Ultrapar Participações (NYSE:UGP) Sees Strong Trading Volume – Should You Buy?

Ultrapar Participações S.A. (NYSE:UGP) shares saw unusually-strong trading volume on Monday . Approximately 3,368,109 shares were traded during mid-day trading, an increase of 126% from the previous session’s volume of 1,491,473 shares.The stock last traded at $3.14 and had previously closed at $3.03.

Analyst Upgrades and Downgrades

UGP has been the topic of several research analyst reports. Hsbc Global Res upgraded shares of Ultrapar Participações from a “hold” rating to a “strong-buy” rating in a research note on Friday, January 17th. HSBC raised shares of Ultrapar Participações from a “hold” rating to a “buy” rating in a research report on Friday, January 17th. The Goldman Sachs Group raised Ultrapar Participações from a “neutral” rating to a “buy” rating and dropped their price target for the company from $4.10 to $3.20 in a research note on Friday, January 31st. JPMorgan Chase & Co. upgraded Ultrapar Participações from a “neutral” rating to an “overweight” rating in a report on Tuesday, January 7th. Finally, Scotiabank upgraded shares of Ultrapar Participações to a “hold” rating in a research note on Friday, December 27th. Three investment analysts have rated the stock with a hold rating, four have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $3.20.

Ultrapar Participações Stock Performance

The stock has a market cap of $3.49 billion, a price-to-earnings ratio of 6.79, a P/E/G ratio of 2.39 and a beta of 1.42. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.57 and a quick ratio of 1.11. The company’s fifty day simple moving average is $2.81 and its two-hundred day simple moving average is $3.24.

Ultrapar Participações Cuts Dividend

The company also recently declared a semi-annual dividend, which will be paid on Monday, March 24th. Stockholders of record on Monday, March 10th will be given a dividend of $0.0774 per share. The ex-dividend date is Monday, March 10th. This represents a dividend yield of 3.8%. Ultrapar Participações’s dividend payout ratio is presently 33.33%.

Hedge Funds Weigh In On Ultrapar Participações

A number of institutional investors have recently made changes to their positions in UGP. Renaissance Technologies LLC boosted its holdings in shares of Ultrapar Participações by 74.3% during the fourth quarter. Renaissance Technologies LLC now owns 3,513,800 shares of the oil and gas company’s stock worth $9,241,000 after purchasing an additional 1,497,300 shares during the period. Marshall Wace LLP raised its position in shares of Ultrapar Participações by 18.7% in the 4th quarter. Marshall Wace LLP now owns 2,821,125 shares of the oil and gas company’s stock worth $7,420,000 after purchasing an additional 444,724 shares during the last quarter. Hennessy Advisors Inc. lifted its stake in shares of Ultrapar Participações by 6.8% in the fourth quarter. Hennessy Advisors Inc. now owns 1,811,400 shares of the oil and gas company’s stock worth $4,764,000 after buying an additional 115,600 shares in the last quarter. American Century Companies Inc. lifted its position in Ultrapar Participações by 6.5% in the 4th quarter. American Century Companies Inc. now owns 1,776,107 shares of the oil and gas company’s stock valued at $4,671,000 after acquiring an additional 108,213 shares in the last quarter. Finally, Two Sigma Investments LP boosted its holdings in shares of Ultrapar Participações by 58.2% during the 4th quarter. Two Sigma Investments LP now owns 1,654,373 shares of the oil and gas company’s stock valued at $4,351,000 after acquiring an additional 608,951 shares during the last quarter. Institutional investors own 3.58% of the company’s stock.

Ultrapar Participações Company Profile

Ultrapar Participações SA, through its subsidiaries, operates in the energy and infrastructure business in Brazil. The company distributes liquefied petroleum gas to residential, commercial, and industrial consumers, in addition to renewable electricity and compressed natural gas. It also operates in the distribution and marketing of gasoline, ethanol, diesel, fuel oil, kerosene, natural gas for vehicles, and lubricants; and holds AmPm convenience stores and provides JetOil lubricant services.