Robert W. Baird Boosts Ferguson (NASDAQ:FERG) Price Target to $225.00

Ferguson (NASDAQ:FERG) had its target price hoisted by Robert W. Baird from $222.00 to $225.00 in a report published on Wednesday morning, Benzinga reports. The brokerage currently has an outperform rating on the stock.

Other research analysts have also recently issued research reports about the stock. Jefferies Financial Group raised their price target on shares of Ferguson from $238.00 to $250.00 and gave the stock a buy rating in a research note on Wednesday, July 17th. Barclays decreased their price target on Ferguson from $232.00 to $229.00 and set an overweight rating on the stock in a research note on Friday, July 12th. Finally, Royal Bank of Canada increased their price objective on Ferguson from $211.00 to $219.00 and gave the stock an outperform rating in a research note on Wednesday. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating and six have given a buy rating to the company. According to MarketBeat.com, the company has an average rating of Moderate Buy and an average target price of $231.57.

Ferguson Stock Performance

FERG opened at $196.52 on Wednesday. The stock’s 50 day simple moving average is $204.73 and its 200-day simple moving average is $206.82. The company has a current ratio of 1.68, a quick ratio of 0.94 and a debt-to-equity ratio of 0.64. The stock has a market cap of $39.69 billion, a PE ratio of 21.48, a P/E/G ratio of 6.13 and a beta of 1.21. Ferguson has a 1 year low of $147.62 and a 1 year high of $225.63.

Ferguson (NASDAQ:FERG) last posted its quarterly earnings results on Tuesday, September 17th. The company reported $2.98 earnings per share for the quarter, topping analysts’ consensus estimates of $2.86 by $0.12. Ferguson had a net margin of 6.33% and a return on equity of 36.89%. The firm had revenue of $7.95 billion for the quarter, compared to the consensus estimate of $8.01 billion. During the same quarter in the previous year, the company earned $2.77 earnings per share. The business’s revenue was up 1.4% compared to the same quarter last year. Sell-side analysts forecast that Ferguson will post 9.63 EPS for the current year.

Ferguson Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 8th. Stockholders of record on Friday, September 27th will be paid a $0.79 dividend. The ex-dividend date is Friday, September 27th. This represents a $3.16 dividend on an annualized basis and a dividend yield of 1.61%. Ferguson’s dividend payout ratio (DPR) is presently 34.54%.

Ferguson declared that its Board of Directors has initiated a stock buyback program on Tuesday, June 4th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the company to reacquire up to 2.6% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s leadership believes its shares are undervalued.

Institutional Investors Weigh In On Ferguson

A number of hedge funds have recently added to or reduced their stakes in the stock. Sanctuary Advisors LLC bought a new position in shares of Ferguson in the second quarter worth about $976,000. Kestra Investment Management LLC acquired a new stake in shares of Ferguson in the second quarter valued at approximately $536,000. Clearbridge Investments LLC raised its position in Ferguson by 20.7% in the 2nd quarter. Clearbridge Investments LLC now owns 176,231 shares of the company’s stock worth $34,127,000 after purchasing an additional 30,186 shares during the last quarter. Regency Capital Management Inc. DE lifted its holdings in Ferguson by 7.0% during the 2nd quarter. Regency Capital Management Inc. DE now owns 5,166 shares of the company’s stock worth $1,000,000 after buying an additional 339 shares in the last quarter. Finally, Ascent Group LLC boosted its position in Ferguson by 11.5% in the 2nd quarter. Ascent Group LLC now owns 7,321 shares of the company’s stock valued at $1,418,000 after buying an additional 753 shares during the last quarter. Institutional investors own 81.98% of the company’s stock.

About Ferguson

Ferguson plc distributes plumbing and heating products in the United States and Canada. It offers plumbing and heating solutions to customers in the residential, commercial, civil/infrastructure, and industrial end markets. The company also provides expertise, solutions, and products, including infrastructure, plumbing, appliances, fire, fabrication, and others, as well as heating, ventilation, and air conditioning products under the Ferguson brand name.