CST Brands could rally 20%, Barron's says CST Brands (CST), Valero's (VLO) retail spin-off, could climb 20% driven by boosting sales and profits at its corner convenience stores, Barron's contends in its Sizing Up Small Caps column. CST's real estate could be worth close to $1B, which could also help support the stock, the paper adds. Reference Link
Valero downgraded to Underperform from Neutral at BofA/Merrill BofA/Merill downgraded Valero to Underperform and raised its price target to $68 from $64. The firm believes the Refining sector has reverted to a trading sector and downgrade shares ahead of a seasonal slow-down in demand and a deteriorating macro backdrop.