Plumbing and heating solutions provider Ferguson (NYSE:FERG) is continuing its hefty $2.5 billion stock buyback program and has entered into a non-discretionary arrangement with its brokers which starts today and ends no later than December 16, 2022.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
The company has allocated £102 million in maximum pecuniary amount to this arrangement. Ferguson intends to lower its capital and, in the future, could use the shares bought back for employee share awards.
Importantly, the $2.5 billion figure represents a sizable chunk of its ~$23.6 billion market capitalization.
Is Ferguson a Buy, Sell, or a Hold?
Overall, the Street sees a 42.33% potential upside in Ferguson stock based on an average price target of $159.41 and a Strong Buy consensus rating.
The bullish consensus rating comes on the back of nine Buys and three Holds for FERG stock.
