Valero price target lowered to $155 from $171 at Piper Sandler

Piper Sandler analyst Ryan Todd lowered the firm’s price target on Valero to $155 from $171 and keeps an Overweight rating on the shares. With the oil market looking increasingly range-bound and stocks trading at reasonable valuations at the forward curve, the firm enters 2024 still moderately constructive, but less outright bullish than recent years. And while the drivers of near-term revisions are less obvious, Piper continues to see opportunities across the space as portfolio differentiation drives relative performance. Further, the firm believes market concerns on incremental capacity are overdone, and sees global product balances remaining tight and margins supportive.