UBS Reaffirms Their Buy Rating on Ultrapar Participacoes SA (UGP)

Ultrapar Participacoes ADR (UGP) reported Q3 EPS of $0.27, missing estimates of $0.278, with revenue at $7.98B, below the $8.36B consensus. The stock is down 11.85% over 3 months but up 32.76% over 12 months. InvestingPro rates its financial health as 'great performance.'

Ultrapar, a Brazilian group, reported a 249% increase in Q3 net income to R$2.697 billion (US$483 million) due to one-off tax credits. Revenue rose 20% to R$44.432 billion (US$7.96 billion). However, recurring EBITDA fell 15% from Q2, and cash generation declined due to supplier financing and subsidies.

JPMorgan downgraded Ultrapar Holding (NYSE:UGP) to Neutral from Overweight, citing strong performance and valuation concerns. The stock has surged 116% year-to-date, trading near its 52-week high. Ultrapar reported Q2 2026 earnings with EPS of $0.2448, beating estimates, but revenue missed expectations. JPMorgan raised its price target to BRL42.50 from BRL39.00.

Morgan Stanley upgraded Vibra Energia to Buy, raising its price target to R$30.00 from R$26.50, and revised Ultrapar to Neutral with a R$22.00 target from R$21.00, citing tighter enforcement against fuel-market irregularities. Scotiabank upgraded Ultrapar to Outperform with a R$22.00 target. Canada’s CPPIB sold all 44 million Ultrapar shares in a block trade worth about R$1.3 billion at R$29.40 per share.

Ultrapar Participações (UGP) rose about 4.1% after crude oil prices increased. Bank of America upgraded the stock to Buy from Neutral and raised its price target to $7.40 from $6.80, citing diminishing overhangs and expecting Ultrapar’s Q2 results to provide clarity.

According to Estadao’s Coluna do Broadcast (July 5), Alimentation Couche-Tard (owner of Circle K) is negotiating with Grupo Ultra/Ultrapar to buy a stake in Ipiranga, Brazil’s second-largest fuel distributor. Ipiranga has 6,000+ stations and annual revenue above 140 billion reais. The sale is part of Ultrapar’s fuel-arm restructuring; no deal is signed.