Ferguson plc $FERG Holdings Lowered by Soroban Capital Partners LP

Soroban Capital Partners LP reduced its stake in Ferguson plc (NYSE:FERG) by 19.5% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 2,398,367 shares of the company’s stock after selling 579,825 shares during the period. Ferguson accounts for approximately 1.1% of Soroban Capital Partners LP’s holdings, making the stock its 12th biggest position. Soroban Capital Partners LP’s holdings in Ferguson were worth $559,443,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also made changes to their positions in FERG. Lazard Asset Management LLC increased its stake in shares of Ferguson by 109.9% during the first quarter. Lazard Asset Management LLC now owns 17,399 shares of the company’s stock valued at $4,058,000 after acquiring an additional 9,108 shares during the period. Cardiff Park Advisors LLC acquired a new stake in Ferguson in the first quarter worth approximately $277,000. Weiss Asset Management LP acquired a new stake in Ferguson in the first quarter worth approximately $580,000. OMERS ADMINISTRATION Corp lifted its position in Ferguson by 105.4% in the first quarter. OMERS ADMINISTRATION Corp now owns 17,444 shares of the company’s stock worth $4,069,000 after purchasing an additional 8,951 shares during the period. Finally, Van Diest Capital LLC bought a new position in Ferguson during the 1st quarter valued at $236,000. 81.98% of the stock is currently owned by institutional investors.

Ferguson Trading Up 1.4%

Shares of NYSE:FERG opened at $233.79 on Tuesday. The company has a debt-to-equity ratio of 0.68, a quick ratio of 0.96 and a current ratio of 1.78. The stock has a market capitalization of $45.34 billion, a price-to-earnings ratio of 27.19, a PEG ratio of 1.63 and a beta of 1.13. Ferguson plc has a 1-year low of $207.64 and a 1-year high of $271.64. The company has a 50 day moving average price of $230.08 and a 200 day moving average price of $240.59.

Ferguson (NYSE:FERG) last posted its quarterly earnings results on Tuesday, May 5th. The company reported $2.28 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.14 by $0.14. Ferguson had a return on equity of 38.81% and a net margin of 6.98%.The company had revenue of $7.47 billion for the quarter. During the same period in the prior year, the company posted $2.50 EPS. Ferguson’s quarterly revenue was up 3.6% on a year-over-year basis. On average, research analysts anticipate that Ferguson plc will post 11.3 EPS for the current fiscal year.

Ferguson announced that its Board of Directors has approved a stock repurchase plan on Tuesday, May 5th that authorizes the company to buyback $2.00 billion in shares. This buyback authorization authorizes the company to repurchase up to 3.9% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

Ferguson Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, July 8th. Investors of record on Friday, May 15th were issued a $0.89 dividend. This represents a $3.56 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date was Friday, May 15th. Ferguson’s payout ratio is presently 41.40%.

Analyst Ratings Changes

Several equities analysts have recently issued reports on FERG shares. Citigroup reiterated a “neutral” rating on shares of Ferguson in a research report on Wednesday, May 6th. Zelman & Associates upgraded Ferguson from a “hold” rating to an “outperform” rating and set a $285.00 price objective for the company in a report on Friday, July 17th. The Goldman Sachs Group cut Ferguson from a “buy” rating to a “neutral” rating and decreased their target price for the company from $315.00 to $265.00 in a research note on Monday, July 6th. Barclays lifted their target price on Ferguson from $295.00 to $297.00 and gave the stock an “overweight” rating in a report on Friday, May 8th. Finally, Royal Bank Of Canada boosted their price target on shares of Ferguson from $271.00 to $281.00 and gave the stock an “outperform” rating in a research report on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat, Ferguson currently has an average rating of “Moderate Buy” and a consensus target price of $277.21.

About Ferguson

Ferguson (NYSE: FERG) is a multinational distributor specializing in plumbing and heating products and related building supplies, serving professional contractors, builders and industrial customers. The company supplies a broad range of products used in residential, commercial and infrastructure projects, including pipes and fittings, valves and controls, HVAC equipment, waterworks materials, plumbing fixtures, pumps and accessories, as well as complementary electrical and specialty product lines.

Ferguson operates a network of branches and distribution centers that provide inventory, logistics and value-added services to trade customers.