VLO), the block stock
On Tuesday, Valero Energy Corporation (NYSE:VLO) shares jumped 3.99% to $36.53. On 25 July, the company’s Board of Directors approved an increase in regular quarterly-cash dividend on its common stock. This will be increased from $0.20/share to $0.225/share and will be effective with the quarterly-dividend payout which will be payable on 11 September 2013.
Holders as of record at the close of business on 14 August 2013 will be eligible for this dividend. This increase raises the annualized-dividend rate on VLO’s common stock to $0.90/common share.
Block trades are a useful indicator for all investors who are trying to understand the sentiment of larger financial-institutions. In totality, today 60 block-trades were recorded. Generally, minimum or more than 10,000 shares of a stock represent one block-unit. A closer look shows that the bought-value of the shares was $43,245,933 against the sold-value of $52,897,497. The negative cash-flow of $9,651,563 out of VLO stock is an indicator of a bearish sentiment among investors.
Options traders were also pretty busy. A total of 43,631 call contracts were traded and 15,179 put contracts were also made in yesterday’s trading session. This yielded put/call ratio of 0.35. Valero Energy Corporation (NYSE:VLO) is trading above the 50-day moving average as well as lower than the 200-day moving average.
Valero Energy Corporation (NYSE:VLO) is the biggest independent refiner in the U.S. The company operates 15 refineries that have a total throughput capacity of 3.05M barrels/ day in the United States, United Kingdom, Canada and Aruba. VLO also produces 1.1B gallons of ethanol on an annual basis. It also distributes refined products via its close to 1,000 company operated retail-fuel outlets.
The company’s refineries produce conventional gasolines, lubricants, jet fuel, petrochemicals, distillates, asphalt as well as other refined products. It also has a slate of premium-products. These include conventional blend-stock for oxygenate blending as well as re-formulated gasoline blend-stock that is used for oxygenate blending.