Ferguson plc (FERG) is a publicly traded company in the Industrials — Industrial - Distribution industry listed on NYSE. This overview shows the latest price, key valuation ratios, profitability metrics and financial-health indicators used by fundamental investors.
Ferguson plc operates as a major supplier of plumbing, heating, and related industrial products throughout the United States and Canada. The company serves a diverse client base, providing essential solutions for residential, commercial, civil/infrastructure, and industrial projects. Its extensive product range encompasses core plumbing and heating supplies, such as pipes, valves, fittings, water heaters, and a variety of kitchen and bathroom fixtures and appliances.
Is Ferguson plc stock overvalued or undervalued in 2026?
Ferguson plc (FERG) trades at 22.1× earnings (P/E), below the median of the 297 industrials companies over $2bn in Kaplio's universe. At the decade median (20.0×) $209 (-9 %); at its sector median (25.8×) $270 (+17 %).
Kaplio overview: Ferguson plc
Market cap $45B · 52 weeks $214 – $268 (13 % below the high) · P/E 22.1× · 2027 expected P/E 18.4× · Dividend 1.5 % · Next earnings November 5, 2026 · expected EPS $3.30 · Closing price, Oct 28 · accounts published Aug 10.
- Valuation: P/E 22.1× (fairly priced).
- Business: ROIC 17 % (solid).
- Balance sheet: Net debt/EBITDA 6.7× (fragile).
- Earnings: 5 of 8 (uneven).
What would it be worth at its usual multiples?
At the decade median (20.0×) $209 (-9 %); at its sector median (25.8×) $270 (+17 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.
What matters in industrials: 5 of 10 pass
- 5y revenue growth −15.0 %, fails.
- Operating margin 10.2 %, fails.
- FCF conversion 72.4 %, fails.
- Net debt / EBITDA 6.7×, fails.
- Capex / Revenue 2.7 %, fails.
- ROIC 16.5 %, passes.
- Altman Z-Score 3.6, passes.
- Piotroski F-Score 6 de 9, passes.
- P/E vs own 10y history 22.1×, passes.
- Cycle-adjusted EV/EBITDA 15.7×, passes.
Against its peers (reference peers) — Ferguson plc: P/E 22.1×; EV/EBITDA 15.7×; ROIC 16.5 %; $44.6B. Fastenal Company (P/E 41.5×; EV/EBITDA 28.9×; ROIC 30.2 %; $59.0B), W.W. Grainger, Inc. (P/E 34.2×; EV/EBITDA 21.6×; ROIC 26.8 %; $63.2B), WESCO International, Inc. (P/E 24.0×; EV/EBITDA 14.3×; ROIC 8.1 %; $16.9B).
Expensive or cheap against its last ten years?
P/E at each close: today 22.1× · median 20.0× · minimum 9.2× · maximum 34.5× · cheap below 17.6× · expensive above 24.8×. It has been cheaper than today 67% of the time over its last ten years.
Dividend
tight (only raised recently) · Yield 1.5 % ($1.79 per share in 2026) · 5-year growth -17 % a year · Free cash flow coverage 2.2× · With $1,000 invested today you'd collect $15.40 a year ($1.28 a month).
Investor methods verdict
Would Buffett approve Ferguson today?
The Buffett Method would not approve Ferguson today: it fails its quality rules. Business quality: 71 out of 100 (price not included). Kaplio assessment with data from the week of 2026-10-26; not investment advice.
Would Peter Lynch approve Ferguson today?
The Lynch Method approves Ferguson today. Business quality: 69 out of 100 (price not included). Lynch classifies it as a turnaround. Kaplio assessment with data from the week of 2026-10-26; not investment advice.
Profitability
| Return on Equity | 34.00% |
| Return on Invested Capital | 16.51% |
| Return on Assets | 10.56% |
| Gross Margin | 30.55% |
| Operating Margin | 9.01% |
| Net Margin | 6.39% |
Financial Health
| Debt / Equity | 1.03 |
| Current Ratio | 1.73 |
| Piotroski F-Score | 6 |
| Altman Z-Score | 3.57 |
Price Performance
| 1 month | +3.07% |
| 3 months | -1.53% |
| Year-to-date | +3.64% |
| 1 year | -7.36% |
| 3 years | +50.04% |
| 5 years | +52.60% |
| 10 years | +346.74% |
Dividend History
Paid in the last 12 months: $3.5600 per share in 4 payments.
| Date | Amount |
|---|---|
| 2026-08-21 | $0.8900 |
| 2026-05-15 | $0.8900 |
| 2026-03-06 | $0.8900 |
| 2026-01-02 | $0.8900 |
| 2025-09-26 | $0.8300 |
| 2025-06-20 | $0.8300 |
| 2025-03-21 | $0.8300 |
| 2024-12-20 | $0.8300 |
| 2024-09-27 | $0.7900 |
| 2024-06-14 | $0.7900 |
Amounts adjusted for stock splits.
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Explore sector: Industrials · Industrial - Distribution
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