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 $115.4B against $8.2B — 14.1× the size. Ultrapar Participacoes S.A. trades at the lower P/E: 12.4× against 16.7×. 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; Ultrapar Participacoes S.A. yields more (4.82% vs 1.71%). Across the 23 metrics below, Ultrapar Participacoes S.A. leads on 15 and Phillips 66 on 8.

Valuation

Metric PSX UGP Oil & Gas Refining & Marketing median
P/E 16.66 12.38 16.35
P/S 0.77 0.29 0.44
P/B 3.60 2.11 2.05
Price to free cash flow 18.41 5.69 9.98
EV/EBITDA 11.60 5.48 8.04
EV/Sales 0.88 0.35 0.59
Earnings yield 6.00% 8.08% 5.71%
Free cash flow yield 5.43% 17.58% 9.13%

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%) 31.15%
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 1.71% 4.82% 1.71%
Payout ratio 0.29 0.62 0.35

Size

Metric PSX UGP Oil & Gas Refining & Marketing median
Market cap 115.40b 8.18b 4.71b

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