Ferguson Plc (FERG)vsWatsco Inc (WSO)
FERG
Ferguson Plc
$228.84
+1.29%
INDUSTRIALS · Cap: $50.46B
WSO
Watsco Inc
$367.15
+1.01%
INDUSTRIALS · Cap: $14.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Ferguson Plc generates 330% more annual revenue ($31.16B vs $7.24B). WSO leads profitability with a 6.9% profit margin vs 6.3%. WSO appears more attractively valued with a PEG of 1.48. FERG earns a higher WallStSmart Score of 61/100 (C+).
FERG
Buy61
out of 100
Grade: C+
WSO
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+39.9%
Fair Value
$445.00
Current Price
$228.84
$216.16 discount
Margin of Safety
-413.3%
Fair Value
$83.30
Current Price
$367.15
$283.85 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 33 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 23.9% YoY
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Moderate valuation
6.3% margin — thin
Negative free cash flow — burning cash
Moderate valuation
6.9% margin — thin
Weak financial health signals
Revenue declined 10.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : FERG
The strongest argument for FERG centers on Return on Equity, Altman Z-Score, Market Cap.
Bull Case : WSO
The strongest argument for WSO centers on Altman Z-Score. PEG of 1.48 suggests the stock is reasonably priced for its growth.
Bear Case : FERG
The primary concerns for FERG are PEG Ratio, P/E Ratio, Profit Margin.
Bear Case : WSO
The primary concerns for WSO are P/E Ratio, Profit Margin, Piotroski F-Score.
Key Dynamics to Monitor
FERG carries more volatility with a beta of 1.14 — expect wider price swings.
FERG is growing revenue faster at 5.1% — sustainability is the question.
WSO generates stronger free cash flow (389M), providing more financial flexibility.
Monitor INDUSTRIAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
FERG scores higher overall (61/100 vs 45/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Ferguson Plc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Ferguson plc distributes plumbing and heating products in the United States, the United Kingdom, Canada and Central Europe. The company is headquartered in Wokingham, the United Kingdom.
Watsco Inc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Watsco, Inc. distributes air conditioning, heating and refrigeration equipment; and related parts and supplies in the United States, Canada, Mexico and Puerto Rico. The company is headquartered in Miami, Florida.
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