Is Ultrapar Participacoes (UGP) Stock Undervalued Right Now?

Core Viewpoint - The article emphasizes the importance of value investing and highlights Ultrapar Participacoes (UGP) as a strong candidate for value investors due to its attractive financial metrics and strong earnings outlook [2][8]. Company Analysis - Ultrapar Participacoes (UGP) has a Zacks Rank of 1 (Strong Buy) and an A for Value, indicating it is considered a high-quality value stock [4]. - The current P/E ratio of UGP is 10.55, significantly lower than the industry average P/E of 18.76, suggesting it may be undervalued [4]. - UGP's Forward P/E has fluctuated between 6.92 and 19.24 over the past year, with a median of 10.89 [4]. - The PEG ratio for UGP is 2.89, which is lower than the industry average PEG of 3.03, indicating a favorable valuation relative to expected earnings growth [5]. - UGP's P/B ratio is 1.22, compared to the industry average P/B of 2.35, further supporting the notion of undervaluation [6]. - The P/CF ratio for UGP is 4.67, significantly lower than the industry average P/CF of 11.87, highlighting its strong cash flow position [7]. Financial Metrics - UGP's P/E ratio: 10.55 [4] - UGP's Forward P/E range: 6.92 to 19.24, median 10.89 [4] - UGP's PEG ratio: 2.89, industry average: 3.03 [5] - UGP's P/B ratio: 1.22, industry average: 2.35 [6] - UGP's P/CF ratio: 4.67, industry average: 11.87 [7]