A Major Investor Reduces Stake In Ultrapar Participacoes While UGP Endorses AI Corporate Policy

Ultrapar Participações S.A. (NYSE:UGP) is one of the 7 Penny Stocks With Low Forward P/E Ratios to Look For.

On January 27, Ultrapar Participações reported in an SEC filing that its shareholders, Squadra Investimentos – Gestão de Recursos LTDA and its affiliate Squadra Investments – Gestão de Recursos LTDA, have reduced their aggregate stake in the company to 4.95%. Squadra now holds approximately 55.21 million shares of UGP. Squadra has currently loaned out almost 5.42 million of these shares. According to the filing, Squadra does not intend to change Ultrapar’s control composition or administrative structure.

In other news, on December 10, 2025, Ultrapar’s board approved the company’s Strategic Plan for 2026-2035 and the budget for 2026. The new plan endorses a Corporate Policy update, focusing on AI use, indicating Ultrapar’s commitment to integrating advanced technologies into its operations. The company expects to improve its operational efficiency and strategic positioning in the market.

In 2025, the company made significant investments to expand in Brazil’s energy and infrastructure sectors. The company allocated R$2.542 billion, prioritizing expansion, with 60% of the capital allocated to its core businesses. The 2025 plan took investors into confidence, with Ultrapar Participações S.A. shares returning more than 69% to its shareholders in the last one year, through February 3. In January alone, the stock moved over 27.50%, reflecting positive investor sentiment following the board’s approval of the 2026 plan. With a forward P/E of 11.03, UGP trades at a discount of over 40% to its peers.

Ultrapar Participações S.A. (NYSE:UGP) operates in the energy, mobility, and infrastructure sectors in Brazil. The company focuses on distributing liquefied petroleum gas to residential, commercial, and industrial customers.

While we acknowledge the potential of UGP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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