UGI CORP (UGI) Stock Fundamental Analysis
NYSE:UGI - New York Stock Exchange, Inc. - US9026811052 - Common Stock - Currency: USD
UGI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 14 industry peers in the Gas Utilities industry. There are concerns on the financial health of UGI while its profitability can be described as average. UGI is valued correctly, but it does not seem to be growing. Finally UGI also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
UGI had positive earnings in the past year.
UGI had a positive operating cash flow in the past year.
UGI had positive earnings in 4 of the past 5 years.
Each year in the past 5 years UGI had a positive operating cash flow.
1.2 Ratios
UGI has a Return On Assets of 1.78%. This is in the lower half of the industry: UGI underperforms 64.29% of its industry peers.
UGI has a Return On Equity of 6.19%. This is in the lower half of the industry: UGI underperforms 64.29% of its industry peers.
UGI has a Return On Invested Capital of 6.26%. This is in the better half of the industry: UGI outperforms 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.78% | ||
| ROE | 6.19% | ||
| ROIC | 6.26% |
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
The Profit Margin of UGI (3.73%) is worse than 64.29% of its industry peers.
UGI's Profit Margin has been stable in the last couple of years.
The Operating Margin of UGI (14.81%) is worse than 64.29% of its industry peers.
In the last couple of years the Operating Margin of UGI has grown nicely.
UGI has a worse Gross Margin (49.96%) than 78.57% of its industry peers.
UGI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.81% | ||
| PM (TTM) | 3.73% | ||
| GM | 49.96% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so UGI is destroying 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.
Compared to 1 year ago, UGI has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.33, we must say that UGI is in the distress zone and has some risk of bankruptcy.
UGI has a Altman-Z score of 1.33. This is in the better half of the industry: UGI outperforms 71.43% of its industry peers.
UGI has a debt to FCF ratio of 18.51. This is a negative value and a sign of low solvency as UGI would need 18.51 years to pay back of all of its debts.
UGI has a Debt to FCF ratio of 18.51. This is in the better half of the industry: UGI outperforms 78.57% of its industry peers.
UGI has a Debt/Equity ratio of 1.59. This is a high value indicating a heavy dependency on external financing.
UGI has a worse Debt to Equity ratio (1.59) than 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.59 | ||
| Debt/FCF | 18.51 | ||
| Altman-Z | 1.33 |
ROIC/WACC0.93
WACC6.72%
2.3 Liquidity
UGI has a Current Ratio of 0.80. This is a bad value and indicates that UGI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Current ratio value of 0.80, UGI is doing good in the industry, outperforming 71.43% of the companies in the same industry.
UGI has a Quick Ratio of 0.80. This is a bad value and indicates that UGI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.60, UGI is doing good in the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.72% over the past year.
Measured over the past 5 years, UGI shows a small growth in Earnings Per Share. The EPS has been growing by 5.76% on average per year.
UGI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -19.24%.
UGI shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.30% yearly.
EPS 1Y (TTM)7.72%
EPS 3Y1.11%
EPS 5Y5.76%
EPS Q2Q%-633.33%
Revenue 1Y (TTM)-19.24%
Revenue growth 3Y-1.07%
Revenue growth 5Y-0.3%
Sales Q2Q%-11.54%
3.2 Future
The Earnings Per Share is expected to grow by 1.16% on average over the next years.
UGI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.89% yearly.
EPS Next Y-4.26%
EPS Next 2Y-0.08%
EPS Next 3Y0.93%
EPS Next 5Y1.16%
Revenue Next Year11.56%
Revenue Next 2Y5.59%
Revenue Next 3Y3.25%
Revenue Next 5Y2.89%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.22, the valuation of UGI can be described as very reasonable.
100.00% of the companies in the same industry are more expensive than UGI, based on the Price/Earnings ratio.
UGI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.58.
The Price/Forward Earnings ratio is 10.68, which indicates a very decent valuation of UGI.
Based on the Price/Forward Earnings ratio, UGI is valued cheaper than 92.86% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of UGI to the average of the S&P500 Index (95.03), we can say UGI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.22 | ||
| Fwd PE | 10.68 |
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.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UGI indicates a somewhat cheap valuation: UGI is cheaper than 71.43% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.45 | ||
| EV/EBITDA | 8.11 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.77
EPS Next 2Y-0.08%
EPS Next 3Y0.93%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.84%, UGI is a good candidate for dividend investing.
UGI's Dividend Yield is a higher than the industry average which is at 3.89.
UGI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.84% |
5.2 History
On average, the dividend of UGI grows each year by 7.58%, which is quite nice.
UGI has paid a dividend for at least 10 years, which is 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 Years33
Div Non Decr Years33
5.3 Sustainability
UGI pays out 118.22% of its income as dividend. This is not a sustainable payout ratio.
UGI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP118.22%
EPS Next 2Y-0.08%
EPS Next 3Y0.93%
UGI CORP
NYSE:UGI (2/5/2025, 7:21:45 PM)
After market: 31.02 -0.36 (-1.15%)31.38
+0.32 (+1.03%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners87.98%
Inst Owner Change1.4%
Ins Owners0.12%
Ins Owner Change3.39%
Market Cap6.74B
Analysts82.5
Price Target34.17 (8.89%)
Short Float %4.97%
Short Ratio4.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.84% |
Yearly Dividend1.5
Dividend Growth(5Y)7.58%
DP118.22%
Div Incr Years33
Div Non Decr Years33
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)125.1%
Min EPS beat(2)45.37%
Max EPS beat(2)204.83%
EPS beat(4)4
Avg EPS beat(4)70.48%
Min EPS beat(4)12.8%
Max EPS beat(4)204.83%
EPS beat(8)6
Avg EPS beat(8)42.54%
EPS beat(12)8
Avg EPS beat(12)30.51%
EPS beat(16)11
Avg EPS beat(16)27.3%
Revenue beat(2)0
Avg Revenue beat(2)-23.3%
Min Revenue beat(2)-25.54%
Max Revenue beat(2)-21.05%
Revenue beat(4)0
Avg Revenue beat(4)-22.07%
Min Revenue beat(4)-25.54%
Max Revenue beat(4)-20.37%
Revenue beat(8)0
Avg Revenue beat(8)-16.17%
Revenue beat(12)4
Avg Revenue beat(12)32.13%
Revenue beat(16)7
Avg Revenue beat(16)25.26%
PT rev (1m)2.29%
PT rev (3m)9.24%
EPS NQ rev (1m)-9.39%
EPS NQ rev (3m)-12.26%
EPS NY rev (1m)-0.91%
EPS NY rev (3m)-3%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.22 | ||
| Fwd PE | 10.68 | ||
| P/S | 0.93 | ||
| P/FCF | 17.45 | ||
| P/OCF | 5.7 | ||
| P/B | 1.55 | ||
| P/tB | 6.22 | ||
| EV/EBITDA | 8.11 |
EPS(TTM)3.07
EY9.78%
EPS(NY)2.94
Fwd EY9.37%
FCF(TTM)1.8
FCFY5.73%
OCF(TTM)5.51
OCFY17.54%
SpS33.58
BVpS20.24
TBVpS5.04
PEG (NY)N/A
PEG (5Y)1.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.78% | ||
| ROE | 6.19% | ||
| ROCE | 8.19% | ||
| ROIC | 6.26% | ||
| ROICexc | 6.36% | ||
| ROICexgc | 8.43% | ||
| OM | 14.81% | ||
| PM (TTM) | 3.73% | ||
| GM | 49.96% | ||
| FCFM | 5.35% |
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 | 1.59 | ||
| Debt/FCF | 18.51 | ||
| Debt/EBITDA | 4.27 | ||
| Cap/Depr | 144.47% | ||
| Cap/Sales | 11.04% | ||
| Interest Coverage | 2.65 | ||
| Cash Conversion | 73.01% | ||
| Profit Quality | 143.49% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 1.33 |
F-Score5
WACC6.72%
ROIC/WACC0.93
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)7.72%
EPS 3Y1.11%
EPS 5Y5.76%
EPS Q2Q%-633.33%
EPS Next Y-4.26%
EPS Next 2Y-0.08%
EPS Next 3Y0.93%
EPS Next 5Y1.16%
Revenue 1Y (TTM)-19.24%
Revenue growth 3Y-1.07%
Revenue growth 5Y-0.3%
Sales Q2Q%-11.54%
Revenue Next Year11.56%
Revenue Next 2Y5.59%
Revenue Next 3Y3.25%
Revenue Next 5Y2.89%
EBIT growth 1Y296.32%
EBIT growth 3Y-24.06%
EBIT growth 5Y32.4%
EBIT Next Year113.22%
EBIT Next 3Y32.64%
EBIT Next 5Y24.91%
FCF growth 1Y190.23%
FCF growth 3Y-21.27%
FCF growth 5Y0.66%
OCF growth 1Y6.78%
OCF growth 3Y-7.24%
OCF growth 5Y1.86%