VLO Forecast + Trading Strategies




Price Forecast:


Bearish<->Bullish




Bullish Case: Optimism stems from Valero's strong institutional backing and expected growth from renewable diesel initiatives, which could propel stock appreciation. Additionally, current mean reversion patterns support a bullish outlook.




Bearish Case: Concerns arise from high operational costs and bearish sentiment indicated by elevated put option volumes. The market's implied volatility suggests caution, potentially signaling a downward price adjustment for VLO.




Potential Outcomes:

1) 35% chance of price increase driven by positive renewable diesel growth;

2) 45% chance of neutral performance with mean reversion;

3) 20% chance of downturn due to high operational costs and bearish sentiment.




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November 15, 2024


Valero Energy Forecast

VLO        Valero Energy











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