Ferguson Enterprises's Days Sales Outstanding for the
three
months ended in Mar. 2026 was 45.65.
Ferguson Enterprises's Days Inventory for the
three
months ended in Mar. 2026 was 82.23.
Ferguson Enterprises's Days Payable for the
three
months ended in Mar. 2026 was 63.25.
Therefore, Ferguson Enterprises's Cash Conversion Cycle (CCC) for the
three
months ended in Mar. 2026 was 64.63.
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
Ferguson Enterprises Cash Conversion Cycle Related Terms
Ferguson Enterprises Cash Conversion Cycle Historical Data
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The historical data trend for Ferguson Enterprises's Cash Conversion Cycle can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FERG vs FAST, GWW, WCC: Cash Conversion Cycle Comparison
For the Industrial Distribution subindustry, Ferguson Enterprises's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Ferguson Enterprises Cash Conversion Cycle vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Ferguson Enterprises's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Ferguson Enterprises's Cash Conversion Cycle falls into.
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
Ferguson Enterprises's Cash Conversion Cycle for the fiscal year that ended in Jul. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Ferguson Enterprises (FERG) has a Cash Conversion Cycle of 64.63 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Ferguson Enterprises and its competitors.
Is Ferguson Enterprises' Cash Conversion Cycle too high?
Ferguson Enterprises' current Cash Conversion Cycle is 64.63. The Industrial Distribution industry median Cash Conversion Cycle is 99.15. Ferguson Enterprises' value of 64.63 is 34.8% below this industry median. Overall, Ferguson Enterprises has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ferguson Enterprises' Cash Conversion Cycle compare to FAST and GWW?
Ferguson Enterprises' Cash Conversion Cycle of 64.63 can be compared against companies in the Industrial Distribution industry. The industry median Cash Conversion Cycle is 99.15. Ferguson Enterprises' value of 64.63 is 34.8% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for an Industrial Distribution company?
The median Cash Conversion Cycle among Industrial Distribution companies is 99.15, based on 156 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ferguson Enterprises's current Cash Conversion Cycle of 64.63 is 34.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Ferguson Enterprises and its competitors. For the Industrial Distribution industry, the median Cash Conversion Cycle is 99.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ferguson Enterprises's current Cash Conversion Cycle is 64.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ferguson Enterprises stock overvalued right now?
Based on GuruFocus' analysis, Ferguson Enterprises (FERG) is currently considered Fairly Valued. The stock's GF Value™ is $229.93, compared to a current price of $237.11 — trading 3.1% above its estimated fair value. The current Cash Conversion Cycle is 64.63 and 34.8% below the Industrial Distribution industry median of 99.15. Ferguson Enterprises' overall GF Score™ is 88/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Ferguson Enterprises (FERG), the current Cash Conversion Cycle is 64.63 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ferguson Enterprises (FERG) Overvalued in 2026?
Based on GuruFocus' analysis, Ferguson Enterprises stock appears to be overvalued.
The current stock price of $237.11 is trading 3.1% above its estimated GF Value™ of $229.93.
GuruFocus considers Ferguson Enterprises to be Fairly Valued.
Key valuation signals for FERG:
Cash Conversion Cycle: 64.63
GF Value™: $229.93 vs. price of $237.11 (3.1% above fair value)
Industry Position: 34.8% below the Industrial Distribution median
No single metric tells the full story. See the FERG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ferguson distributes plumbing and HVAC products to North American repair, maintenance, and improvement, new construction, and civil infrastructure markets. It serves over 1 million customers and sources products from 37,000 suppliers. Ferguson engages customers through approximately 1,700 North American branches, over the phone, online, and in residential showrooms. The firm sold its UK business in 2021 and is now solely focused on the North American market.
88GF Score
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