Viva Energy Group Ltd Shares Rise on Monday
Viva Energy Group Ltd (ASX: VEA) shares are showing strong performance on Monday. In mid-afternoon trading, the Viva Energy share price has increased by 3.19% to $2.59. This outperforms the S&P/ASX 200 Index (ASX: XJO), which has opened lower as oil prices surged following the collapse of US-Iran talks over the weekend.
The recent gains extend Viva Energy’s impressive performance in 2026, with the stock now up approximately 26% year-to-date. The increase is attributed to both stronger crude prices and a company-specific accounting update. Although the issue may seem negative at first glance, it appears manageable given the scale of the business.
Oil Surge Boosts Refiners and Fuel Retailers
A significant factor behind today’s movement is the rebound in ASX energy stocks. This follows Brent crude pushing back above $101 per barrel due to renewed geopolitical tensions in the Middle East. The rise in oil prices has benefited refiners and downstream fuel businesses, with Viva Energy being one of the sector’s stronger performers on Monday.
This makes sense considering Viva Energy’s exposure across refining, wholesale fuel supply, and its national convenience and fuel retail network. Additionally, higher energy prices, such as natural gas, have provided an extra boost to the sector.
Earlier in the session, Viva Energy was among the ASX 200’s better performers, rising about 6.5% before easing back toward its current gain.
ASIC Review Leads to $25 Million Impairment Charge
Separately, reports indicated that Viva Energy will take an additional $25 million impairment charge related to the valuation of some of its petrol station assets. According to the report, the Australian Securities and Investments Commission (ASIC) challenged the company’s previous approach of grouping certain convenience retail sites together for impairment testing instead of assessing them individually.
The revised treatment increases Viva Energy’s total retail site impairment charge for the 2025 financial year. With a market capitalisation of roughly $4.25 billion and a network of about 900 stores and 1,300 service stations nationally, the adjustment is unlikely to cause major concerns for investors.
Instead, the market may view this as an accounting clean-up rather than an indicator of underlying trading issues.
Foolish Takeaway
Today’s gain in Viva Energy shares seems to be driven more by the oil rebound and stronger sector sentiment than the ASIC charge. While the additional $25 million write-down is not ideal, investors appear more focused on firmer oil prices and earnings support.
With the shares already up 26% this year, the next key drivers are likely to be oil prices, refining spreads, and fuel demand.
Considerations Before Investing
Before investing $1,000 in Viva Energy Group Limited shares, it’s important to consider various factors. Motley Fool investing expert Scott Phillips recently highlighted what he believes are the 5 best stocks for investors to buy right now, and Viva Energy Group Limited was not among them.
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Additional Reading
- ASX 200 energy shares whipsaw amid fragile ceasefire
- ASX shares to watch as oil price crashes
- These were the best-performing ASX 200 shares in March
- 4 ASX 200 energy shares rated buys
- Here are the top 10 ASX 200 shares today
Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
