WOKINGHAM, England - Ferguson plc (NYSE:FERG, LSE:FERG), a leading distributor of plumbing and heating products, has been actively purchasing its own shares as part of a $3.0B share repurchase program. The company has acquired a total of 76,036 ordinary shares between Monday, January 22, 2024, and Friday, January 26, 2024, according to a recent announcement.
The shares were bought back on multiple trading venues, including ARCX, XNYS, CDRG, HRTF, XCIS, XNAS, BBOK, BATS, and EDGA, with the daily weighted average purchase price of the shares ranging from $187.9100 to $190.6155.
Ferguson has stated that these shares will be held in treasury. After the latest transactions, the company's treasury now holds 29,126,615 shares. Consequently, the remaining number of ordinary shares in issue is 203,044,567. This figure is significant for shareholders and others with notification obligations, as it serves as the denominator for calculations to determine the necessity of notifying interests or changes to interests in the company under the Disclosure Guidance and Transparency Rules.
The share repurchase activity aligns with the company's strategy to manage capital effectively and deliver value to its shareholders. The buyback program is part of a broader financial strategy that companies often employ to return capital to shareholders, potentially supporting the share price by reducing the supply of shares available in the market.
Investors and those monitoring Ferguson's financial maneuvers can find detailed information about the individual purchases on the company's investor relations website, as required by market regulations.
The information provided in this article is based on a press release statement from Ferguson plc.
InvestingPro Insights
As Ferguson plc continues its $3.0 billion share repurchase program, investing enthusiasts are keeping a keen eye on the company's financial health and market performance. With real-time data from InvestingPro, we can glean further insights into Ferguson's current standing. The company boasts a robust market capitalization of $38.83 billion USD, and its P/E ratio stands at a solid 21.62, reflecting investor confidence in its earnings potential. Notably, Ferguson's P/E ratio has adjusted to 20.27 over the last twelve months as of Q1 2024, signaling a slight increase in value relative to earnings.
Despite a slight revenue decline of 0.62% over the last twelve months as of Q1 2024, Ferguson remains a prominent player in the Trading Companies & Distributors industry, with a strong return over the last three months at 27.62%. This performance is further underscored by the company's stable operating income margin at 9.12% and a healthy return on assets at 11.35%. Investors may also find comfort in the fact that Ferguson's stock generally trades with low price volatility, a characteristic that can be preferable during uncertain market conditions.
For those considering a deeper dive into Ferguson's financial prospects, InvestingPro offers additional insights. There are currently six analysts who have revised their earnings upwards for the upcoming period, indicating a positive outlook on the company's profitability. Moreover, Ferguson's liquid assets exceed its short-term obligations, and it operates with a moderate level of debt, which may suggest a strong financial position to weather economic fluctuations. Interested investors can access a wealth of InvestingPro Tips for Ferguson, which include detailed analyses and forecasts, by visiting InvestingPro's dedicated page for Ferguson.
To enhance your investment research, consider subscribing to InvestingPro, now available on a special New Year sale with discounts of up to 50%. Use coupon code SFY24 to get an additional 10% off a 2-year InvestingPro+ subscription, or SFY241 to get an additional 10% off a 1-year InvestingPro+ subscription. With the subscription, you'll gain access to an extensive array of InvestingPro Tips, where currently more than 12 additional tips are listed, providing a comprehensive outlook on Ferguson's financial performance and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.