Ferguson Enterprises Inc. vs RELIANCE, INC., two Distribution stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where FERG and RS diverge most: on return on equity, FERG reads 37.8% and RS reads 11.3%; on debt / equity, FERG reads 0.70 and RS reads 0.24. The rest of the comparable metrics sit closer together. On valuation, today's FERG price has a different growth bar priced in than RS (+17.6% implied for FERG vs +10.5% for RS); 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 RS'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 | RS |
|---|---|---|
| Price | $238.57 | $385.59 |
| Market cap | $46.5B | $20.0B |
| Sector | Distribution | Distribution |
| Stage | Mature | Mature |
| Implied growth (priced in) | +17.6% | +10.5% |
| P/E | 21.2 | 25.1 |
| P/B | 7.91 | 2.81 |
| P/S | 1.44 | 1.35 |
| EV/EBITDA | 14.4 | 15.5 |
| Revenue growth | +6.7% | +8.7% |
| Gross margin | 31.0% | — |
| Operating margin | 8.2% | 9.1% |
| Net margin | 6.9% | 5.4% |
| Return on equity | 37.8% | 11.3% |
| Return on assets | 12.5% | 7.4% |
| Return on invested capital | 22.7% | 9.5% |
| FCF yield | 4.5% | 3.0% |
| Dividend yield | 1.4% | 1.2% |
| Debt / equity | 0.70 | 0.24 |
| Current ratio | 1.78 | 4.39 |
| Altman Z (solvency) | 5.15 | 6.08 |
| Piotroski F (quality) | 7 / 9 | 5 / 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.