Ferguson plc (NASDAQ:FERG) Plans Quarterly Dividend of $0.79

Ferguson plc (NASDAQ:FERG) declared a quarterly dividend on Tuesday, September 17th, Wall Street Journal reports. Shareholders of record on Friday, September 27th will be given a dividend of 0.79 per share on Friday, November 8th. This represents a $3.16 annualized dividend and a dividend yield of 1.58%. The ex-dividend date is Friday, September 27th.

Ferguson has a dividend payout ratio of 29.7% indicating that 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 Trading Down 0.8 %

NASDAQ:FERG opened at $199.49 on Thursday. Ferguson has a 12-month low of $147.62 and a 12-month high of $225.63. The firm has a market cap of $40.29 billion, a PE ratio of 20.75, a price-to-earnings-growth ratio of 3.36 and a beta of 1.21. The company has a current ratio of 1.68, a quick ratio of 0.94 and a debt-to-equity ratio of 0.64. The stock has a fifty day moving average price of $204.09 and a 200 day moving average price of $206.84.

Ferguson (NASDAQ:FERG) last posted its quarterly earnings results on Tuesday, September 17th. The company reported $2.98 EPS for the quarter, topping the consensus estimate of $2.86 by $0.12. The company had revenue of $7.95 billion during the quarter, compared to analysts’ expectations of $8.01 billion. Ferguson had a net margin of 5.85% and a return on equity of 37.03%. The firm’s revenue was up 1.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.77 EPS. Sell-side analysts anticipate that Ferguson will post 9.86 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of brokerages recently weighed in on FERG. Citigroup boosted their price target on shares of Ferguson from $203.00 to $221.00 and gave the company a “neutral” rating in a research report on Wednesday, September 18th. Jefferies Financial Group boosted their target price on Ferguson from $238.00 to $250.00 and gave the company a “buy” rating in a report on Wednesday, July 17th. Wells Fargo & Company dropped their price target on Ferguson from $250.00 to $225.00 and set an “overweight” rating on the stock in a research note on Wednesday, September 18th. Robert W. Baird boosted their price objective on Ferguson from $222.00 to $225.00 and gave the company an “outperform” rating in a research note on Wednesday, September 18th. Finally, UBS Group increased their price objective on Ferguson from $228.00 to $236.00 and gave the company a “buy” rating in a report on Wednesday, September 18th. One analyst has rated the stock with a sell rating, two have issued a hold rating and six have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $231.57.

Ferguson declared that its board has approved a share buyback plan on Tuesday, June 4th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the company to purchase up to 2.6% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s board of directors believes its stock is undervalued.

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.