Phillips 66 (PSX) vs Ultrapar Participacoes S.A. (UGP)

Phillips 66 and Ultrapar Participacoes S.A. are both Oil & Gas Refining & Marketing companies. Phillips 66 is the larger, with a market value of $101.3B against $8.0B — 12.7× the size. Ultrapar Participacoes S.A. trades at the lower P/E: 11.3× against 14.5×. Ultrapar Participacoes S.A. grew revenue faster over the last twelve months: 20.2% against 14.4%. Phillips 66 has the higher net margin (4.66% vs 2.29%) and the lower return on invested capital (11.1% vs 15.3%). Both pay a dividend; Phillips 66 yields more (2.97% vs 2.28%). Across the 23 metrics below, Ultrapar Participacoes S.A. leads on 14 and Phillips 66 on 9.

Valuation

Metric PSX UGP Oil & Gas Refining & Marketing median
P/E 14.51 11.25 15.04
P/S 0.67 0.26 0.41
P/B 3.14 1.91 1.87
Price to free cash flow 16.04 5.17 8.78
EV/EBITDA 10.29 5.08 7.94
EV/Sales 0.78 0.33 0.59
Earnings yield 6.89% 8.89% 6.15%
Free cash flow yield 6.24% 19.34% 10.47%

Profitability

Metric PSX UGP Oil & Gas Refining & Marketing median
Gross margin 13.10% 8.44% 12.22%
Operating margin 5.74% 4.95% 5.35%
Net margin 4.66% 2.29% 2.08%
Free cash flow margin 4.20% 5.52% 4.25%
Return on equity 23.13% 18.40% 11.39%
Return on assets 8.99% 7.25% 5.22%
Return on invested capital 11.10% 15.25% 11.54%

Growth

Metric PSX UGP Oil & Gas Refining & Marketing median
Revenue growth (TTM) 14.44% 20.23% 13.37%
EPS growth (last fiscal year) 116.23% (25.64%) —
Revenue growth, 5-year CAGR 15.60% 10.10% 12.77%
Net income growth, 5-year CAGR 0.00% 20.45% 0.00%

Health

Metric PSX UGP Oil & Gas Refining & Marketing median
Debt to equity 0.63 0.96 0.44
Current ratio 1.32 1.64 1.32
Net debt to EBITDA 2.07 2.02 2.07

Dividend

Metric PSX UGP Oil & Gas Refining & Marketing median
Dividend yield 2.97% 2.28% 3.64%
Payout ratio 0.17 0.07 0.14

Size

Metric PSX UGP Oil & Gas Refining & Marketing median
Market cap 101.31b 7.99b 4.12b

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