Ultrapar Participacoes (NYSE:UGP) Shares Gap Down – Time to Sell?

Ultrapar Participacoes S.A. (NYSE:UGP)’s stock price gapped down before the market opened on Friday. The stock had previously closed at $7.49, but opened at $7.21. Ultrapar Participacoes shares last traded at $7.1850, with a volume of 515,595 shares changing hands.

Analysts Set New Price Targets

A number of research analysts have weighed in on UGP shares. Weiss Ratings upgraded shares of Ultrapar Participacoes from a “buy (b-)” rating to a “buy (b)” rating in a research report on Monday. UBS Group boosted their target price on Ultrapar Participacoes from $7.20 to $7.90 and gave the company a “buy” rating in a research report on Friday, September 4th. The Goldman Sachs Group cut their target price on Ultrapar Participacoes from $6.50 to $5.80 and set a “neutral” rating on the stock in a research note on Wednesday, August 26th. Scotiabank downgraded Ultrapar Participacoes from a “sector outperform” rating to a “hold” rating in a report on Thursday, September 17th. Finally, Bank of America raised Ultrapar Participacoes from a “neutral” rating to a “buy” rating and raised their price target for the stock from $6.80 to $7.40 in a research note on Wednesday, July 8th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $6.54.

Ultrapar Participacoes Price Performance

The firm has a fifty day moving average of $6.75 and a two-hundred day moving average of $5.90. The stock has a market capitalization of $7.98 billion, a P/E ratio of 11.75, a P/E/G ratio of 0.43 and a beta of 0.73. The company has a debt-to-equity ratio of 0.74, a current ratio of 1.64 and a quick ratio of 1.26.

Ultrapar Participacoes (NYSE:UGP) last issued its earnings results on Wednesday, August 12th. The oil and gas company reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.27 by $0.01. The company had revenue of $8 billion for the quarter, compared to analysts’ expectations of $8.18 billion. Ultrapar Participacoes had a net margin of 2.28% and a return on equity of 18.84%. On average, analysts predict that Ultrapar Participacoes S.A. will post 0.84 EPS for the current year.

Ultrapar Participacoes Dividend Announcement

The firm also recently declared a dividend, which was paid on Monday, September 14th. Stockholders of record on Wednesday, August 26th were given a $0.1932 dividend. This represents a dividend yield of 599.0%. The ex-dividend date of this dividend was Wednesday, August 26th. Ultrapar Participacoes’s dividend payout ratio is presently 50.82%.

Insider Activity

In other Ultrapar Participacoes news, CEO Decio De Sampaio Amaral sold 8,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 1st. The stock was sold at an average price of $6.93, for a total value of $55,440.00. Following the sale, the chief executive officer directly owned 151,432 shares of the company’s stock, valued at approximately $1,049,423.76. This trade represents a 5.02% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Pedro Guedes Rabelo sold 30,000 shares of the firm’s stock in a transaction that occurred on Thursday, September 10th. The shares were sold at an average price of $7.58, for a total value of $227,400.00. Following the completion of the sale, the insider directly owned 57,898 shares in the company, valued at approximately $438,866.84. The trade was a 34.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 77,785 shares of company stock worth $587,312. Corporate insiders own 1.80% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. EverSource Wealth Advisors LLC lifted its position in shares of Ultrapar Participacoes by 45.0% during the 1st quarter. EverSource Wealth Advisors LLC now owns 6,383 shares of the oil and gas company’s stock valued at $35,000 after buying an additional 1,982 shares in the last quarter. R Squared Ltd purchased a new stake in Ultrapar Participacoes in the 1st quarter worth $55,000. Caitong International Asset Management Co. Ltd purchased a new stake in Ultrapar Participacoes in the 4th quarter worth $57,000. Greenspring Advisors LLC acquired a new position in Ultrapar Participacoes during the fourth quarter worth $59,000. Finally, Allspring Global Investments Holdings LLC acquired a new position in Ultrapar Participacoes during the first quarter worth $62,000. 3.58% of the stock is owned by institutional investors and hedge funds.

Ultrapar Participacoes Company Profile

Ultrapar Participações SA is a Brazilian holding company with operations focused on fuel distribution, liquefied petroleum gas and bulk liquid storage. The company traces its origins to 1937, when it was established as Companhia Brasileira de Gás a Domicílio, the predecessor of Ultragaz. Ultrapar’s American depositary shares trade on the New York Stock Exchange under the symbol UGP.

Its principal businesses include Ipiranga, a fuel distribution company that supplies gasoline, ethanol, diesel and other fuels through a nationwide network of service stations.