WallStSmart

BP PLC ADR (BP)vsValero Energy Corporation (VLO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BP PLC ADR generates 62% more annual revenue ($187.64B vs $115.94B). VLO leads profitability with a 2.0% profit margin vs 0.0%. BP appears more attractively valued with a PEG of 0.18. BP earns a higher WallStSmart Score of 54/100 (C-).

BP

Buy

54

out of 100

Grade: C-

Growth: 5.3Profit: 4.5Value: 4.7Quality: 5.0

VLO

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 5.5Value: 5.3Quality: 7.0
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BPSignificantly Overvalued (-4001.1%)

Margin of Safety

-4001.1%

Fair Value

$0.94

Current Price

$46.68

$45.74 premium

UndervaluedFair: $0.94Overvalued
VLOUndervalued (+42.5%)

Margin of Safety

+42.5%

Fair Value

$354.74

Current Price

$254.32

$100.42 discount

UndervaluedFair: $354.74Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BP4 strengths · Avg: 9.3/10
PEG RatioValuation
0.1810/10

Growing faster than its price suggests

EPS GrowthGrowth
500.0%10/10

Earnings expanding 500.0% YoY

Market CapQuality
$116.32B9/10

Large-cap with strong market position

Free Cash FlowQuality
$4.14B8/10

Generating 4.1B in free cash flow

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

Earnings expanding 317.9% YoY

Market CapQuality
$76.05B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.81B8/10

Generating 1.8B in free cash flow

Areas to Watch

BP4 concerns · Avg: 3.5/10
Price/BookValuation
13.5x4/10

Trading at 13.5x book value

Revenue GrowthGrowth
3.6%4/10

3.6% revenue growth

Return on EquityProfitability
1.7%3/10

ROE of 1.7% — below average capital efficiency

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

VLO4 concerns · Avg: 2.8/10
P/E RatioValuation
33.5x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

PEG RatioValuation
4.212/10

Expensive relative to growth rate

Revenue GrowthGrowth
-2.1%2/10

Revenue declined 2.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : BP

The strongest argument for BP centers on PEG Ratio, EPS Growth, Market Cap. PEG of 0.18 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 : BP

The primary concerns for BP are Price/Book, Revenue Growth, Return on Equity. A P/E of 2270.5x leaves little room for execution misses. Thin 0.0% 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

VLO carries more volatility with a beta of 0.73 — expect wider price swings.

BP is growing revenue faster at 3.6% — sustainability is the question.

BP generates stronger free cash flow (4.1B), providing more financial flexibility.

Monitor OIL & GAS INTEGRATED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BP scores higher overall (54/100 vs 51/100). VLO offers better value entry with a 42.5% 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.

BP PLC ADR

ENERGY · OIL & GAS INTEGRATED · USA

BP plc participates in the energy business globally. The company is headquartered in London, the United Kingdom.

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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