Where Ferguson Enterprises Stands With Analysts

Ferguson Enterprises FERG has been analyzed by 14 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $193.71, along with a high estimate of $225.00 and a low estimate of $168.00. A 7.9% drop is evident in the current average compared to the previous average price target of $210.33.

Decoding Analyst Ratings: A Detailed Look

The standing of Ferguson Enterprises among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines 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: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Ferguson Enterprises compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Ferguson Enterprises's stock. This comparison reveals trends in analysts' expectations over time.

For valuable insights into Ferguson Enterprises's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Ferguson Enterprises analyst ratings.

Get to Know Ferguson Enterprises Better

Ferguson distributes plumbing and HVAC products to North American repair, maintenance and improvement, new construction, and civil infrastructure markets. It serves over 1 million customers and sources products from 36,000 suppliers. Ferguson engages customers through approximately 1,800 North American branches, over the phone, online, and in residential showrooms. According to Modern Distribution Management, Ferguson is the largest plumbing distributor and second-largest HVAC distributor (next to Watsco) in North America. The firm sold its UK business in 2021 and is now solely focused on the North American market.

Breaking Down Ferguson Enterprises's Financial Performance

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Ferguson Enterprises's remarkable performance in 3 months is evident. As of 31 January, 2025, the company achieved an impressive revenue growth rate of 2.98%. This signifies a substantial increase in the company's 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 falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 4.02%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Ferguson Enterprises's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 4.95%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Ferguson Enterprises's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.65% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Ferguson Enterprises's debt-to-equity ratio is below the industry average at 1.1, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: Simplified

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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