Financial Contrast: Ferguson (NYSE:FERG) & HUHUTECH International Group (NASDAQ:HUHU)

Ferguson (NYSE:FERG) and HUHUTECH International Group (NASDAQ:HUHU) are both industrials companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, risk, institutional ownership, dividends, profitability, valuation and analyst recommendations.

Profitability

This table compares Ferguson and HUHUTECH International Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ferguson	6.98%	38.92%	12.87%
HUHUTECH International Group	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Ferguson and HUHUTECH International Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ferguson	0	6	10	2	2.78
HUHUTECH International Group	1	0	0	0	1.00

Ferguson currently has a consensus price target of $269.73, indicating a potential upside of 11.70%. Given Ferguson’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Ferguson is more favorable than HUHUTECH International Group.

Valuation & Earnings

This table compares Ferguson and HUHUTECH International Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ferguson	$31.32 billion	1.50	$1.86 billion	$8.82	27.38
HUHUTECH International Group	$21.43 million	11.67	-$17.34 million	N/A	N/A

Ferguson has higher revenue and earnings than HUHUTECH International Group.

Insider and Institutional Ownership

82.0% of Ferguson shares are owned by institutional investors. 0.2% of Ferguson shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

Ferguson has a beta of 1.23, indicating that its stock price is 23% more volatile than the S&P 500. Comparatively, HUHUTECH International Group has a beta of -0.74, indicating that its stock price is 174% less volatile than the S&P 500.

Summary

Ferguson beats HUHUTECH International Group on 12 of the 13 factors compared between the two stocks.

About Ferguson

Ferguson Enterprises Inc. distributes plumbing and heating products in North America. The company provides expertise, solutions, and products, including infrastructure, plumbing, appliances, fire, and fabrication, as well as heating, ventilation, and air conditioning (HVAC) to residential and non-residential customers. It also supplies specialist water and wastewater treatment products to residential, commercial, and infrastructure contractors, as well as supplies pipe, valves, and fittings solutions to industrial customers. In addition, it offers customized solutions, such as virtual design, fabrication, valve actuation, pre-assembly, kitting, installation, and project management services, as well as after-sales support that comprises warranty, credit, project-based billing, returns and maintenance, and repair and operations support. The company sells its products through a network of distribution centers, branches, counter service and specialist sales associates, showroom consultants, and e-commerce channels. Ferguson Enterprises Inc. was founded in 1953 and is headquartered in Newport News, Virginia.

About HUHUTECH International Group

HUHUTECH International Group, Inc. designs and provides customized high-purity gas and chemical production system and equipment. The company was founded by Yu Jun Xiao on July 8, 2021 and is headquartered in Wuxi City, China.