Did idpatton get fired as a gas station attendant? His hatred would point that way. I doubt seriously he can short many shares after shorting them in the 40's.
VLO can buy more shares if it would dip lower. One quarter last year when TSO was down to 3 refineries the CEO assured shareholders profts were ahead. There is little reason that VLO doesnt make $8-10 a share in next 12 months and buy back another 10% of its shares making 20% buyback in 2 years if prices stay here.
Demand for gasoline is rising, perhaps heating oil wont be, but, $8-$10 per share with millions ofshares becoming treasury stock is a real possibility with a growing jobs market.
Good book value, high profit, dividend hiked to 50 cents and $2.9 billion authorized in share buybacks amd we had people selling. 2 days before company can buy back more shares. $8.49 per share.
Why wouldnt they? Heres another quarter of $2.50 per share of earnings and remove 45 million shares and you earn $2.70. Living here in the Midwest I am sure they are making more profits from the refinery problem in Indiana. CNBC has all these doom and gloom experts on while the US economy is growing 3%+ with low inflation. Oh, Chinas growth is only going to be 5% or $800 billion. This is just a blip.
Looks like will be able to buyback 1.6 million shares today or 25% of average volume. That is 100 million of their 2.9 billion dollars. Do this x number of days to reduce shares 45 million or more until 5 weeks before earnings announcement.
About 6 months ago, Valero announced an increase in the dividend of 12.5 cents instead of the usual 2.5 cents after 6 months now at 40 cents. Well, they'll be a dividend increase announcement soon and expecting an increase to 50 cents. When it increased to 40 cents it went from 44 to 64 dollars in a five weeks. Amazed how bad the analysts are following this stock including Gheit. Or that VLO will out earn TSO. I think VLO is happy not promoting its stock because it has bought 50 million shares back and what to buy them back cheaply.
50 cent dividend and another increase in January we will go to $80 as well as another 15 million shares bought up.