Ferguson price target raised to $271 from $247 at RBC Capital

RBC Capital analyst Mike Dahl raised the firm’s price target on Ferguson (FERG) to $271 from $247 and keeps an Outperform rating on the shares following quarterly results. The firm notes management provided updated medium-term growth and margin targets that are largely unchanged vs. prior, calling for an annual growth of 6%-11% and operating margin up 10 bps-30 bps year-over-year. These are not near-term objectives given the 2026 guide and soft macro, but over time RBC does see the path to stronger growth/margins given Ferguson’s strong positioning in attractive verticals and accretive capital deployment.