Our paths cross again. I too believe UGI Corp is a stellar investment. Most people look at the profile (small electrical utility and distribution) and think boring stodgy utility.
I agree that they have been experts at allocating capital while not taking on much risk. The Antargaz deal gave them a strong European platform. The JV with Flaga also boosted exposure.
The dividend at UGI is almost entirely covered by distributions (both LP and GP) produced by their holdings in Amerigas. UGI is free to deploy cash generated by the base business in share buybacks, asset acquisitions, dividends etc.
I hope UGI will continue to find ways to build out their LDC gas biz in Pennsylvania from larger utilities that are more focused on electricity.
UGI is a solid investment. You won't get rich overnight, but I view it as a long term holding that will produce above average returns.