ATTENTION: Income Investors

DIVIDEND ACCELERATORS WEEKLY:

Steady Stream Strategists

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Editor's Note:
This week's "Resilient Income Foundations" analysis spotlights four defensive dividend stocks positioned for stability and growth. Our selection includes Lamb Weston Holdings (LW), showcasing strong dividend growth in consumer staples with a 2.44% yield; AES Corporation (AES), offering a compelling 3.51% yield while leading the clean energy transition; Synchrony Financial (SYF), delivering a reliable 2.65% yield backed by strong retail partnerships; and Pinnacle West Capital (PNW), providing a substantial 4.52% yield supported by regulated utility operations. These selections represent essential sectors - from consumer staples to utilities, financial services, and renewable energy - offering investors a foundation of resilient dividend income as we progress through 2025.

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Valero Energy Corporation

NYSE: VLO
$152.67
-1.01% (1W) +17.68% (3M)

Why We're Watching

Valero Energy shows strong momentum with its refining operations and growing renewable diesel business. With a solid dividend yield of 3.11% and conservative payout ratio of 38.70%, the company demonstrates financial stability and commitment to shareholder returns.

Market Cap
$44.20B
P/E Ratio
12.28x
Dividend Yield
3.11%
Payout Ratio
38.70%

Key Dates

Ex-Dividend Date
Jan 30, 2025
Payment Date
Mar 03, 2025
Next Earnings
Feb 22, 2024

Analyst Coverage

14
Analysts
Buy
Consensus
$152.67
Target
$139.63
Current Price
+9.3%
Upside

Strengths

  • Strong refining operations with 3.2M barrels daily capacity
  • Growing renewable diesel business
  • Solid dividend coverage with 38.70% payout ratio
  • Strong market position in refining industry
  • Positive free cash flow generation

Risks

  • Exposure to volatile oil prices
  • Potential refining margin pressure
  • Environmental regulations impact
  • Economic cyclicality
  • Competition in renewable fuels

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