Ferguson (NYSE:FERG) Issues Quarterly Earnings Results

Ferguson (NYSE:FERG) posted its quarterly earnings results on Monday. The company reported $3.39 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.23 by $0.16, FiscalAI reports. The firm had revenue of $8.75 billion for the quarter. Ferguson had a return on equity of 38.81% and a net margin of 6.98%.

Ferguson Trading Up 2.8%

FERG opened at $263.76 on Tuesday. Ferguson has a fifty-two week low of $207.64 and a fifty-two week high of $271.64. The firm has a market capitalization of $51.15 billion, a PE ratio of 30.67, a P/E/G ratio of 1.82 and a beta of 1.14. 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 company’s 50-day moving average is $234.16 and its 200 day moving average is $240.89.

Ferguson Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 7th. Stockholders of record on Friday, August 21st will be given a dividend of $0.89 per share. The ex-dividend date of this dividend is Friday, August 21st. This represents a $3.56 annualized dividend and a dividend yield of 1.3%. Ferguson’s payout ratio is presently 41.40%.

Hedge Funds Weigh In On Ferguson

A number of hedge funds have recently added to or reduced their stakes in FERG. Leonteq Securities AG purchased a new stake in shares of Ferguson in the fourth quarter worth approximately $26,000. Basepoint Wealth LLC bought a new stake in Ferguson during the fourth quarter worth $26,000. Zions Bancorporation National Association UT grew its holdings in Ferguson by 123.4% during the fourth quarter. Zions Bancorporation National Association UT now owns 143 shares of the company’s stock worth $32,000 after buying an additional 79 shares in the last quarter. Johnson Financial Group Inc. purchased a new stake in Ferguson in the 3rd quarter valued at $34,000. Finally, Eastern Bank purchased a new stake in Ferguson in the 2nd quarter valued at $42,000. Institutional investors and hedge funds own 81.98% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on FERG. Wells Fargo & Company lifted their price objective on shares of Ferguson from $260.00 to $285.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. Royal Bank Of Canada raised their price target on shares of Ferguson from $271.00 to $281.00 and gave the stock an “outperform” rating in a report on Wednesday, May 6th. Zelman & Associates raised shares of Ferguson from a “hold” rating to an “outperform” rating and set a $285.00 price target for the company in a research note on Friday, July 17th. Barclays reiterated an “overweight” rating on shares of Ferguson in a report on Tuesday. Finally, Citigroup reissued a “neutral” rating on shares of Ferguson in a research report on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $277.21.

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

About Ferguson

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.