Valero warns Wall Street of weaker second-quarter results
By Claudia Assis, MarketWatch
SAN FRANCISCO (MarketWatch) — Energy stocks rose Friday, ending the week up 2.5% as refiners rebounded.
Refiners stocks led energy names on the S&P 500 Index.
Valero Energy Corp. VLO +3.82% shares rose 3.8%, while Tesoro Corp. TSO +3.43% shares gained 3.4%.
Shares of Marathon Petroleum Corp. MPC +2.42% and Phillips 66 PSX +2.30% advanced 2.4% and 2.3%, respectively.
Refiners were hit in the previous session as Valero warned Wall Street its second-quarter results will likely be below expectations.
Valero, the largest U.S. independent refiner, said it expects second-quarter earnings in a range of 80 cents a share to 90 cents a share. Analysts polled by FactSet have expected earnings of $1.15 a share.
The lowered expectations include a charge of $29 million, or 5 cents a share, related to the costs of spinning off Valero’s retail business. Valero is expected to report second-quarter earnings on July 23.
Earlier this week, oil-field-services company Nabors Industries Ltd. NBR +1.37% and Chevron Corp. CVX +0.23% also warned Wall Street about second-quarter earnings.
Shares of Chevron turned higher, ending Friday up 0.2%. Exxon Mobil Corp. XOM +0.14% shares also rebounded, gaining 0.1%, while shares of ConocoPhillips COP +0.81% kept their gains throughout the day, advancing 0.8% at the end.
Coal miners, which amassed gains earlier in the week, led decliners on Friday. Peabody Energy Corp. BTU -1.78% shares were off 1.8%, while Consol Energy Inc. CNX -1.98% shares retreated 2%.
U.S.-listed shares of Royal Dutch Shell PLC RDS.A +0.19% rose 0.2%.
Shell said Friday it had shut down a trunk line of its Trans Niger Pipeline due to a leak. The pipeline had been reopened last week.
The Energy Select Sector SPDR Fund XLE +0.56% , an exchange-traded fund focused on energy names, added 0.6%.
Claudia Assis is a San Francisco-based reporter for MarketWatch. Follow her on Twitter @ClaudiaAssisMW.
