Analyst Philip Ng from Jefferies maintained a Buy rating on Ferguson PLC (FERG – Research Report) and keeping the price target at $230.00.
Philip Ng has given his Buy rating due to a combination of factors that suggest potential upside for Ferguson PLC. Despite a slow start to the year in the residential market, the company’s guidance remains conservative, and the full-year targets appear achievable. While there are risks associated with the second quarter due to seasonal slowness and operational leverage challenges, Ferguson’s stock is currently trading at a significant discount compared to its peers, which presents an attractive buying opportunity.
Moreover, foot and web traffic data indicate steady conditions, with web traffic showing positive year-over-year growth for the first time since the second quarter of 2022. The HVAC segment, in particular, has shown strong performance, driven by increased shipments and stable pricing. Although the broader market outlook remains choppy, the repair and remodel sector appears more stable, and recent pricing trends in key categories could provide additional support for Ferguson’s financial performance.
Based on the recent corporate insider activity of 79 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of FERG in relation to earlier this year.