Cosan S.A. Sponsored ADR (CSANY) vs Ultrapar Participacoes S.A. (UGP)

Cosan S.A. Sponsored ADR and Ultrapar Participacoes S.A. are both Oil & Gas Refining & Marketing companies. Ultrapar Participacoes S.A. is the larger, with a market value of $8.0B against $2.7B — 2.9× the size. Cosan S.A. Sponsored ADR has negative trailing earnings, so its P/E is not meaningful; Ultrapar Participacoes S.A. trades at 11.3×. Ultrapar Participacoes S.A. grew revenue faster over the last twelve months: 20.2% against −6.49%. Ultrapar Participacoes S.A. has the higher net margin (2.29% vs −23.8%) and the higher return on invested capital (15.3% vs 8.58%). Both pay a dividend; Cosan S.A. Sponsored ADR yields more (4.02% vs 2.28%). Across the 22 metrics below, Cosan S.A. Sponsored ADR leads on 11 and Ultrapar Participacoes S.A. on 11.

Valuation

Metric CSANY UGP Oil & Gas Refining & Marketing median
P/E n/m 11.25 15.04
P/S 0.38 0.26 0.41
P/B 0.50 1.91 1.87
Price to free cash flow 2.95 5.17 8.78
EV/EBITDA 4.25 5.08 7.94
EV/Sales 1.53 0.33 0.59
Earnings yield (85.37%) 8.89% 6.15%
Free cash flow yield 33.94% 19.34% 10.47%

Profitability

Metric CSANY UGP Oil & Gas Refining & Marketing median
Gross margin 33.59% 8.44% 12.22%
Operating margin 26.27% 4.95% 5.35%
Net margin (23.78%) 2.29% 2.08%
Free cash flow margin 13.06% 5.52% 4.25%
Return on equity (30.16%) 18.40% 11.39%
Return on assets (7.57%) 7.25% 5.22%
Return on invested capital 8.58% 15.25% 11.54%

Growth

Metric CSANY UGP Oil & Gas Refining & Marketing median
Revenue growth (TTM) (6.49%) 20.23% 13.37%
EPS growth (last fiscal year) 24.95% (25.64%) —
Revenue growth, 5-year CAGR 12.79% 10.10% 12.77%
Net income growth, 5-year CAGR 0.00% 20.45% 0.00%

Health

Metric CSANY UGP Oil & Gas Refining & Marketing median
Debt to equity 2.25 0.96 0.44
Current ratio 1.87 1.64 1.32
Net debt to EBITDA 2.88 2.02 2.07

Dividend

Metric CSANY UGP Oil & Gas Refining & Marketing median
Dividend yield 4.02% 2.28% 3.64%
Payout ratio 0.90 0.07 0.14

Size

Metric CSANY UGP Oil & Gas Refining & Marketing median
Market cap 2.71b 7.99b 4.12b

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