Ferguson plc (NYSE:FERG) Receives $277.21 Average Price Target from Analysts

Ferguson plc (NYSE:FERG) has been given an average rating of “Moderate Buy” by the eighteen analysts that are covering the company, MarketBeat reports. Six investment analysts have rated the stock with a hold recommendation, eleven have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $277.2136.

FERG has been the subject of several recent analyst reports. Citigroup reaffirmed a “neutral” rating on shares of Ferguson in a research report on Wednesday, May 6th. Wells Fargo & Company raised their target price on shares of Ferguson from $260.00 to $285.00 and gave the company an “overweight” rating in a report on Wednesday, May 6th. Weiss Ratings upgraded shares of Ferguson from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, July 2nd. Barclays upped their price target on shares of Ferguson from $295.00 to $297.00 and gave the stock an “overweight” rating in a report on Friday, May 8th. Finally, Zelman & Associates upgraded shares of Ferguson from a “hold” rating to an “outperform” rating and set a $285.00 price target on the stock in a research report on Friday, July 17th.

Hedge Funds Weigh In On Ferguson

Several hedge funds and other institutional investors have recently modified their holdings of the business. Leonteq Securities AG acquired a new stake in Ferguson in the fourth quarter valued at about $26,000. Basepoint Wealth LLC acquired a new position in Ferguson during the fourth quarter worth about $26,000. Central Pacific Bank Trust Division acquired a new position in Ferguson during the fourth quarter worth about $27,000. Grove Bank & Trust lifted its holdings in shares of Ferguson by 154.4% in the fourth quarter. Grove Bank & Trust now owns 145 shares of the company’s stock worth $32,000 after acquiring an additional 88 shares during the last quarter. Finally, Zions Bancorporation National Association UT lifted its holdings in shares of Ferguson by 123.4% in the fourth quarter. Zions Bancorporation National Association UT now owns 143 shares of the company’s stock worth $32,000 after acquiring an additional 79 shares during the last quarter. Institutional investors own 81.98% of the company’s stock.

Ferguson Price Performance

Ferguson stock opened at $228.66 on Friday. The stock’s fifty day moving average price is $229.67 and its two-hundred day moving average price is $240.52. Ferguson has a one year low of $207.64 and a one year high of $271.64. The company has a debt-to-equity ratio of 0.68, a current ratio of 1.78 and a quick ratio of 0.96. The firm has a market cap of $44.35 billion, a PE ratio of 26.59, a price-to-earnings-growth ratio of 1.62 and a beta of 1.13.

Ferguson (NYSE:FERG) last released its earnings results on Tuesday, May 5th. The company reported $2.28 earnings per share for the quarter, beating analysts’ consensus estimates of $2.14 by $0.14. Ferguson had a return on equity of 38.81% and a net margin of 6.98%.The firm had revenue of $7.47 billion during the quarter. During the same quarter in the previous year, the company posted $2.50 earnings per share. The business’s revenue was up 3.6% compared to the same quarter last year. As a group, research analysts expect that Ferguson will post 11.3 EPS for the current fiscal year.

Ferguson Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, July 8th. Shareholders of record on Friday, May 15th were paid a dividend of $0.89 per share. The ex-dividend date was Friday, May 15th. This represents a $3.56 annualized dividend and a yield of 1.6%. Ferguson’s dividend payout ratio is presently 41.40%.

Ferguson announced that its board has authorized a stock repurchase program on Tuesday, May 5th that allows the company to buyback $2.00 billion in shares. This buyback authorization allows the company to repurchase up to 3.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board of directors believes its shares are undervalued.

Ferguson Company Profile

Ferguson (NYSE: FERG) is a multinational distributor specializing in plumbing and heating products and related building supplies, serving professional contractors, builders and industrial customers. The company supplies a broad range of products used in residential, commercial and infrastructure projects, including pipes and fittings, valves and controls, HVAC equipment, waterworks materials, plumbing fixtures, pumps and accessories, as well as complementary electrical and specialty product lines.

Ferguson operates a network of branches and distribution centers that provide inventory, logistics and value-added services to trade customers.