FERGFerguson Enterprises Inc.
Is the business good?
Thin cash backing (0.7×). That is the only one of 4 checks this filer's data supports, so take it as a single data point rather than a settled answer.
Operating profit outpaces operating cash flow, watch accruals and working capital. Conversion is worsening vs a year ago.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is FERG?
Ferguson Enterprises Inc. earns 24% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 15 points above what the capital costs: growth creates value
- Operating margin
- 9.7%
Operating margin · Industrial Distribution median 8.3% · 12 months to Q4 2026
- Cash conversion
- 0.67×
Cash conversion · 1.00× a year ago · the operating profit has not turned into cash yet
- Share count, year on year
- −2.3%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2022 | 9.9% |
| FY2023 | 8.9% |
| FY2024 | 8.9% |
| FY2025 | 8.5% |
Details›
- Gross margin12 months to Q4 2026
- 31%
- Operating margin12 months to Q4 2026
- 9.7%
- Net margin12 months to Q4 2026
- 7.1%
- Free cash flow margin
- 3.8%
- Revenue, trailing twelve months
- $32.9B
- Free cash flow, trailing twelve months
- $1.26B
- Net income, trailing twelve months
- $2.35B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 24%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Industrial Distribution
Ranks #10 of 17 by RyuScore