Ferguson (NASDAQ:FERG) Shares Gap Up – Still a Buy?

Ferguson plc (NASDAQ:FERG) gapped up prior to trading on Tuesday . The stock had previously closed at $214.10, but opened at $218.98. Ferguson shares last traded at $217.31, with a volume of 309,146 shares.

Analyst Ratings Changes

A number of research firms have recently commented on FERG. Robert W. Baird upped their price target on shares of Ferguson from $225.00 to $230.00 and gave the stock an “outperform” rating in a report on Wednesday, October 16th. Oppenheimer started coverage on shares of Ferguson in a report on Wednesday, October 23rd. They set an “outperform” rating and a $234.00 target price on the stock. UBS Group increased their target price on shares of Ferguson from $228.00 to $236.00 and gave the stock a “buy” rating in a report on Wednesday, September 18th. Wells Fargo & Company increased their target price on shares of Ferguson from $225.00 to $232.00 and gave the stock an “overweight” rating in a report on Thursday, November 7th. Finally, Barclays increased their target price on shares of Ferguson from $229.00 to $245.00 and gave the stock an “overweight” rating in a report on Wednesday, September 18th. Two equities research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $233.38.

Ferguson Stock Up 0.8 %

The firm has a market capitalization of $44.73 billion, a P/E ratio of 26.12, a PEG ratio of 2.15 and a beta of 1.21. The company has a debt-to-equity ratio of 0.89, a quick ratio of 1.00 and a current ratio of 1.80. The business’s fifty day moving average price is $202.64 and its two-hundred day moving average price is $202.49.

Ferguson (NASDAQ:FERG) last released its quarterly earnings results on Tuesday, September 17th. The company reported $2.98 earnings per share for the quarter, beating analysts’ consensus estimates of $2.86 by $0.12. Ferguson had a net margin of 5.85% and a return on equity of 36.53%. The business had revenue of $7.95 billion for the quarter, compared to analysts’ expectations of $8.01 billion. During the same period last year, the business earned $2.77 EPS. The company’s revenue was up 1.4% compared to the same quarter last year. Equities analysts expect that Ferguson plc will post 9.77 earnings per share for the current fiscal year.

Ferguson Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, November 8th. Investors of record on Friday, September 27th were given a $0.79 dividend. This represents a $3.16 annualized dividend and a dividend yield of 1.42%. The ex-dividend date was Friday, September 27th. Ferguson’s payout ratio is currently 37.05%.

Insider Activity at Ferguson

In related news, CMO Victoria Morrissey sold 1,468 shares of the stock in a transaction that occurred on Monday, October 14th. The shares were sold at an average price of $201.20, for a total value of $295,361.60. Following the completion of the transaction, the chief marketing officer now directly owns 5,205 shares of the company’s stock, valued at $1,047,246. This trade represents a 22.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Richard Winckler sold 1,325 shares of the firm’s stock in a transaction that occurred on Monday, October 14th. The stock was sold at an average price of $201.75, for a total transaction of $267,318.75. Following the transaction, the chief accounting officer now directly owns 1,000 shares of the company’s stock, valued at $201,750. This represents a 56.99 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 12,313 shares of company stock valued at $2,477,901 in the last three months. 0.16% of the stock is owned by insiders.

Hedge Funds Weigh In On Ferguson

A number of institutional investors have recently bought and sold shares of the business. Franklin Resources Inc. raised its position in Ferguson by 6.0% during the 3rd quarter. Franklin Resources Inc. now owns 2,371,954 shares of the company’s stock worth $477,858,000 after buying an additional 133,769 shares during the last quarter. Wilmington Savings Fund Society FSB purchased a new position in Ferguson during the 3rd quarter worth approximately $66,000. Anchor Investment Management LLC purchased a new position in Ferguson during the 3rd quarter worth approximately $112,000. Neo Ivy Capital Management purchased a new position in Ferguson during the 3rd quarter worth approximately $970,000. Finally, Geode Capital Management LLC raised its position in Ferguson by 0.8% during the 3rd quarter. Geode Capital Management LLC now owns 3,197,621 shares of the company’s stock worth $633,409,000 after buying an additional 25,677 shares during the last quarter. 81.98% of the stock is owned by hedge funds and other institutional investors.

Ferguson Company Profile

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.