Ferguson Plc. (FERG) PT Raised to $225 at UBS

UBS analyst John Lovallo raised the price target on Ferguson Plc. (NYSE: FERG) to $225.00 (from $204.00) while maintaining a Neutral rating.

The analyst comments "Following FY4Q25 financial results (link), we adjust our FY26e-FY28e adj EPS from $11.15 to $10.95, $12.75 to $12.50 and $14.55 to $14.25, respectively. Our revised forecasts are driven primarily by more conservative CY2H25 margin expectations. However, we raise our PT on FERG shares from $204 to $225, now based on roughly 18x our FY27e EPS (~16x prior). We believe a higher valuation multiple is warranted as we approach a trough in end market activity and become more confident in a potential industry recovery in 2026. We continue to expect FERG to drive consistent above-market growth over time as the company leverages its size/scale and rolls out its HVAC/ plumbing dual-trade initiative. However, we believe the risk-reward remains fairly balanced at current levels and therefore maintain our Neutral rating on the shares."

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