Oppenheimer Maintains Outperform on Valero

Oppenheimer is out with its report today on Valero (NYSE: VLO), maintaining Outperform.

In its report, Oppenheimer writes, "VLO shares are trading at a 30% discount to their peer average on P/E and P/CF, based on 2011 consensus estimates. Industry fundamentals have improved as the global economic recovery continues to gain momentum with increasing petroleum demand, while closure of uneconomic refineries, widespread refinery operating problems, and unscheduled downtime continue to constrain supply. We expect this valuation discount to narrow on improving earnings outlook."

Oppenheimer maintains a $36 PT on VLO.

At the time of posting, shares of VLO were trading at $23.08, up 3.59% from Wednesday's close.