Valero price target raised to $173 from $165 at Scotiabank

Scotiabank analyst Paul Cheng raised the firm’s price target on Valero to $173 from $165 and keeps an Outperform rating on the shares. The analyst believes consensus estimates are too high for the integrated oil, refining and exploration and production space heading into the Q2 reports. Estimates will need to revise lower over the next couple of weeks, the analyst tells investors in a research note. The firm cites “surprisingly weak” refining and lower gas realizations for many target cuts in the sector.