UGI CORP (UGI) Stock Fundamental Analysis
USA - NYSE:UGI - US9026811052 - Common Stock
32.9 USD
-0.1 (-0.3%)
33.1 USD
+0.2 (+0.61%)
We assign a fundamental rating of 4 out of 10 to UGI. UGI was compared to 14 industry peers in the Gas Utilities industry. While UGI is still in line with the averages on profitability rating, there are concerns on its financial health. UGI has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally UGI also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year UGI was profitable.
In the past year UGI had a positive cash flow from operations.
UGI had positive earnings in 4 of the past 5 years.
In the past 5 years UGI always reported a positive cash flow from operatings.
1.2 Ratios
UGI has a Return On Assets of 2.72%. This is in the lower half of the industry: UGI underperforms 64.29% of its industry peers.
With a Return On Equity value of 8.58%, UGI perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
The Return On Invested Capital of UGI (6.74%) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.72% | ||
| ROE | 8.58% | ||
| ROIC | 6.74% |
ROA(3y)-0.62%
ROA(5y)2.14%
ROE(3y)-3.46%
ROE(5y)5.82%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
UGI's Profit Margin of 5.70% is on the low side compared to the rest of the industry. UGI is outperformed by 71.43% of its industry peers.
UGI's Profit Margin has been stable in the last couple of years.
UGI has a Operating Margin of 15.32%. This is in the lower half of the industry: UGI underperforms 64.29% of its industry peers.
In the last couple of years the Operating Margin of UGI has grown nicely.
Looking at the Gross Margin, with a value of 49.51%, UGI is doing worse than 78.57% of the companies in the same industry.
In the last couple of years the Gross Margin of UGI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.32% | ||
| PM (TTM) | 5.7% | ||
| GM | 49.51% |
OM growth 3Y-23.23%
OM growth 5Y32.8%
PM growth 3Y-42.57%
PM growth 5Y1.3%
GM growth 3Y-8.35%
GM growth 5Y6.63%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UGI is creating some value.
UGI has more shares outstanding than it did 1 year ago.
The number of shares outstanding for UGI has been increased compared to 5 years ago.
UGI has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.38, we must say that UGI is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.38, UGI is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
UGI has a debt to FCF ratio of 15.70. This is a negative value and a sign of low solvency as UGI would need 15.70 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 15.70, UGI is doing good in the industry, outperforming 78.57% of the companies in the same industry.
A Debt/Equity ratio of 1.24 is on the high side and indicates that UGI has dependencies on debt financing.
The Debt to Equity ratio of UGI (1.24) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | 15.7 | ||
| Altman-Z | 1.38 |
ROIC/WACC1.02
WACC6.59%
2.3 Liquidity
A Current Ratio of 0.70 indicates that UGI may have some problems paying its short term obligations.
With a decent Current ratio value of 0.70, UGI is doing good in the industry, outperforming 64.29% of the companies in the same industry.
A Quick Ratio of 0.56 indicates that UGI may have some problems paying its short term obligations.
With a decent Quick ratio value of 0.56, UGI is doing good in the industry, outperforming 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
UGI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.60%.
The Earnings Per Share has been growing slightly by 5.76% on average over the past years.
The Revenue has decreased by -0.54% in the past year.
The Revenue has been decreasing by -0.30% on average over the past years.
EPS 1Y (TTM)4.6%
EPS 3Y1.11%
EPS 5Y5.76%
EPS Q2Q%-116.67%
Revenue 1Y (TTM)-0.54%
Revenue growth 3Y-1.07%
Revenue growth 5Y-0.3%
Sales Q2Q%1.01%
3.2 Future
Based on estimates for the next years, UGI will show a small growth in Earnings Per Share. The EPS will grow by 3.09% on average per year.
The Revenue is expected to grow by 1.58% on average over the next years.
EPS Next Y4.95%
EPS Next 2Y2.24%
EPS Next 3Y2.7%
EPS Next 5Y3.09%
Revenue Next Year-4.76%
Revenue Next 2Y5.37%
Revenue Next 3Y4.52%
Revenue Next 5Y1.58%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.65, the valuation of UGI can be described as very reasonable.
Based on the Price/Earnings ratio, UGI is valued cheaply inside the industry as 92.86% of the companies are valued more expensively.
UGI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.38.
UGI is valuated reasonably with a Price/Forward Earnings ratio of 10.25.
85.71% of the companies in the same industry are more expensive than UGI, based on the Price/Forward Earnings ratio.
UGI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.65 | ||
| Fwd PE | 10.25 |
4.2 Price Multiples
78.57% of the companies in the same industry are more expensive than UGI, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, UGI is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.96 | ||
| EV/EBITDA | 7.95 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates UGI does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)1.95
PEG (5Y)1.67
EPS Next 2Y2.24%
EPS Next 3Y2.7%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.55%, UGI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.97, UGI pays a bit more dividend than its industry peers.
UGI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
5.2 History
The dividend of UGI is nicely growing with an annual growth rate of 7.58%!
UGI has been paying a dividend for at least 10 years, so it has a reliable track record.
UGI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.58%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
UGI pays out 76.79% of its income as dividend. This is not a sustainable payout ratio.
The dividend of UGI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP76.79%
EPS Next 2Y2.24%
EPS Next 3Y2.7%
32.9
-0.1 (-0.3%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners93.33%
Inst Owner Change0.75%
Ins Owners0.08%
Ins Owner Change0%
Market Cap7.07B
Analysts85.71
Price Target41.82 (27.11%)
Short Float %4.85%
Short Ratio6.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
Yearly Dividend1.5
Dividend Growth(5Y)7.58%
DP76.79%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)55.47%
Min EPS beat(2)21.11%
Max EPS beat(2)89.82%
EPS beat(4)4
Avg EPS beat(4)44.75%
Min EPS beat(4)21.11%
Max EPS beat(4)89.82%
EPS beat(8)8
Avg EPS beat(8)70.16%
EPS beat(12)10
Avg EPS beat(12)47.83%
EPS beat(16)11
Avg EPS beat(16)29.54%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.5%
PT rev (3m)7.89%
EPS NQ rev (1m)-23.08%
EPS NQ rev (3m)-21.18%
EPS NY rev (1m)0.95%
EPS NY rev (3m)2.57%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)3.54%
Revenue NY rev (3m)6.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.65 | ||
| Fwd PE | 10.25 | ||
| P/S | 0.96 | ||
| P/FCF | 15.96 | ||
| P/OCF | 5.49 | ||
| P/B | 1.45 | ||
| P/tB | 4.3 | ||
| EV/EBITDA | 7.95 |
EPS(TTM)3.41
EY10.36%
EPS(NY)3.21
Fwd EY9.75%
FCF(TTM)2.06
FCFY6.27%
OCF(TTM)5.99
OCFY18.22%
SpS34.12
BVpS22.68
TBVpS7.64
PEG (NY)1.95
PEG (5Y)1.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.72% | ||
| ROE | 8.58% | ||
| ROCE | 8.77% | ||
| ROIC | 6.74% | ||
| ROICexc | 6.93% | ||
| ROICexgc | 9.26% | ||
| OM | 15.32% | ||
| PM (TTM) | 5.7% | ||
| GM | 49.51% | ||
| FCFM | 6.04% |
ROA(3y)-0.62%
ROA(5y)2.14%
ROE(3y)-3.46%
ROE(5y)5.82%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-25.19%
ROICexcg growth 5Y24.94%
ROICexc growth 3Y-22.84%
ROICexc growth 5Y29%
OM growth 3Y-23.23%
OM growth 5Y32.8%
PM growth 3Y-42.57%
PM growth 5Y1.3%
GM growth 3Y-8.35%
GM growth 5Y6.63%
F-Score5
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | 15.7 | ||
| Debt/EBITDA | 3.61 | ||
| Cap/Depr | 152.8% | ||
| Cap/Sales | 11.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.85% | ||
| Profit Quality | 105.98% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 1.38 |
F-Score5
WACC6.59%
ROIC/WACC1.02
Cap/Depr(3y)160.92%
Cap/Depr(5y)151.11%
Cap/Sales(3y)9.97%
Cap/Sales(5y)9.83%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.6%
EPS 3Y1.11%
EPS 5Y5.76%
EPS Q2Q%-116.67%
EPS Next Y4.95%
EPS Next 2Y2.24%
EPS Next 3Y2.7%
EPS Next 5Y3.09%
Revenue 1Y (TTM)-0.54%
Revenue growth 3Y-1.07%
Revenue growth 5Y-0.3%
Sales Q2Q%1.01%
Revenue Next Year-4.76%
Revenue Next 2Y5.37%
Revenue Next 3Y4.52%
Revenue Next 5Y1.58%
EBIT growth 1Y-16.26%
EBIT growth 3Y-24.06%
EBIT growth 5Y32.4%
EBIT Next Year60.34%
EBIT Next 3Y22.32%
EBIT Next 5Y24.91%
FCF growth 1Y323.74%
FCF growth 3Y-21.27%
FCF growth 5Y0.66%
OCF growth 1Y77.66%
OCF growth 3Y-7.24%
OCF growth 5Y1.86%