WallStSmart

Sunoco LP (SUN)vsValero Energy Corporation (VLO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Valero Energy Corporation generates 368% more annual revenue ($117.84B vs $25.20B). VLO leads profitability with a 3.6% profit margin vs 2.1%. VLO appears more attractively valued with a PEG of 4.08. VLO earns a higher WallStSmart Score of 59/100 (C).

SUN

Buy

52

out of 100

Grade: C-

Growth: 4.7Profit: 4.5Value: 6.0Quality: 6.0
Piotroski: 2/9

VLO

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 6.0Value: 4.7Quality: 7.0
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SUNUndervalued (+56.4%)

Margin of Safety

+56.4%

Fair Value

$137.04

Current Price

$68.35

$68.69 discount

UndervaluedFair: $137.04Overvalued
VLOUndervalued (+9.9%)

Margin of Safety

+9.9%

Fair Value

$226.38

Current Price

$251.63

$25.25 discount

UndervaluedFair: $226.38Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SUN2 strengths · Avg: 10.0/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
63.2%10/10

Revenue surging 63.2% year-over-year

VLO3 strengths · Avg: 9.0/10
EPS GrowthGrowth
317.9%10/10

Earnings expanding 317.9% YoY

Market CapQuality
$73.82B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.23B8/10

Generating 1.2B in free cash flow

Areas to Watch

SUN4 concerns · Avg: 3.3/10
P/E RatioValuation
30.0x4/10

Moderate valuation

Profit MarginProfitability
2.1%3/10

2.1% margin — thin

Operating MarginProfitability
2.7%3/10

Operating margin of 2.7%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

VLO2 concerns · Avg: 2.5/10
Profit MarginProfitability
3.6%3/10

3.6% margin — thin

PEG RatioValuation
4.082/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : SUN

The strongest argument for SUN centers on Price/Book, Revenue Growth. Revenue growth of 63.2% demonstrates continued momentum.

Bull Case : VLO

The strongest argument for VLO centers on EPS Growth, Market Cap, Free Cash Flow.

Bear Case : SUN

The primary concerns for SUN are P/E Ratio, Profit Margin, Operating Margin. Thin 2.1% margins leave little buffer for downturns.

Bear Case : VLO

The primary concerns for VLO are Profit Margin, PEG Ratio. Thin 3.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

SUN profiles as a hypergrowth stock while VLO is a value play — different risk/reward profiles.

VLO carries more volatility with a beta of 0.61 — expect wider price swings.

SUN is growing revenue faster at 63.2% — sustainability is the question.

VLO generates stronger free cash flow (1.2B), providing more financial flexibility.

Bottom Line

VLO scores higher overall (59/100 vs 52/100). SUN offers better value entry with a 56.4% margin of safety. Both earn "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.

Sunoco LP

ENERGY · OIL & GAS REFINING & MARKETING · USA

Sunoco LP, distributes and sells motor fuels in the United States. The company is headquartered in Dallas, Texas.

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.

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