Phillips 66 (PSX)vsValero Energy Corporation (VLO)
PSX
Phillips 66
$175.47
-1.61%
ENERGY · Cap: $69.52B
VLO
Valero Energy Corporation
$240.03
-0.84%
ENERGY · Cap: $70.94B
Smart Verdict
WallStSmart Research — data-driven comparison
Phillips 66 generates 14% more annual revenue ($132.38B vs $115.94B). PSX leads profitability with a 3.3% profit margin vs 2.0%. PSX appears more attractively valued with a PEG of 0.54. PSX earns a higher WallStSmart Score of 66/100 (B-).
PSX
Strong Buy66
out of 100
Grade: B-
VLO
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+68.2%
Fair Value
$507.31
Current Price
$175.47
$331.84 discount
Margin of Safety
+42.4%
Fair Value
$353.81
Current Price
$240.03
$113.78 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 130.0% year-over-year
Earnings expanding 242728.0% YoY
Safe zone — low bankruptcy risk
Large-cap with strong market position
Growing faster than its price suggests
Attractively priced relative to earnings
Earnings expanding 317.9% YoY
Large-cap with strong market position
Generating 1.8B in free cash flow
Areas to Watch
3.3% margin — thin
Operating margin of 2.8%
Premium valuation, high expectations priced in
2.0% margin — thin
Expensive relative to growth rate
Revenue declined 2.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : PSX
The strongest argument for PSX centers on Revenue Growth, EPS Growth, Altman Z-Score. Revenue growth of 130.0% demonstrates continued momentum. PEG of 0.54 suggests the stock is reasonably priced for its growth.
Bull Case : VLO
The strongest argument for VLO centers on EPS Growth, Market Cap, Free Cash Flow.
Bear Case : PSX
The primary concerns for PSX are Profit Margin, Operating Margin. Thin 3.3% margins leave little buffer for downturns.
Bear Case : VLO
The primary concerns for VLO are P/E Ratio, Profit Margin, PEG Ratio. Thin 2.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
PSX profiles as a hypergrowth stock while VLO is a value play — different risk/reward profiles.
PSX carries more volatility with a beta of 0.87 — expect wider price swings.
PSX is growing revenue faster at 130.0% — sustainability is the question.
PSX generates stronger free cash flow (2.1B), providing more financial flexibility.
Bottom Line
PSX scores higher overall (66/100 vs 53/100) and 130.0% revenue growth. VLO offers better value entry with a 42.4% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Phillips 66
ENERGY · OIL & GAS REFINING & MARKETING · USA
The Phillips 66 Company is an American multinational energy company headquartered in Westchase, Houston, Texas.
Visit Website →Valero Energy Corporation
ENERGY · OIL & GAS REFINING & MARKETING · USA
Valero Energy Corporation is a Fortune 500 international manufacturer and marketer of transportation fuels, other petrochemical products, and power. It is headquartered in San Antonio, Texas, United States.
Compare with Other OIL & GAS REFINING & MARKETING Stocks
Want to dig deeper into these stocks?