Why FERGUSON PLC (NYSE:FERG) should be investigated by quality investors.

In this article we will dive into FERGUSON PLC (NYSE:FERG) as a possible candidate for quality investing. Investors should always do their own research, but we noticed FERGUSON PLC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Exploring Why NYSE:FERG Holds Appeal for Quality Investors.

• FERGUSON PLC has demonstrated significant revenue growth over the past 5 years, with a 7.46% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• With a robust ROIC excluding cash and goodwill at 28.27%, FERGUSON PLC showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
• With a Debt/Free Cash Flow Ratio of 1.76, FERGUSON PLC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• The Profit Quality (5-year) of FERGUSON PLC stands at 89.76%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• FERGUSON PLC has consistently achieved strong EBIT growth over the past 5 years, with a 15.07% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• The EBIT 5-year growth of FERGUSON PLC has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

Fundamental analysis of NYSE:FERG

ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.

We assign a fundamental rating of 5 out of 10 to FERG. FERG was compared to 52 industry peers in the Trading Companies & Distributors industry. Both the health and profitability get an excellent rating, making FERG a very profitable company, without any liquidiy or solvency issues. FERG is valued expensive and it does not seem to be growing.

Our latest full fundamental report of FERG contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.