Forecasting The Future: 11 Analyst Projections For Ferguson Enterprises

11 analysts have shared their evaluations of Ferguson Enterprises FERG during the recent three months, expressing a mix of bullish and bearish perspectives.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Ferguson Enterprises and provided 12-month price targets. The average target is $186.27, accompanied by a high estimate of $200.00 and a low estimate of $168.00. This current average has decreased by 8.65% from the previous average price target of $203.90.

Deciphering Analyst Ratings: An In-Depth Analysis

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: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Ferguson Enterprises compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Ferguson Enterprises's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

To gain a panoramic view of Ferguson Enterprises's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Ferguson Enterprises analyst ratings.

Unveiling the Story Behind Ferguson Enterprises

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.

Ferguson Enterprises's Financial Performance

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

Revenue Growth: Ferguson Enterprises's revenue growth over a period of 3M has been noteworthy. As of 31 January, 2025, the company achieved a revenue growth rate of approximately 2.98%. This indicates 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 is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 4.02%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 4.95%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.65%, the company showcases effective utilization of assets.

Debt Management: Ferguson Enterprises's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.1.

Understanding the Relevance of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

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.

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