NYSE:UGI

Stock Analysis Report

Executive Summary

UGI Corporation distributes, stores, transports, and markets energy products and related services in the United States and internationally.

Snowflake

Fundamentals

Established dividend payer with moderate growth potential.


Similar Companies

Share Price & News

How has UGI's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.3%

NYSE:UGI

0.8%

US Gas Utilities

-0.02%

US Market


1 Year Return

-6.9%

NYSE:UGI

5.3%

US Gas Utilities

1.6%

US Market

UGI underperformed the Gas Utilities industry which returned 5.3% over the past year.

UGI underperformed the Market in United States of America which returned 1.6% over the past year.


Share holder returns

UGIIndustryMarket
7 Day2.3%0.8%-0.02%
30 Day4.1%1.8%2.7%
90 Day-6.3%-1.6%1.4%
1 Year-4.9%-6.9%8.0%5.3%3.8%1.6%
3 Year11.9%5.0%31.6%22.1%45.2%35.8%
5 Year67.5%49.7%86.9%63.5%61.8%44.1%

Price Volatility Vs. Market

How volatile is UGI's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is UGI undervalued based on future cash flows and its price relative to the stock market?

15%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

UGI's share price is below the future cash flow value, but not at a moderate discount (< 20%).

UGI's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

UGI is overvalued based on earnings compared to the US Gas Utilities industry average.

UGI is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

UGI is good value based on expected growth next year.


Price Based on Value of Assets

UGI is good value based on assets compared to the US Gas Utilities industry average.


Next Steps

Future Growth

How is UGI expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

36.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

UGI's revenue is expected to grow by 4.7% yearly, however this is not considered high growth (20% yearly).

UGI's earnings are expected to grow significantly at over 20% yearly.

UGI's revenue growth is positive but not above the United States of America market average.

UGI's earnings growth is expected to exceed the United States of America market average.

UGI's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

UGI is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has UGI performed over the past 5 years?

12.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

UGI's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

UGI's 1-year earnings growth is negative, it can't be compared to the 5-year average.

UGI's 1-year earnings growth is negative, it can't be compared to the US Gas Utilities industry average.


Return on Equity

UGI has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

UGI used its assets more efficiently than the US Gas Utilities industry average last year based on Return on Assets.


Return on Capital Employed

UGI's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is UGI's financial position?


Financial Position Analysis

UGI is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

UGI's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

UGI's level of debt (112.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (94.2% vs 112.4% today).

Debt is well covered by operating cash flow (23.1%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.4x debt.


Next Steps

Dividend

What is UGI's current dividend yield, its reliability and sustainability?

2.61%

Expected Dividend Yield


Dividend Yield and Payments Analysis

UGI's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

UGI's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.4x coverage).


Next Steps

Management

What is the CEO of UGI's salary, the management and board of directors tenure and is there insider trading?

1.9yrs

Average management tenure


CEO

John Walsh (64yo)

6.4yrs

Tenure

US$7,446,659

Compensation

Mr. John Lawrence Walsh Jr. is a Director and President of UGI Corporation since 2005 and has been its and Chief Executive Officer since 2013. Mr. Walsh serves as Executive Chairman at AmeriGas Propane, L. ...


CEO Compensation Analysis

John's remuneration is lower than average for companies of similar size in United States of America.

John's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.9yrs

Average Tenure

56yo

Average Age

The average tenure for the UGI management team is less than 2 years, this suggests a new team.


Board Age and Tenure

6.0yrs

Average Tenure

64.5yo

Average Age

The tenure for the UGI board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$5,410,48014 May 19
Frank Hermance
EntityIndividual
Role
Member of the Board of Directors
Director
Shares100,000
Max PriceUS$54.10
SellUS$525,60030 Nov 18
M. Bort
EntityIndividual
Role
Member of the Board of Directors
Director
Shares9,184
Max PriceUS$57.23

Ownership Breakdown


Management Team

  • John Walsh (64yo)

    President

    • Tenure: 6.4yrs
    • Compensation: US$7.45m
  • Joe Hartz (56yo)

    President of UGI Energy Services

    • Tenure: 2.5yrs
  • Ted Jastrzebski (57yo)

    Chief Financial Officer

    • Tenure: 1.3yrs
    • Compensation: US$4.09m
  • Monica Gaudiosi (57yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 7.4yrs
    • Compensation: US$1.84m
  • G. Garcia

    Treasurer

    • Tenure: 3yrs
  • Bob Beard (54yo)

    Executive Vice President of Natural Gas

    • Tenure: 0.9yrs
    • Compensation: US$1.12m
  • Roger Perreault (54yo)

    Executive VP of Global LPG & President of UGI International

    • Tenure: 0.9yrs
    • Compensation: US$1.90m
  • Laurie Bergman (41yo)

    VP, Chief Accounting Officer & Corporate Controller

    • Tenure: 0.6yrs
  • Brendan Heck

    Director of Investor Relations

    • Tenure: 0yrs
  • Erika Spott

    Vice President of Human Resources & Global Leadership Development

    • Tenure: 0yrs

Board Members

  • Dick Gochnauer (70yo)

    Director

    • Tenure: 8.7yrs
    • Compensation: US$328.40k
  • Frank Hermance (70yo)

    Director

    • Tenure: 8yrs
    • Compensation: US$326.12k
  • Jim Stallings (64yo)

    Director

    • Tenure: 4yrs
    • Compensation: US$307.76k
  • Anne Pol (72yo)

    Director

    • Tenure: 19.8yrs
    • Compensation: US$299.93k
  • Marvin Schlanger (71yo)

    Non-Executive Chairman

    • Tenure: 3.7yrs
    • Compensation: US$767.02k
  • John Walsh (64yo)

    President

    • Tenure: 6.4yrs
    • Compensation: US$7.45m
  • Alan Harris (65yo)

    Director

    • Tenure: 1.5yrs
    • Compensation: US$207.83k
  • Ted Dosch (60yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: US$299.06k
  • M. Bort (57yo)

    Director

    • Tenure: 10.7yrs
    • Compensation: US$347.69k
  • Kelly Romano (57yo)

    Director

    • Tenure: 0.7yrs

Company Information

UGI Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: UGI Corporation
  • Ticker: UGI
  • Exchange: NYSE
  • Founded: 1882
  • Industry: Gas Utilities
  • Sector: Utilities
  • Market Cap: US$10.544b
  • Shares outstanding: 208.96m
  • Website: https://www.ugicorp.com

Number of Employees


Location

  • UGI Corporation
  • 460 North Gulph Road
  • King of Prussia
  • Pennsylvania
  • 19406
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UGINYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
3U6DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968

Biography

UGI Corporation distributes, stores, transports, and markets energy products and related services in the United States and internationally. The company operates through four segments: AmeriGas Propane, UGI ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/19 23:42
End of Day Share Price2019/09/19 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.