Baird Financial Group Inc. has reduced its holdings in Ferguson plc (NYSE: FERG) by 6.2% during the second quarter of 2023, as revealed in its latest 13F filing with the Securities and Exchange Commission. The firm now owns 230,204 shares of Ferguson after selling 15,275 shares, with the remaining stake valued at approximately $50.1 million.
Several other institutional investors also adjusted their positions in Ferguson recently. For instance, Smithfield Trust Co increased its stake by 3.5%, acquiring an additional 46 shares and bringing its total to 1,342 shares worth $291,000. Northwestern Mutual Wealth Management Co. enhanced its holdings by 7.5%, now owning 690 shares valued at $150,000 after purchasing 48 additional shares. Hemington Wealth Management reported a significant increase in its holdings by 51.5%, now holding 153 shares valued at $33,000 following the acquisition of 52 shares.
US Bancorp DE grew its position by 0.8% in the first quarter, now owning 7,394 shares valued at $1.2 million after purchasing 59 shares. Compound Planning Inc. also increased its stake by 4.6%, now holding 1,386 shares worth $222,000 after acquiring 61 shares. Overall, institutional investors and hedge funds own approximately 81.98% of Ferguson’s stock.
Analysts Provide Insights on Ferguson’s Future
Market analysts have recently shared their forecasts regarding Ferguson’s stock performance. Notably, Robert W. Baird raised its target price from $260 to $262, maintaining an “outperform” rating. Truist Financial followed suit, increasing its target from $240 to $260 and issuing a “buy” rating. Zacks Research upgraded Ferguson to a “hold” rating, while Jefferies Financial Group elevated its price objective from $268 to $289, also assigning a “buy” rating.
Oppenheimer adjusted their target price from $235 to $255, maintaining an “outperform” rating. Currently, two analysts have rated the stock as a “Strong Buy,” while twelve have assigned a “Buy” rating, and seven have opted for a “Hold” rating. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $246.71.
Ferguson’s Financial Performance and Market Activity
Ferguson’s stock opened at $249.61 on Friday, reflecting a 1.3% decline. Over the past year, the stock has seen a low of $146.00 and a high of $256.93. The company maintains a debt-to-equity ratio of 0.64, a quick ratio of 0.94, and a current ratio of 1.68. Ferguson’s market capitalization stands at $48.92 billion, with a price-to-earnings ratio of 26.72.
On September 16, 2023, Ferguson announced its quarterly earnings, reporting earnings per share (EPS) of $3.48, surpassing analyst expectations of $3.00 by $0.48. The business generated revenues of $8.50 billion for the quarter, exceeding the estimated $8.44 billion.
The company also declared a quarterly dividend, which was distributed on November 7, 2023. Shareholders of record as of September 26, 2023, received a dividend of $0.83, translating to an annualized dividend of $3.32 and a yield of 1.3%. The dividend payout ratio currently stands at 35.55%.
In related news, insider James A. Paisley sold 3,000 shares of Ferguson stock on October 14, 2023, at an average price of $236.97, amounting to a total of $710,910. Following this transaction, Paisley retains 2,211 shares valued at approximately $523,940.67. Additionally, CAO Richard Winckler sold 1,034 shares on the same day at an average price of $232.70, totaling $240,611.80. Insiders have collectively sold 29,264 shares, valued at $6.85 million, in the last quarter, with corporate insiders holding 0.18% of the stock.
Ferguson Enterprises Inc. is a leading distributor of plumbing and heating products in North America, offering a range of solutions for both residential and non-residential customers.
