Spanish Translation: Valero Energy Partners = A Healthy & Strong MLP
Michael Fitzsimmons • 10 Comments
Michael Fitzsimmons • 10 Comments
Nov. 19, 2015, 9:14 AM
Nov. 18, 2015, 4:53 PM
- Valero Energy Partners (NYSE:VLP) -4% AH after announcing a public offering of 4.25M common units, with an underwriters option to purchase up to an additional 637.5K units.
- VLP says it plans to use the proceeds for general partnership purposes, which may include funding future acquisitions, investments and other capital expenditures, and repayment of its outstanding debt.
Feb. 13, 2015, 11:18 AM
- All oil refiners are not the same, Goldman Sachs suggests as it upgrades Valero Energy (VLO +4%) to Buy from Neutral and adds it to the firm's Conviction Buy List while downgrading Tesoro (TSO -0.4%) to Neutral from Buy and removing it from the conviction list.
- Goldman thinks VLO offers investors a compelling turnaround story - similar to TSO in 2014 - with a clear, new strategy to reduce growth capex and return capital to shareholders; VLO also has not been impacted by USW strikes, unlike TSO.
- The firm also expect VLO to be as aggressive as any refiner in dropping down assets to its underlying Valero Energy Partners (NYSE:VLP) MLP, and feels the market generally has underappreciated this potential upside.
Jan. 30, 2015, 12:54 PM
- Valero Energy Partners (VLP +1.7%) is upgraded to Outperform from Neutral with a $57 price target at Credit Suisse, which notes that parent Valero Energy (VLO +0.9%) plans to drop down $1B worth of assets into VLP, perhaps carrying EBITDA of ~$100M.
- Credit Suisse says the total is well above the level of dropdowns it had expected; the firm now expects VLP to grow distributions 25% in 2015, with similar growth continuing through 2017 and at 20% through 2020.
Aug. 18, 2014, 3:25 PM
- Valero Energy (VLO +2.3%) has dropped 3% during the past three months and has underperformed its closest peers Marathon Petroleum (MPC +1.6%) and Phillips 66 (PSX +2.1%), but Morgan Stanley’s Evan Calio and Manav Gupta think it’s time for a turnaround.
- While MPC, PSX and Exxon Mobil (XOM +0.2%) have major planned turnaround scheduled for Q4, VLO will be operating at a meaningfully higher utilization rate and is best positioned to capture any widening Gulf Coast differentials resulting from high turnaround activity, the analysts say.
- In addition to VLO's Q4 earnings revision upside, the firm estimate VLO has $800M in MLP-able EBITDA, including organic growth projects, which can be dropped into Valero Energy Partners (VLP +0.7%) in the foreseeable future.
Jan. 9, 2014, 11:57 AM
- Valero Energy's (VLO +2%) price target is raised to $49 from $41 at Imperial Capital, which predicts a strong Q4 report coming.
- "Due to improved crude price differentials, and thus expectations of refinery throughput at the top of management’s guidance, we estimate that VLO will report adjusted 4Q13 income of $0.97, up from our previous $0.60 estimate," when VLO reports Q4 earnings Jan. 29.
- During Q4, VLO successfully completed the IPO of Valero Energy Partners (VLP), its logistics-focused MLP.
Dec. 11, 2013, 10:32 AM
Valero Energy Partners LP is a fee-based, growth-oriented, traditional master limited partnership recently formed by Valero to own, operate, develop and acquire crude oil and refined petroleum products pipelines, terminals and other transportation and logistics assets. It serves as Valero's... More
Sector: Basic Materials
Industry: Oil & Gas Pipelines
Country: United States
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