Ferguson Enterprises Inc. vs W.W. GRAINGER, INC., two Distribution stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where FERG and GWW diverge most: on p/s, FERG reads 1.44 and GWW reads 3.49; on dividend yield, FERG reads 1.4% and GWW reads 0.7%. The rest of the comparable metrics sit closer together. On valuation, today's FERG price has a different growth bar priced in than GWW (+17.6% implied for FERG vs +19.5% for GWW); the higher figure is the steeper assumption to clear, not a better or worse stock. What FERG's price implies is a bet that sits within the historical range (whole-company basis). What GWW'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 | FERG | GWW |
|---|---|---|
| Price | $238.57 | $1353.03 |
| Market cap | $46.5B | $64.1B |
| Sector | Distribution | Distribution |
| Stage | Mature | Mature |
| Implied growth (priced in) | +17.6% | +19.5% |
| P/E | 21.2 | 36.4 |
| P/B | 7.91 | 14.77 |
| P/S | 1.44 | 3.49 |
| EV/EBITDA | 14.4 | 22.4 |
| Revenue growth | +6.7% | +6.6% |
| Gross margin | 31.0% | 40.0% |
| Operating margin | 8.2% | 16.7% |
| Net margin | 6.9% | 9.7% |
| Return on equity | 37.8% | 41.0% |
| Return on assets | 12.5% | 18.8% |
| Return on invested capital | 22.7% | 29.0% |
| FCF yield | 4.5% | 2.1% |
| Dividend yield | 1.4% | 0.7% |
| Debt / equity | 0.70 | 0.56 |
| Current ratio | 1.78 | 2.69 |
| Altman Z (solvency) | 5.15 | 10.00 |
| Piotroski F (quality) | 7 / 9 | 8 / 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.