Sunoco LP (SUN) vs Ultrapar Participacoes S.A. (UGP)

Sunoco LP and Ultrapar Participacoes S.A. are both Oil & Gas Refining & Marketing companies. Sunoco LP is the larger, with a market value of $12.6B against $6.0B — 2.1× the size. Ultrapar Participacoes S.A. trades at the lower P/E: 8.8× against 10.3×. Sunoco LP grew revenue faster over the last twelve months: 135.8% against 20.2%. Ultrapar Participacoes S.A. has the higher net margin (2.29% vs 0.00%) and the higher return on invested capital (15.3% vs 7.09%). Both pay a dividend; Ultrapar Participacoes S.A. yields more (6.75% vs 4.74%). Across the 23 metrics below, Ultrapar Participacoes S.A. leads on 18 and Sunoco LP on 5.

Valuation

Metric SUN UGP Oil & Gas Refining & Marketing median
P/E 10.34 8.84 8.38
P/S 0.16 0.21 0.33
P/B 1.24 1.50 1.70
Price to free cash flow 4.27 4.06 5.86
EV/EBITDA 6.01 4.21 4.96
EV/Sales 0.40 0.27 0.46
Earnings yield 9.67% 11.31% 9.67%
Free cash flow yield 23.40% 24.61% 15.55%

Profitability

Metric SUN UGP Oil & Gas Refining & Marketing median
Gross margin 10.93% 8.44% 10.93%
Operating margin 4.60% 4.95% 7.14%
Net margin 0.00% 2.29% 2.70%
Free cash flow margin 5.12% 5.52% 6.17%
Return on equity 11.39% 18.40% 21.95%
Return on assets 0.00% 7.25% 5.76%
Return on invested capital 7.09% 15.25% 13.74%

Growth

Metric SUN UGP Oil & Gas Refining & Marketing median
Revenue growth (TTM) 135.84% 20.23% 26.02%
EPS growth (last fiscal year) (62.00%) 2.90% 37.92%
Revenue growth, 5-year CAGR 18.67% 10.10% 13.17%
Net income growth, 5-year CAGR 18.32% 20.45% 0.00%

Health

Metric SUN UGP Oil & Gas Refining & Marketing median
Debt to equity 1.55 0.96 0.41
Current ratio 1.28 1.64 1.31
Net debt to EBITDA 7.57 2.02 2.07

Dividend

Metric SUN UGP Oil & Gas Refining & Marketing median
Dividend yield 4.74% 6.75% 2.20%
Payout ratio 0.49 0.62 0.25

Size

Metric SUN UGP Oil & Gas Refining & Marketing median
Market cap 12.64b 5.95b 3.91b

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