William Blair analyst Ryan Merkel has maintained their bullish stance on FERG stock, giving a Buy rating on July 6.

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Ryan Merkel has given his Buy rating due to a combination of factors that strengthen Ferguson’s growth and earnings outlook. The FloWorks acquisition adds a high-margin, technically complex industrial flow-control platform with exposure to attractive sectors such as semiconductors, data centers, and process industries, and it is expected to be meaningfully accretive to EPS based on reasonable assumptions for sales, synergies, and financing costs.

In addition, the deal materially broadens Ferguson’s addressable market, deepens its participation in industrial MRO, and reduces reliance on volatile large-project revenue. Merkel also views the $45 million synergy target as attainable, largely via cross-selling into Ferguson’s national customer base, and sees the transaction as consistent with management’s strategy to enhance technical sales capabilities and expand “engineer-to-engineer” solutions, supporting a favorable long-term investment case.

In another report released on July 6, Bernstein also maintained a Buy rating on the stock with a $310.00 price target.