ARROW ELECTRONICS, INC. vs Ferguson Enterprises Inc., two Distribution stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where ARW and FERG diverge most: on return on assets, ARW reads 2.0% and FERG reads 12.5%; on p/b, ARW reads 1.63 and FERG reads 7.91. The rest of the comparable metrics sit closer together. On valuation, today's ARW price has a different growth bar priced in than FERG (+4.8% implied for ARW vs +17.6% for FERG); the higher figure is the steeper assumption to clear, not a better or worse stock. What ARW's price implies is a bet that sits within the historical range (whole-company basis). What FERG's price implies is a bet that sits within the historical range (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | ARW | FERG |
|---|---|---|
| Price | $215.03 | $238.57 |
| Market cap | $11.1B | $46.5B |
| Sector | Distribution | Distribution |
| Stage | Growth | Mature |
| Implied growth (priced in) | +4.8% | +17.6% |
| P/E | 15.4 | 21.2 |
| P/B | 1.63 | 7.91 |
| P/S | 0.33 | 1.44 |
| EV/EBITDA | 11.4 | 14.4 |
| Revenue growth | +20.5% | +6.7% |
| Gross margin | 11.5% | 31.0% |
| Operating margin | 3.8% | 8.2% |
| Net margin | 2.2% | 6.9% |
| Return on equity | 10.7% | 37.8% |
| Return on assets | 2.0% | 12.5% |
| Return on invested capital | 8.5% | 22.7% |
| FCF yield | 2.7% | 4.5% |
| Dividend yield | — | 1.4% |
| Debt / equity | 0.36 | 0.70 |
| Current ratio | 1.24 | 1.78 |
| Altman Z (solvency) | 7.44 | 5.15 |
| Piotroski F (quality) | 6 / 9 | 7 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.