Ultrapar Participacoes S.A. (NYSE:UGP) to Issue $0.19 Dividend

Ultrapar Participacoes S.A. (NYSE:UGP) announced a dividend on Thursday, August 13th. Stockholders of record on Wednesday, August 26th will be given a dividend of 0.1932 per share by the oil and gas company on Monday, September 14th. This represents a dividend yield of 634.0%. The ex-dividend date is Wednesday, August 26th.

Ultrapar Participacoes has increased its dividend by an average of 0.4%annually over the last three years. Ultrapar Participacoes has a dividend payout ratio of 57.1% meaning its dividend is sufficiently covered by earnings. Analysts expect Ultrapar Participacoes to earn $0.57 per share next year, which means the company should continue to be able to cover its $0.20 annual dividend with an expected future payout ratio of 35.1%.

Ultrapar Participacoes Trading Down 1.2%

Shares of NYSE UGP traded down $0.07 during midday trading on Friday, hitting $6.08. 1,994,487 shares of the company traded hands, compared to its average volume of 3,007,044. Ultrapar Participacoes has a 12-month low of $3.11 and a 12-month high of $6.59. The company has a debt-to-equity ratio of 0.89, a quick ratio of 1.30 and a current ratio of 1.67. The stock has a 50-day moving average price of $5.62 and a 200 day moving average price of $5.48. The firm has a market cap of $6.79 billion, a P/E ratio of 12.17, a P/E/G ratio of 0.35 and a beta of 0.70.

Wall Street Analyst Weigh In

UGP has been the topic of several research reports. Wall Street Zen raised Ultrapar Participacoes from a “buy” rating to a “strong-buy” rating in a research report on Saturday, May 9th. Weiss Ratings reissued a “hold (c+)” rating on shares of Ultrapar Participacoes in a research report on Monday, June 8th. Bank of America upgraded Ultrapar Participacoes from a “neutral” rating to a “buy” rating and raised their target price for the company from $6.80 to $7.40 in a research note on Wednesday, July 8th. Finally, UBS Group lifted their price target on Ultrapar Participacoes from $7.00 to $7.20 and gave the company a “buy” rating in a research report on Wednesday, June 17th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and four have assigned a Hold rating to the company’s stock. According to data from MarketBeat, Ultrapar Participacoes currently has an average rating of “Moderate Buy” and a consensus price target of $6.32.

About Ultrapar Participacoes

Ultrapar Participações SA is a Brazilian diversified holding company operating in the downstream energy and chemical sectors. Its Ipiranga unit runs one of Brazil’s largest networks of fuel stations, supplying gasoline, ethanol, diesel and convenience-store products to retail and wholesale customers. Through Ultragaz, the company is a leading distributor of liquefied petroleum gas (LPG), offering cylinder and bulk gas solutions for residential, commercial and industrial use across urban and rural regions.

In the specialty chemicals arena, Ultrapar controls Oxiteno, which produces surfactants and specialty chemical formulations for industries such as personal care, oil and gas, agrochemicals and coatings.