U.S. markets close in 2 hours 51 minutes
  • S&P 500

    +0.47 (+0.01%)
  • Dow 30

    -96.23 (-0.28%)
  • Nasdaq

    +15.54 (+0.12%)
  • Russell 2000

    -0.41 (-0.02%)
  • Crude Oil

    +1.97 (+2.24%)
  • Gold

    -5.10 (-0.29%)
  • Silver

    -0.27 (-1.37%)

    -0.0089 (-0.88%)
  • 10-Yr Bond

    -0.0110 (-0.38%)

    -0.0113 (-0.93%)

    +0.7180 (+0.53%)

    -56.58 (-0.24%)
  • CMC Crypto 200

    +0.22 (+0.04%)
  • FTSE 100

    +26.10 (+0.35%)
  • Nikkei 225

    -280.63 (-0.96%)

Here’s Why You Should Consider Investing in UGI Corporation

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·2 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Diamond Hill Capital, an investment management firm, published its “Diamond Hill Small-Mid Cap Fund” first-quarter 2022 investor letter – a copy of which can be downloaded here. Amid a rocky market quarter overall, the portfolio’s negative returns still outpaced the Russell 2500 Index by a healthy margin in Q1. From current levels, equity market returns over the next five years are likely to be below historical averages. Try to take some time looking at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Diamond Hill Small-Mid Cap Fund mentioned UGI Corporation (NYSE:UGI) and explained its insights for the company. Founded in 1882, UGI Corporation (NYSE:UGI) is a King of Prussia, Pennsylvania-based natural gas distribution company with an $8.3 billion market capitalization. UGI Corporation (NYSE:UGI) delivered a -13.42% return since the beginning of the year, while its 12-month returns are down by -13.08%. The stock closed at $39.75 per share on July 12, 2022. 

Here is what Diamond Hill Small-Mid Cap Fund has to say about UGI Corporation (NYSE:UGI) in its Q1 2022 investor letter:

"Taking a cue from the energy crisis in Europe, investors are questioning whether UGI Corporation, a natural gas and electric power utility, may mismanage commodity risk or face some demand destruction. We believe these risks are transient and manageable. What's more, UGI has made significant investments in its renewable fuels business, including renewable natural gas (RNG) and bioLPG-propane produced from renewable sources such as plant and vegetable waste material."

Natural Gas
Natural Gas


Our calculations show that UGI Corporation (NYSE:UGI) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. UGI Corporation (NYSE:UGI) was in 30 hedge fund portfolios at the end of the first quarter of 2022, compared to 31 funds in the previous quarter. UGI Corporation (NYSE:UGI) delivered a 10.51% return in the past 3 months.

In June 2022, we published an article that includes UGI Corporation (NYSE:UGI) in 5 Low-Priced Blue Chip Stocks to Buy Now. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.