Ultrapar Participações (NYSE:UGP) Sees Strong Trading Volume – What’s Next?

Ultrapar Participações S.A. (NYSE:UGP) saw unusually-high 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.

Wall Street Analyst Weigh In

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

Ultrapar Participações Price Performance

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 has a 50-day simple moving average of $2.83 and a two-hundred day simple moving average of $3.22. The stock has a market capitalization of $3.47 billion, a price-to-earnings ratio of 6.76, a price-to-earnings-growth ratio of 2.39 and a beta of 1.42.

Ultrapar Participações Cuts Dividend

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

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of UGP. Mercer Global Advisors Inc. ADV bought a new position in Ultrapar Participações during the fourth quarter valued at about $29,000. Franklin Resources Inc. bought a new position in Ultrapar Participações during the fourth quarter valued at about $31,000. Wolverine Trading LLC bought a new position in Ultrapar Participações during the fourth quarter valued at about $35,000. Freedom Investment Management Inc. bought a new position in Ultrapar Participações during the third quarter valued at about $48,000. Finally, Signaturefd LLC boosted its stake in Ultrapar Participações by 23.0% during the fourth quarter. Signaturefd LLC now owns 19,705 shares of the oil and gas company’s stock valued at $52,000 after buying an additional 3,688 shares in the last quarter. 3.58% of the stock is owned by institutional investors and hedge funds.

About Ultrapar Participações

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.