Ferguson plc (FERG) To Go Ex-Dividend on September 27th

Ferguson plc (NASDAQ:FERG) announced a quarterly dividend on Tuesday, September 17th, Wall Street Journal reports. Stockholders of record on Friday, September 27th will be paid a dividend of 0.79 per share on Friday, November 8th. This represents a $3.16 dividend on an annualized basis and a dividend yield of 1.57%. The ex-dividend date is Friday, September 27th.

Ferguson has a payout ratio of 29.7% meaning its dividend is sufficiently covered by earnings. Analysts expect Ferguson to earn $11.06 per share next year, which means the company should continue to be able to cover its $3.16 annual dividend with an expected future payout ratio of 28.6%.

Ferguson Stock Performance

Shares of FERG opened at $201.13 on Wednesday. The stock has a market capitalization of $40.62 billion, a PE ratio of 20.66, a price-to-earnings-growth ratio of 3.35 and a beta of 1.21. The business’s fifty day moving average price is $204.32 and its 200 day moving average price is $206.89. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.68 and a quick ratio of 0.94. Ferguson has a 12-month low of $147.62 and a 12-month 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 (EPS) for the quarter, topping analysts’ consensus estimates of $2.86 by $0.12. Ferguson had a net margin of 5.85% and a return on equity of 37.03%. The company had revenue of $7.95 billion for the quarter, compared to the consensus estimate of $8.01 billion. During the same period last year, the firm posted $2.77 EPS. The company’s revenue for the quarter was up 1.4% on a year-over-year basis. Equities research analysts forecast that Ferguson will post 9.86 EPS for the current year.

Ferguson declared that its Board of Directors has approved a share buyback plan on Tuesday, June 4th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the company to purchase up to 2.6% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on FERG. Robert W. Baird increased their price target on Ferguson from $222.00 to $225.00 and gave the stock an “outperform” rating in a research report on Wednesday, September 18th. Barclays upped their price objective on Ferguson from $229.00 to $245.00 and gave the stock an “overweight” rating in a research note on Wednesday, September 18th. Citigroup raised their target price on Ferguson from $203.00 to $221.00 and gave the company a “neutral” rating in a research note on Wednesday, September 18th. UBS Group lifted their price objective on shares of Ferguson from $228.00 to $236.00 and gave the company a “buy” rating in a research report on Wednesday, September 18th. Finally, Wells Fargo & Company cut their price target on Ferguson from $250.00 to $225.00 and set an “overweight” rating on the stock in a report on Wednesday, September 18th. One 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 stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $231.57.

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.