Cracking The Code: Understanding Analyst Reviews For Ferguson Enterprises

4 analysts have expressed a variety of opinions on Ferguson Enterprises FERG over the past quarter, offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $230.75, a high estimate of $250.00, and a low estimate of $219.00. This current average has increased by 2.21% from the previous average price target of $225.75.

Decoding Analyst Ratings: A Detailed Look

The perception of Ferguson Enterprises by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Ferguson Enterprises. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Ferguson Enterprises compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Ferguson Enterprises's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Ferguson Enterprises's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Ferguson Enterprises analyst ratings.

Get to Know Ferguson Enterprises Better

Ferguson distributes plumbing and HVAC products primarily to repair, maintenance and improvement, new construction, and civil infrastructure markets. It serves over 1 million customers and sources products from 37,000 suppliers. Ferguson engages customers through approximately 1,700 North American branches, over the phone, online, and in residential showrooms. In fiscal 2023, Ferguson derived 95% of its nearly $30 billion of sales in the United States According to Modern Distribution Management, Ferguson is the largest industrial and construction distributor in North America. The firm sold its UK business in 2021 and is now solely focused on the North American market.

Unraveling the Financial Story of Ferguson Enterprises

Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.

Positive Revenue Trend: Examining Ferguson Enterprises's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 2.35% as of 30 April, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Industrials sector.

Net Margin: Ferguson Enterprises's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 6.06% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Ferguson Enterprises's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 8.1%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Ferguson Enterprises's ROA excels beyond industry benchmarks, reaching 2.76%. This signifies efficient management of assets and strong financial health.

Debt Management: Ferguson Enterprises's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.94.

The Significance of Analyst Ratings Explained

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.