Latest news with #FergusonEnterprises
Yahoo
3 days ago
- Business
- Yahoo
Ferguson Enterprises (NYSE:FERG) Declares US$1 Dividend With Payment Set For August
On May 29, 2025, Ferguson Enterprises enhanced its shareholder value by declaring a $0.83 per share dividend. Over the past month, the stock price increased by 7.82%, which aligns with broader market trends, including the S&P and Nasdaq indices' strong performances, up 6% and 10% respectively. This indicates that the company's financial strategies, such as the regularized dividend announcement, may have bolstered investor confidence amidst positive market sentiment, despite geopolitical uncertainties like renewed U.S.-China trade tensions. While the market was gaining overall, Ferguson's performance slightly outpaced the Dow's 4% rise. Every company has risks, and we've spotted 2 risks for Ferguson Enterprises you should know about. Find companies with promising cash flow potential yet trading below their fair value. Ferguson Enterprises' recent dividend announcement is expected to further enhance its long-term shareholder value, aligning with its strategic growth initiatives in HVAC and Waterworks segments. This decision may reinforce investor confidence, as indicated by the company's 7.82% share price increase over the past month. Over the longer term, Ferguson's shares have achieved a total return of 153.45% over the past five years, underscoring its robust growth compared to its 1-year negative earnings growth of 6.9% in a challenging industry backdrop. Relative to its peers, Ferguson's 1-year performance exceeded the US Trade Distributors industry, which delivered a negative return of 14.7%. However, it underperformed compared to the overall US market's 11.5% gain. Analysts' fiscal forecasts remain positive, despite current challenges. The anticipated revenue growth of 5.6% annually reflects strategic efforts, though below the broader market expectation of 8.6%. Earnings are projected to grow 10.3% per year, but the company faces risks such as deflation and competitive pressures that could impact margins. The latest dividend may reinforce the company's revenue and earnings forecasts by solidifying investor confidence and supporting analysts' price target of approximately US$194.21. Currently, Ferguson's stock trades near US$168.66, which presents a roughly 12.9% discount to this target, suggesting potential upside should the company effectively deliver on its aggressive growth strategies while mitigating execution risks. Overall, the anticipated share repurchase program further reflects management's optimism about enhancing EPS and achieving sustained shareholder value. Assess Ferguson Enterprises' future earnings estimates with our detailed growth reports. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:FERG. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
Yahoo
3 days ago
- Business
- Yahoo
Ferguson Enterprises (NYSE:FERG) Declares US$1 Dividend With Payment Set For August
On May 29, 2025, Ferguson Enterprises enhanced its shareholder value by declaring a $0.83 per share dividend. Over the past month, the stock price increased by 7.82%, which aligns with broader market trends, including the S&P and Nasdaq indices' strong performances, up 6% and 10% respectively. This indicates that the company's financial strategies, such as the regularized dividend announcement, may have bolstered investor confidence amidst positive market sentiment, despite geopolitical uncertainties like renewed U.S.-China trade tensions. While the market was gaining overall, Ferguson's performance slightly outpaced the Dow's 4% rise. Every company has risks, and we've spotted 2 risks for Ferguson Enterprises you should know about. Find companies with promising cash flow potential yet trading below their fair value. Ferguson Enterprises' recent dividend announcement is expected to further enhance its long-term shareholder value, aligning with its strategic growth initiatives in HVAC and Waterworks segments. This decision may reinforce investor confidence, as indicated by the company's 7.82% share price increase over the past month. Over the longer term, Ferguson's shares have achieved a total return of 153.45% over the past five years, underscoring its robust growth compared to its 1-year negative earnings growth of 6.9% in a challenging industry backdrop. Relative to its peers, Ferguson's 1-year performance exceeded the US Trade Distributors industry, which delivered a negative return of 14.7%. However, it underperformed compared to the overall US market's 11.5% gain. Analysts' fiscal forecasts remain positive, despite current challenges. The anticipated revenue growth of 5.6% annually reflects strategic efforts, though below the broader market expectation of 8.6%. Earnings are projected to grow 10.3% per year, but the company faces risks such as deflation and competitive pressures that could impact margins. The latest dividend may reinforce the company's revenue and earnings forecasts by solidifying investor confidence and supporting analysts' price target of approximately US$194.21. Currently, Ferguson's stock trades near US$168.66, which presents a roughly 12.9% discount to this target, suggesting potential upside should the company effectively deliver on its aggressive growth strategies while mitigating execution risks. Overall, the anticipated share repurchase program further reflects management's optimism about enhancing EPS and achieving sustained shareholder value. Assess Ferguson Enterprises' future earnings estimates with our detailed growth reports. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:FERG. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
Yahoo
16-04-2025
- Business
- Yahoo
Ferguson Enterprises Inc.'s (NYSE:FERG) Stock's On An Uptrend: Are Strong Financials Guiding The Market?
Ferguson Enterprises' (NYSE:FERG) stock is up by a considerable 12% over the past week. Given the company's impressive performance, we decided to study its financial indicators more closely as a company's financial health over the long-term usually dictates market outcomes. In this article, we decided to focus on Ferguson Enterprises' ROE. ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. Put another way, it reveals the company's success at turning shareholder investments into profits. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. ROE can be calculated by using the formula: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Ferguson Enterprises is: 30% = US$1.6b ÷ US$5.5b (Based on the trailing twelve months to January 2025). The 'return' is the amount earned after tax over the last twelve months. One way to conceptualize this is that for each $1 of shareholders' capital it has, the company made $0.30 in profit. Check out our latest analysis for Ferguson Enterprises We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company's earnings growth potential. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features. First thing first, we like that Ferguson Enterprises has an impressive ROE. Second, a comparison with the average ROE reported by the industry of 15% also doesn't go unnoticed by us. This likely paved the way for the modest 9.2% net income growth seen by Ferguson Enterprises over the past five years. As a next step, we compared Ferguson Enterprises' net income growth with the industry and were disappointed to see that the company's growth is lower than the industry average growth of 23% in the same period. Earnings growth is an important metric to consider when valuing a stock. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. What is FERG worth today? The intrinsic value infographic in our free research report helps visualize whether FERG is currently mispriced by the market. With a three-year median payout ratio of 34% (implying that the company retains 66% of its profits), it seems that Ferguson Enterprises is reinvesting efficiently in a way that it sees respectable amount growth in its earnings and pays a dividend that's well covered. Additionally, Ferguson Enterprises has paid dividends over a period of at least ten years which means that the company is pretty serious about sharing its profits with shareholders. Our latest analyst data shows that the future payout ratio of the company over the next three years is expected to be approximately 33%. Therefore, the company's future ROE is also not expected to change by much with analysts predicting an ROE of 32%. On the whole, we feel that Ferguson Enterprises' performance has been quite good. Specifically, we like that the company is reinvesting a huge chunk of its profits at a high rate of return. This of course has caused the company to see a good amount of growth in its earnings. The latest industry analyst forecasts show that the company is expected to maintain its current growth rate. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
20-03-2025
- Business
- Yahoo
Davie lawsuit says town lost $8 million after 3,000 of 10,000 new water meters failed
Faulty water meters have caused more than $8 million in damages to the town of Davie, a recently filed lawsuit claims. The town is suing Mueller Water Products and Ferguson Enterprises over a 2018 contract to supply and install 10,031 meters built by Mueller and to implement what the suit calls an 'advanced metering infrastructure.' The system was described by Ferguson, the lawsuit says, as 'backed by innovation and superior local service that is critical to your goals of improving the meter reading process, increasing billing accuracy, satisfying the customer's expectations and gaining overall system control.' Business | Florida cities sue as officials seek to avoid revealing detailed financial information Business | Florida faces Medicaid class-action lawsuit over medical supplies for disabled adults The system was supposed to enable the town to read meters and handle shut-offs and resumptions remotely, the suit states. As of January, 3,106 of the Mueller meters have failed, the town said. Issues cited in the lawsuit include meters failing to read, meters turning off, meters failing to communicate with the system, hardware failures, software failures, long lead time for meter replacements, and failure of the data transfer file. The town said it has incurred more than $8 million in damages as 'the Mueller AMI System continues to fail.' Town administrators and attorneys representing the town declined to comment on the suit or provide additional information about the losses it cites. 'We are not commenting as the complaint speaks for itself,' said Eric Mcaliley, partner with Boca Raton-based Lydecker LLP. Phillip Holste, assistant town administrator, replied, 'The Town does not comment regarding ongoing litigation.' Neither Erik Neudorff nor Richard Barry of GrayRobinson P.A., listed in the Broward County Court docket as representing Ferguson Enterprises, returned an email seeking comment about the case. And Mueller Water Products did not immediately respond to an email to its media relations office in Atlanta. The case docket does not note appearances by attorneys for Mueller Water Products. The town originally filed its lawsuit on Jan. 2 in Broward County Circuit Court. On March 14, it was transferred to U.S. District Court in Fort Lauderdale. The defendants have not yet filed a response to the town's claims. The lawsuit claims that Ferguson, as the project's prime contractor, agreed to provide 100% warranty coverage for 'component failures over 2% annually' for up to 10 years. The town also requested additional warranty coverage for the meters' bodies, electronic registers and transceivers after their two-year manufacturers' warranties expired, according to the complaint. The lawsuit charges both defendants with breach of contract and breach of warranty. It also accuses Ferguson of negligent misrepresentation for making 'false statements of material fact regarding the efficiency and quality' of the system it installed. The lawsuit claims that Ferguson breached the contract by failing to furnish, install and service the advanced metering infrastructure system 'that was the subject of the contract.' In addition, it failed to honor its warranties despite the town providing 'continuous notice of the issues' to Ferguson, the town claims. 'The defects in the meters and the system existed at the time of the contract,' the suit says. 'To date, Ferguson has not been able to repair the defects.' Mueller also agreed to repair or replace any software containing an error or provide a prorated refund and terminate the contract, the suit says. The complaint alleges that Mueller breached the contract by failing to provide equipment, software, documentation and other items 'related to advanced metrology infrastructure systems that are free of defect and in good working order.' According to a copies of contracts and a resolution by the town council that were included as exhibits to the complaint, the town agreed to spend $3.95 million for the installation and $71,066 annually in service fees. The town is seeking monetary damages, interest, and other such relief that the court deems just and proper. Mueller Water Products has faced accusations of product failure from other customers in recent years. In 2019, shareholders filed a class action suit against the company, claiming they suffered stock-price losses after Mueller disclosed it would take additional warranty charges on products it sold. The lawsuit noted issues with water meter systems the company installed in Missouri and California. Mueller denied the charges, and the suit was eventually dismissed after a judge agreed that the plaintiffs had pleaded their charges incorrectly. In 2023, a utility system in Harris County, Texas, filed a lawsuit with allegations similar to Davie's, and added that the sales representative for Mueller failed to disclose the company's knowledge of 'widespread problems with the defendant's meters in locations all across America.' The company has denied the allegations and the lawsuit is still pending. Ron Hurtibise covers business and consumer issues for the South Florida Sun Sentinel. He can be reached by phone at 954-356-4071 or by email at rhurtibise@
Yahoo
11-03-2025
- Business
- Yahoo
Ferguson Enterprises (NYSE:FERG) Reports Q2 Sales Growth Despite US$46 Million Dip In Net Income
Ferguson Enterprises recently announced mixed second-quarter results, including a slight increase in sales but a decrease in net income and earnings per share. The company's stock price declined 4.59% over the last week, mirroring similar moves in the broader market, which fell 4.6% amid concerns over new tariffs and economic uncertainty. Despite Ferguson's ongoing share buyback program and the declaration of a quarterly dividend with a 5% growth, these announcements were not enough to counterbalance the market's negative sentiment. The overall market decline, spurred by the Trump administration's decision to increase tariffs on Canadian imports, likely contributed to the downtrend in Ferguson's share price. Investors might be wary due to the potential economic slowdown suggested by the broader stock market's bearish sentiment, impacting Ferguson's stock performance despite its internal financial moves. Click here to discover the nuances of Ferguson Enterprises with our detailed analytical report. Over the past five years, Ferguson Enterprises has delivered a total shareholder return of 169.76%. This impressive growth can be attributed to several key factors that have influenced the company's financial and market strategies. A significant event was the extensive share buyback program, with recent tranches in late 2024 and early 2025 contributing to a cumulative repurchase value exceeding US$3.59 billion, thereby enhancing shareholder value. Additionally, Ferguson's inclusion in the FTSE All-World Index in September 2024 improved its market presence. The company's ongoing dividend increases, with a 5% growth in March 2025, supported its appeal to income-focused investors. Collaborations, like the January 2025 partnership with WINT Water Intelligence, illustrate Ferguson's commitment to expanding its offerings in sustainability-focused solutions. Meanwhile, executive changes, such as the promotion of Bill Thees in January 2025, highlight a strengthened leadership approach intended to drive future growth. Unlock the insights behind Ferguson Enterprises' valuation and discover its true investment potential Understand the uncertainties surrounding Ferguson Enterprises' market positioning with our detailed risk analysis report. Invested in Ferguson Enterprises? Simplify your portfolio management with Simply Wall St and stay ahead with our alerts for any critical updates on your stocks. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:FERG. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Sign in to access your portfolio
