UGI Corp Operating Margin vs. Price To Earning

UGICDelisted Stock  USD 65.81  0.02  0.03%   
Considering UGI Corp's profitability and operating efficiency indicators, UGI Corp Unit may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess UGI Corp's ability to earn profits and add value for shareholders.
For UGI Corp profitability analysis, we use financial ratios and fundamental drivers that measure the ability of UGI Corp to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well UGI Corp Unit utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between UGI Corp's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of UGI Corp Unit over time as well as its relative position and ranking within its peers.
  
Check out World Market Map to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
Please note, there is a significant difference between UGI Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if UGI Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, UGI Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

UGI Corp Unit Price To Earning vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining UGI Corp's current stock value. Our valuation model uses many indicators to compare UGI Corp value to that of its competitors to determine the firm's financial worth.
UGI Corp Unit is rated first in operating margin category among its peers. It is rated fourth in price to earning category among its peers reporting about  41.12  of Price To Earning per Operating Margin. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the UGI Corp's earnings, one of the primary drivers of an investment's value.

UGI Price To Earning vs. Operating Margin

Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

UGI Corp

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.31 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

UGI Corp

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
12.75 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.

UGI Price To Earning Comparison

UGI Corp is currently under evaluation in price to earning category among its peers.

UGI Corp Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in UGI Corp, profitability is also one of the essential criteria for including it into their portfolios because, without profit, UGI Corp will eventually generate negative long term returns. The profitability progress is the general direction of UGI Corp's change in net profit over the period of time. It can combine multiple indicators of UGI Corp, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
UGI Corporation distributes, stores, transports, and markets energy products and related services in the United States and internationally. UGI Corporation was incorporated in 1991 and is based in King of Prussia, Pennsylvania. Ugi Corp operates under UtilitiesRegulated Gas classification in the United States and is traded on New York Stock Exchange. It employs 11300 people.

UGI Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on UGI Corp. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of UGI Corp position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the UGI Corp's important profitability drivers and their relationship over time.

Use UGI Corp in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if UGI Corp position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in UGI Corp will appreciate offsetting losses from the drop in the long position's value.

UGI Corp Pair Trading

UGI Corp Unit Pair Trading Analysis

The ability to find closely correlated positions to UGI Corp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace UGI Corp when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back UGI Corp - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling UGI Corp Unit to buy it.
The correlation of UGI Corp is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as UGI Corp moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if UGI Corp Unit moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for UGI Corp can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your UGI Corp position

In addition to having UGI Corp in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Soft Drinks Thematic Idea Now

Soft Drinks
Soft Drinks Theme
Entities manufacturing and distributing non alcoholic beverages across different markets. The Soft Drinks theme has 44 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Soft Drinks Theme or any other thematic opportunities.
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Check out World Market Map to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
You can also try the Insider Screener module to find insiders across different sectors to evaluate their impact on performance.

Other Consideration for investing in UGI Stock

If you are still planning to invest in UGI Corp Unit check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the UGI Corp's history and understand the potential risks before investing.
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