Zacks Research Has Pessimistic Outlook of UGI Q3 Earnings

Key Points

• Zacks Research turned more cautious on UGI’s near-term outlook, cutting its Q3 2026 EPS estimate to a loss of $0.35 per share from a prior loss estimate of $0.17. The firm also lowered forecasts for several other upcoming quarters and for FY2026.
• UGI’s latest quarterly results were mixed, with EPS of $2.09 slightly missing the $2.11 consensus estimate and revenue of $2.69 billion coming in well below expectations of $3.08 billion. Revenue still rose 0.7% year over year, but profit and sales both fell short of analyst forecasts.
• Analyst sentiment remains generally constructive despite the downgrade, with a consensus rating of “Moderate Buy” and an average price target of $43.33. UGI also continues to offer a sizable dividend, with an annualized payout of $1.50 per share and a yield of about 4.3%.

UGI Corporation (NYSE:UGI - Free Report) - Equities researchers at Zacks Research lowered their Q3 2026 earnings per share estimates for UGI in a research report issued on Wednesday, May 27th. Zacks Research analyst Team now anticipates that the utilities provider will earn ($0.35) per share for the quarter, down from their previous forecast of ($0.17). The consensus estimate for UGI's current full-year earnings is $2.89 per share. Zacks Research also issued estimates for UGI's Q4 2026 earnings at ($0.10) EPS, Q3 2027 earnings at ($0.23) EPS and Q4 2027 earnings at ($0.16) EPS.

UGI (NYSE:UGI - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The utilities provider reported $2.09 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.11 by ($0.02). UGI had a return on equity of 13.81% and a net margin of 8.71%.The company had revenue of $2.69 billion for the quarter, compared to analyst estimates of $3.08 billion. During the same quarter in the prior year, the company earned $2.21 earnings per share. The business's revenue was up .7% compared to the same quarter last year.

A number of other analysts have also weighed in on UGI. Jefferies Financial Group restated a "hold" rating and issued a $40.00 target price (down from $45.00) on shares of UGI in a research note on Thursday, April 30th. Weiss Ratings restated a "buy (b-)" rating on shares of UGI in a research note on Friday, April 24th. Finally, Wells Fargo & Company initiated coverage on UGI in a research note on Monday, May 11th. They issued an "overweight" rating and a $46.00 target price for the company. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $43.33.

UGI Stock Performance

Shares of NYSE:UGI opened at $34.61 on Friday. UGI has a twelve month low of $31.62 and a twelve month high of $41.34. The firm has a market cap of $7.42 billion, a PE ratio of 12.14 and a beta of 0.96. The company has a debt-to-equity ratio of 1.10, a quick ratio of 0.87 and a current ratio of 1.00. The business has a fifty day moving average of $35.97 and a 200-day moving average of $37.08.

Institutional Trading of UGI

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Bare Financial Services Inc increased its position in UGI by 103.8% in the third quarter. Bare Financial Services Inc now owns 1,345 shares of the utilities provider's stock worth $45,000 after purchasing an additional 685 shares during the period. Torren Management LLC acquired a new stake in UGI in the fourth quarter worth about $65,000. Colonial Trust Co SC acquired a new stake in UGI in the fourth quarter worth about $75,000. Horizon Investments LLC acquired a new stake in UGI in the fourth quarter worth about $93,000. Finally, Whittier Trust Co. of Nevada Inc. increased its position in UGI by 7.7% in the fourth quarter. Whittier Trust Co. of Nevada Inc. now owns 3,559 shares of the utilities provider's stock worth $133,000 after purchasing an additional 254 shares during the period. 82.34% of the stock is currently owned by institutional investors and hedge funds.

UGI Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Investors of record on Monday, June 15th will be given a $0.375 dividend. This represents a $1.50 dividend on an annualized basis and a yield of 4.3%. The ex-dividend date is Monday, June 15th. UGI's dividend payout ratio (DPR) is presently 52.63%.

Key Headlines Impacting UGI

Here are the key news stories impacting UGI this week:

• Positive Sentiment: Zacks Research raised its earnings estimates for UGI in several future periods, including Q4 2026, Q3 2027, and Q4 2027, suggesting analysts see some improvement ahead. UGI analyst estimates update
• Neutral Sentiment: UGI announced a planned transition in top legal leadership, with its General Counsel and Chief Legal Officer Kathleen Shea Balla set to depart as part of an orderly succession process. Leadership changes at this level are usually viewed as a governance item unless they signal broader disruption. UGI announces planned transition in top legal leadership
• Negative Sentiment: Zacks Research also lowered estimates for UGI’s FY2026, Q1 2027, Q2 2027, and Q2 2028 earnings, indicating pressure on the company’s near- to medium-term profit outlook despite the upgrades in a few later periods. UGI earnings estimates lowered

About UGI

UGI Corporation NYSE: UGI is a publicly traded energy distribution company headquartered in King of Prussia, Pennsylvania. Founded in 1882 as the United Gas Improvement Company, UGI has grown into a diversified provider of energy products and services. The company's operations are organized into three primary segments—AmeriGas Propane, UGI Utilities and UGI International—each focused on the delivery of propane, natural gas and related services to residential, commercial and industrial customers.

AmeriGas Propane, UGI's largest segment, is the leading retail propane distributor in the United States with a network of dealers serving customers in all 50 states.

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