UGI
Through the investors’ lenses
Each of these investors has said in public what they look at before buying. Click a name to see how this company measures up — a tick where it passes one of their tests, a cross where it does not.
Warren Buffett 3/4
| Measure | UGI | Checked against | |
|---|---|---|---|
| Owner earnings | $402.00m | positive | ✓ |
| Return on equity | 14.2% | median 11.7% | ✓ |
| Debt to equity | 1.39x | median 0.79x | ✗ |
| Operating margin | 15.5% | median 15.0% | ✓ |
Passes 3 of 4. To be clear: Warren Buffett has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Terry Smith 2/4
| Measure | UGI | Checked against | |
|---|---|---|---|
| Return on capital employed | 9.7% | median 10.1% | ✗ |
| Cash conversion | 1.81x | median 1.78x | ✓ |
| Operating margin | 15.5% | median 15.0% | ✓ |
| Debt to equity | 1.39x | median 0.79x | ✗ |
Passes 2 of 4. To be clear: Terry Smith has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Charlie Munger 2/3
| Measure | UGI | Checked against | |
|---|---|---|---|
| Return on capital employed | 9.7% | median 10.1% | ✗ |
| Return on equity | 14.2% | median 11.7% | ✓ |
| Operating margin | 15.5% | median 15.0% | ✓ |
Passes 2 of 3. To be clear: Charlie Munger has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Chuck Akre 2/4
| Measure | UGI | Checked against | |
|---|---|---|---|
| Return on equity | 14.2% | median 11.7% | ✓ |
| Debt to equity | 1.39x | median 0.79x | ✗ |
| Cash conversion | 1.81x | median 1.78x | ✓ |
| Return on equity, sustained | 7 of 10 | 8 of 10 above median | ✗ |
Passes 2 of 4. To be clear: Chuck Akre has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Philip Fisher 2/4
| Measure | UGI | Checked against | |
|---|---|---|---|
| Operating margin | 15.5% | median 15.0% | ✓ |
| Net margin | 9.5% | median 10.2% | ✗ |
| Return on capital employed | 9.7% | median 10.1% | ✗ |
| Operating margin, held or improving | 15.5% | 10-yr median 15.2% | ✓ |
Passes 2 of 4. To be clear: Philip Fisher has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Walter Schloss 0/2
| Measure | UGI | Checked against | |
|---|---|---|---|
| Current ratio | 0.89x | median 1.25x | ✗ |
| Debt to equity | 1.39x | median 0.79x | ✗ |
Passes 0 of 2. To be clear: Walter Schloss has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Benjamin Graham 0/2
| Measure | UGI | Checked against | |
|---|---|---|---|
| Current ratio | 0.89x | 2.00x published | ✗ |
| Long-term debt to working capital | — | 1.00x published | — |
| Positive earnings, ten years running | 2 yrs | 10 published | ✗ |
Passes 0 of 2. To be clear: Benjamin Graham has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Joel Greenblatt 0/1
| Measure | UGI | Checked against | |
|---|---|---|---|
| Return on capital employed | 9.7% | median 10.1% | ✗ |
Passes 0 of 1. To be clear: Joel Greenblatt has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
Peter Lynch 0/2
| Measure | UGI | Checked against | |
|---|---|---|---|
| Debt to equity | 1.39x | median 0.79x | ✗ |
| Net margin | 9.5% | median 10.2% | ✗ |
Passes 0 of 2. To be clear: Peter Lynch has never said anything about UGI. These are the company’s own figures put through the tests he described. What he looks at, and why →
| Basis | Payout | Why |
|---|---|---|
| GAAP earnings | 48.5% | whyThe dividend is set against the allowed return on the rate base. |
| Operating cash flow | 26.2% | whyBefore the capital programme the regulator expects. |
| Free cash flow | 82.6% | whySwings with the capex cycle by design — growth into the rate base is recovered through rates. Says little about the dividend. |
Spread between highest and lowest: 56.3 percentage points. Same filings, different denominators.
Coverage rating 63 / 100 — Adequate. ? Peer standing 38/50Direction 25/30Stability 0/20
GAAP earnings payout, last 6 years
| Fiscal year | Payout |
|---|---|
| 2025-09-30 | 48.5% |
| 2024-09-30 | 120.0% |
| 2022-09-30 | 28.4% |
| 2021-09-30 | 19.5% |
| 2020-09-30 | 51.6% |
| 2019-09-30 | 81.2% |
75% of the 57 utilities here pay out more — comfortable for the sector.
The arithmetic
- GAAP earnings — dividends declared per share $1.50 ÷ diluted EPS $3.09
- Operating cash flow — dividends paid $322m ÷ operating cash flow $1,227m
- Free cash flow — dividends paid $322m ÷ (operating cash flow $1,227m − capex $837m)
Where the figures came from
- 10-K filed 2025-11-21 · accession 0000884614-25-000053
All public at sec.gov — you should not have to take our word for it.
Computed straight from SEC XBRL. A number that looks wrong to you is more useful to us than agreement — tell us.
What the GAAP earnings payout ratio measures, and where every company here sits on it.
Also on: rated adequate · when it files.
When this changes
Every figure above is recomputed whenever UGI files. The monthly letter carries what filed, what moved, and one finding computed across every company here.