Brown Advisory Increases Stake in Ferguson plc to $531.77 Million

Brown Advisory Inc. has increased its stake in Ferguson plc, now valued at $531.77 million, following a 0.4% rise in its holdings during the second quarter of 2023. According to the latest filing with the Securities and Exchange Commission (SEC), the institutional investor owns 2,442,107 shares after acquiring an additional 10,615 shares in the quarter. This move reflects a growing confidence in Ferguson’s market position.

Several other institutional investors have also adjusted their holdings in Ferguson, which is listed on the NYSE under the ticker FERG. For instance, LPL Financial LLC boosted its stake by 13.5% during the first quarter, bringing its total to 57,625 shares worth approximately $9.23 million. Similarly, Vanguard Group Inc. increased its position by 4.4%, acquiring 806,718 shares valued at around $3.07 billion.

Ferguson’s Current Market Performance

As of the close of trading on Friday, Ferguson’s shares opened at $249.61. The stock has experienced volatility over the past year, reaching a low of $146.00 and a high of $256.93. Ferguson’s market capitalization stands at approximately $48.92 billion, with a price-to-earnings (P/E) ratio of 26.72 and a dividend yield of 1.3%. The company’s financial ratios indicate a healthy liquidity position, with a current ratio of 1.68 and a debt-to-equity ratio of 0.64.

On November 7, Ferguson announced a quarterly dividend of $0.83 per share, which was paid to stockholders who were on record as of September 26, 2023. This dividend represents an annualized payout of $3.32 and a dividend payout ratio of 35.55%.

Insider Transactions and Analyst Ratings

Recent insider activity has also garnered attention, with Ian T. Graham, an insider at Ferguson, selling 606 shares on October 15, 2023, at an average price of $239.33. Following this transaction, he retains 7,714 shares valued at around $1.85 million. In another transaction, insider James A. Paisley sold 3,000 shares at an average price of $236.97 on October 14, 2023, reducing his holdings significantly.

Ferguson has been featured in numerous analyst reports. Jefferies Financial Group recently raised its price target for the company from $268.00 to $289.00, maintaining a “buy” rating. Similarly, Oppenheimer increased its target from $235.00 to $255.00. Overall, the stock has received positive ratings, with two analysts rating it as a Strong Buy, twelve as Buy, and seven as Hold, reflecting a consensus average rating of “Moderate Buy” with a price target of $246.71.

Ferguson Enterprises Inc. operates as a distributor of plumbing and heating products across North America, offering solutions and expertise in various sectors, including residential and non-residential markets. As investor interest continues to grow, Ferguson’s strategic position within the industry remains a focal point for stakeholders.