Ultrapar Participacoes S.A. (UGP) vs Valero Energy Corporation (VLO)

Ultrapar Participacoes S.A. and Valero Energy Corporation are both Oil & Gas Refining & Marketing companies. Valero Energy Corporation is the larger, with a market value of $109.1B against $8.0B — 13.7× the size. Ultrapar Participacoes S.A. trades at the lower P/E: 11.3× against 16.1×. Ultrapar Participacoes S.A. grew revenue faster over the last twelve months: 20.2% against 12.6%. Valero Energy Corporation has the higher net margin (5.17% vs 2.29%) and the higher return on invested capital (19.7% vs 15.3%). Both pay a dividend; Valero Energy Corporation yields more (2.99% vs 2.28%). Across the 23 metrics below, Ultrapar Participacoes S.A. leads on 12 and Valero Energy Corporation on 11.

Valuation

Metric UGP VLO Oil & Gas Refining & Marketing median
P/E 11.25 16.06 15.04
P/S 0.26 0.82 0.41
P/B 1.91 4.03 1.87
Price to free cash flow 5.17 12.14 8.78
EV/EBITDA 5.08 8.86 7.94
EV/Sales 0.33 0.84 0.59
Earnings yield 8.89% 6.23% 6.15%
Free cash flow yield 19.34% 8.24% 10.47%

Profitability

Metric UGP VLO Oil & Gas Refining & Marketing median
Gross margin 8.44% 8.03% 12.22%
Operating margin 4.95% 7.18% 5.35%
Net margin 2.29% 5.17% 2.08%
Free cash flow margin 5.52% 6.73% 4.25%
Return on equity 18.40% 26.10% 11.39%
Return on assets 7.25% 11.61% 5.22%
Return on invested capital 15.25% 19.71% 11.54%

Growth

Metric UGP VLO Oil & Gas Refining & Marketing median
Revenue growth (TTM) 20.23% 12.62% 13.37%
EPS growth (last fiscal year) (25.64%) (11.77%) —
Revenue growth, 5-year CAGR 10.10% 13.58% 12.77%
Net income growth, 5-year CAGR 20.45% 0.00% 0.00%

Health

Metric UGP VLO Oil & Gas Refining & Marketing median
Debt to equity 0.96 0.40 0.44
Current ratio 1.64 1.64 1.32
Net debt to EBITDA 2.02 0.94 2.07

Dividend

Metric UGP VLO Oil & Gas Refining & Marketing median
Dividend yield 2.28% 2.99% 3.64%
Payout ratio 0.07 0.14 0.14

Size

Metric UGP VLO Oil & Gas Refining & Marketing median
Market cap 7.99b 109.13b 4.12b

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