Distribution Solutions Group Inc (DSGR)vsFerguson Plc (FERG)
DSGR
Distribution Solutions Group Inc
$26.50
+1.38%
INDUSTRIALS · Cap: $1.23B
FERG
Ferguson Plc
$228.84
+1.29%
INDUSTRIALS · Cap: $50.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Ferguson Plc generates 1474% more annual revenue ($31.16B vs $1.98B). DSGR leads profitability with a 42.0% profit margin vs 6.3%. FERG appears more attractively valued with a PEG of 1.55. FERG earns a higher WallStSmart Score of 61/100 (C+).
DSGR
Hold44
out of 100
Grade: D
FERG
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-2450.8%
Fair Value
$1.22
Current Price
$26.50
$25.28 premium
Margin of Safety
+39.9%
Fair Value
$445.00
Current Price
$228.84
$216.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 129 in profit
Keeps 42 of every $100 in revenue as profit
Reasonable price relative to book value
Revenue surging 20.0% year-over-year
Every $100 of equity generates 33 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 23.9% YoY
Areas to Watch
Smaller company, higher risk/reward
Operating margin of 1.9%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Expensive relative to growth rate
Moderate valuation
6.3% margin — thin
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : DSGR
The strongest argument for DSGR centers on Return on Equity, Profit Margin, Price/Book. Profitability is solid with margins at 42.0% and operating margin at 1.9%. Revenue growth of 20.0% demonstrates continued momentum.
Bull Case : FERG
The strongest argument for FERG centers on Return on Equity, Altman Z-Score, Market Cap.
Bear Case : DSGR
The primary concerns for DSGR are Market Cap, Operating Margin, PEG Ratio. A P/E of 147.2x leaves little room for execution misses.
Bear Case : FERG
The primary concerns for FERG are PEG Ratio, P/E Ratio, Profit Margin.
Key Dynamics to Monitor
DSGR profiles as a growth stock while FERG is a value play — different risk/reward profiles.
FERG carries more volatility with a beta of 1.14 — expect wider price swings.
DSGR is growing revenue faster at 20.0% — sustainability is the question.
DSGR generates stronger free cash flow (5M), providing more financial flexibility.
Bottom Line
FERG scores higher overall (61/100 vs 44/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Distribution Solutions Group Inc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Lawson Products, Inc. sells and distributes specialty products for the industrial, commercial, institutional and government maintenance, repair and operations market. The company is headquartered in Chicago, Illinois.
Ferguson Plc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Ferguson plc distributes plumbing and heating products in the United States, the United Kingdom, Canada and Central Europe. The company is headquartered in Wokingham, the United Kingdom.
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