Deutsche Bank lifted its price target on Ferguson to 11,800p from 10,100p on Thursday as it pointed to further upside from growth in the US housing market and economy.
It said Ferguson’s investment case remains unchanged: delivering consistent growth in fragmented markets.
“It has successfully generated organic and M&A-led growth historically, with initiatives like own brand products helping to raise margins,” DB said.
“With a period of likely steady growth in the US housing market and economy, we believe Ferguson’s investment thesis should continue to work.”
Deutsche Bank kept its rating on the shares at ‘buy’.
