Valvoline (VVV) Q2 Earnings and Revenues Lag Estimates

Company Performance - Valvoline reported quarterly earnings of $0.34 per share, missing the Zacks Consensus Estimate of $0.36 per share, and down from $0.37 per share a year ago, representing an earnings surprise of -5.56% [1] - The company posted revenues of $403.2 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 0.21%, compared to year-ago revenues of $388.7 million [2] - Over the last four quarters, Valvoline has surpassed consensus EPS estimates two times and topped consensus revenue estimates two times [2] Stock Outlook - Valvoline shares have lost about 4.5% since the beginning of the year, slightly underperforming the S&P 500's decline of -4.3% [3] - The current consensus EPS estimate for the coming quarter is $0.47 on revenues of $445.32 million, and for the current fiscal year, it is $1.69 on revenues of $1.71 billion [7] - The estimate revisions trend for Valvoline is mixed, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market in the near future [6] Industry Context - The Automotive - Retail and Wholesale - Parts industry, to which Valvoline belongs, is currently in the top 19% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]