ULTRAPAR PARTICPAC-SPON ADR (UGP) Stock Fundamental Analysis
USA - NYSE:UGP - US90400P1012 - ADR
3.94 USD
+0.09 (+2.34%)
3.89 USD
-0.05 (-1.27%)
Overall UGP gets a fundamental rating of 6 out of 10. We evaluated UGP against 121 industry peers in the Specialty Retail industry. UGP has only an average score on both its financial health and profitability. UGP may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make UGP suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year UGP was profitable.
UGP had a positive operating cash flow in the past year.
In the past 5 years UGP has always been profitable.
UGP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.44%, UGP is in the better half of the industry, outperforming 77.69% of the companies in the same industry.
Looking at the Return On Equity, with a value of 18.26%, UGP is in the better half of the industry, outperforming 77.69% of the companies in the same industry.
The Return On Invested Capital of UGP (10.04%) is better than 73.55% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for UGP is in line with the industry average of 11.81%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.44% | ||
| ROE | 18.26% | ||
| ROIC | 10.04% |
ROA(3y)5.76%
ROA(5y)4.39%
ROE(3y)16.34%
ROE(5y)13.37%
ROIC(3y)10.37%
ROIC(5y)7.58%
1.3 Margins
UGP's Profit Margin of 2.12% is fine compared to the rest of the industry. UGP outperforms 61.16% of its industry peers.
UGP's Profit Margin has improved in the last couple of years.
UGP has a Operating Margin (3.96%) which is in line with its industry peers.
In the last couple of years the Operating Margin of UGP has grown nicely.
Looking at the Gross Margin, with a value of 7.10%, UGP is doing worse than 93.39% of the companies in the same industry.
In the last couple of years the Gross Margin of UGP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.96% | ||
| PM (TTM) | 2.12% | ||
| GM | 7.1% |
OM growth 3Y42.59%
OM growth 5Y11.25%
PM growth 3Y31.69%
PM growth 5Y33.44%
GM growth 3Y17.53%
GM growth 5Y1.18%
2. Health
2.1 Basic Checks
UGP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
UGP has less shares outstanding than it did 1 year ago.
The number of shares outstanding for UGP has been reduced compared to 5 years ago.
Compared to 1 year ago, UGP has a worse debt to assets ratio.
2.2 Solvency
UGP has an Altman-Z score of 4.40. This indicates that UGP is financially healthy and has little risk of bankruptcy at the moment.
UGP has a Altman-Z score of 4.40. This is amongst the best in the industry. UGP outperforms 84.30% of its industry peers.
UGP has a debt to FCF ratio of 9.53. This is a negative value and a sign of low solvency as UGP would need 9.53 years to pay back of all of its debts.
UGP has a Debt to FCF ratio of 9.53. This is comparable to the rest of the industry: UGP outperforms 55.37% of its industry peers.
A Debt/Equity ratio of 0.97 indicates that UGP is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.97, UGP perfoms like the industry average, outperforming 42.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 9.53 | ||
| Altman-Z | 4.4 |
ROIC/WACC0.96
WACC10.42%
2.3 Liquidity
UGP has a Current Ratio of 1.82. This is a normal value and indicates that UGP is financially healthy and should not expect problems in meeting its short term obligations.
UGP has a Current ratio of 1.82. This is in the better half of the industry: UGP outperforms 79.34% of its industry peers.
A Quick Ratio of 1.38 indicates that UGP should not have too much problems paying its short term obligations.
The Quick ratio of UGP (1.38) is better than 84.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
UGP shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.93%.
UGP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 43.25% yearly.
Looking at the last year, UGP shows a small growth in Revenue. The Revenue has grown by 7.38% in the last year.
The Revenue has been growing by 8.37% on average over the past years. This is quite good.
EPS 1Y (TTM)0.93%
EPS 3Y39.09%
EPS 5Y43.25%
EPS Q2Q%150.9%
Revenue 1Y (TTM)7.38%
Revenue growth 3Y6.75%
Revenue growth 5Y8.37%
Sales Q2Q%5.29%
3.2 Future
Based on estimates for the next years, UGP will show a small growth in Earnings Per Share. The EPS will grow by 5.71% on average per year.
Based on estimates for the next years, UGP will show a small growth in Revenue. The Revenue will grow by 5.98% on average per year.
EPS Next Y-5.96%
EPS Next 2Y1.28%
EPS Next 3Y5.71%
EPS Next 5YN/A
Revenue Next Year3.69%
Revenue Next 2Y3.05%
Revenue Next 3Y3.75%
Revenue Next 5Y5.98%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.88, which indicates a rather cheap valuation of UGP.
Based on the Price/Earnings ratio, UGP is valued cheaper than 92.56% of the companies in the same industry.
UGP is valuated cheaply when we compare the Price/Earnings ratio to 26.19, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 9.57, which indicates a very decent valuation of UGP.
Based on the Price/Forward Earnings ratio, UGP is valued cheaply inside the industry as 85.12% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.50. UGP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.88 | ||
| Fwd PE | 9.57 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UGP indicates a rather cheap valuation: UGP is cheaper than 84.30% of the companies listed in the same industry.
UGP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. UGP is cheaper than 82.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.41 | ||
| EV/EBITDA | 5.41 |
4.3 Compensation for Growth
The decent profitability rating of UGP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y1.28%
EPS Next 3Y5.71%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.64%, UGP has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.20, UGP pays a better dividend. On top of this UGP pays more dividend than 85.95% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, UGP has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.64% |
5.2 History
On average, the dividend of UGP grows each year by 6.93%, which is quite nice.
UGP has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of UGP decreased recently.
Dividend Growth(5Y)6.93%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
UGP pays out 29.65% of its income as dividend. This is a sustainable payout ratio.
The dividend of UGP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP29.65%
EPS Next 2Y1.28%
EPS Next 3Y5.71%
3.94
+0.09 (+2.34%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners36.66%
Inst Owner Change-0.46%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.21B
Revenue(TTM)138.14B
Net Income(TTM)2.94B
Analysts76.36
Price Target4.4 (11.68%)
Short Float %0.39%
Short Ratio1.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.64% |
Yearly Dividend0.15
Dividend Growth(5Y)6.93%
DP29.65%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)84.56%
Min EPS beat(2)-16.03%
Max EPS beat(2)185.16%
EPS beat(4)3
Avg EPS beat(4)66.03%
Min EPS beat(4)-16.03%
Max EPS beat(4)185.16%
EPS beat(8)5
Avg EPS beat(8)49.89%
EPS beat(12)7
Avg EPS beat(12)62.93%
EPS beat(16)11
Avg EPS beat(16)67.29%
Revenue beat(2)1
Avg Revenue beat(2)-1.95%
Min Revenue beat(2)-4.43%
Max Revenue beat(2)0.53%
Revenue beat(4)1
Avg Revenue beat(4)-1.49%
Min Revenue beat(4)-4.43%
Max Revenue beat(4)0.53%
Revenue beat(8)1
Avg Revenue beat(8)-2.61%
Revenue beat(12)2
Avg Revenue beat(12)-2.35%
Revenue beat(16)3
Avg Revenue beat(16)-4.13%
PT rev (1m)2.22%
PT rev (3m)6.72%
EPS NQ rev (1m)1.22%
EPS NQ rev (3m)3.73%
EPS NY rev (1m)0.02%
EPS NY rev (3m)4.42%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)2.82%
Revenue NY rev (1m)0.48%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.88 | ||
| Fwd PE | 9.57 | ||
| P/S | 0.16 | ||
| P/FCF | 11.41 | ||
| P/OCF | 5.74 | ||
| P/B | 1.41 | ||
| P/tB | 1.83 | ||
| EV/EBITDA | 5.41 |
EPS(TTM)0.5
EY12.69%
EPS(NY)0.41
Fwd EY10.45%
FCF(TTM)0.35
FCFY8.76%
OCF(TTM)0.69
OCFY17.42%
SpS23.99
BVpS2.79
TBVpS2.16
PEG (NY)N/A
PEG (5Y)0.18
Graham Number5.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.44% | ||
| ROE | 18.26% | ||
| ROCE | 15.06% | ||
| ROIC | 10.04% | ||
| ROICexc | 11.27% | ||
| ROICexgc | 12.71% | ||
| OM | 3.96% | ||
| PM (TTM) | 2.12% | ||
| GM | 7.1% | ||
| FCFM | 1.44% |
ROA(3y)5.76%
ROA(5y)4.39%
ROE(3y)16.34%
ROE(5y)13.37%
ROIC(3y)10.37%
ROIC(5y)7.58%
ROICexc(3y)13.22%
ROICexc(5y)9.68%
ROICexgc(3y)14.75%
ROICexgc(5y)10.75%
ROCE(3y)15.56%
ROCE(5y)11.37%
ROICexgc growth 3Y48.25%
ROICexgc growth 5Y16.56%
ROICexc growth 3Y47.61%
ROICexc growth 5Y16.73%
OM growth 3Y42.59%
OM growth 5Y11.25%
PM growth 3Y31.69%
PM growth 5Y33.44%
GM growth 3Y17.53%
GM growth 5Y1.18%
F-Score5
Asset Turnover3.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 9.53 | ||
| Debt/EBITDA | 2.3 | ||
| Cap/Depr | 152.85% | ||
| Cap/Sales | 1.42% | ||
| Interest Coverage | 3.42 | ||
| Cash Conversion | 58.51% | ||
| Profit Quality | 67.74% | ||
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 4.4 |
F-Score5
WACC10.42%
ROIC/WACC0.96
Cap/Depr(3y)125.7%
Cap/Depr(5y)121.29%
Cap/Sales(3y)1.07%
Cap/Sales(5y)1.18%
Profit Quality(3y)77.27%
Profit Quality(5y)121.89%
High Growth Momentum
Growth
EPS 1Y (TTM)0.93%
EPS 3Y39.09%
EPS 5Y43.25%
EPS Q2Q%150.9%
EPS Next Y-5.96%
EPS Next 2Y1.28%
EPS Next 3Y5.71%
EPS Next 5YN/A
Revenue 1Y (TTM)7.38%
Revenue growth 3Y6.75%
Revenue growth 5Y8.37%
Sales Q2Q%5.29%
Revenue Next Year3.69%
Revenue Next 2Y3.05%
Revenue Next 3Y3.75%
Revenue Next 5Y5.98%
EBIT growth 1Y6.6%
EBIT growth 3Y52.22%
EBIT growth 5Y20.57%
EBIT Next Year66.01%
EBIT Next 3Y23.78%
EBIT Next 5Y15.95%
FCF growth 1Y9.58%
FCF growth 3Y13.86%
FCF growth 5Y2.14%
OCF growth 1Y31.83%
OCF growth 3Y13.04%
OCF growth 5Y5.01%
ULTRAPAR PARTICPAC-SPON ADR / UGP FAQ
Can you provide the ChartMill fundamental rating for ULTRAPAR PARTICPAC-SPON ADR?
ChartMill assigns a fundamental rating of 6 / 10 to UGP.
What is the valuation status of ULTRAPAR PARTICPAC-SPON ADR (UGP) stock?
ChartMill assigns a valuation rating of 8 / 10 to ULTRAPAR PARTICPAC-SPON ADR (UGP). This can be considered as Undervalued.
What is the profitability of UGP stock?
ULTRAPAR PARTICPAC-SPON ADR (UGP) has a profitability rating of 6 / 10.
What are the PE and PB ratios of ULTRAPAR PARTICPAC-SPON ADR (UGP) stock?
The Price/Earnings (PE) ratio for ULTRAPAR PARTICPAC-SPON ADR (UGP) is 7.88 and the Price/Book (PB) ratio is 1.41.
How sustainable is the dividend of ULTRAPAR PARTICPAC-SPON ADR (UGP) stock?
The dividend rating of ULTRAPAR PARTICPAC-SPON ADR (UGP) is 5 / 10 and the dividend payout ratio is 29.65%.