Contrasting Ferguson (NASDAQ:FERG) & CCOM Group (OTCMKTS:CCOM)

Ferguson (NASDAQ:FERG) and CCOM Group (OTCMKTS:CCOM) are both industrial products companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Profitability

This table compares Ferguson and CCOM Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ferguson	6.00%	37.99%	12.18%
CCOM Group	N/A	N/A	N/A

Valuation & Earnings

This table compares Ferguson and CCOM Group’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ferguson	$29.73 billion	1.47	$1.89 billion	$8.60	25.05
CCOM Group	$120.35 million	N/A	$7.38 million	N/A	N/A

Ferguson has higher revenue and earnings than CCOM Group.

Analyst Recommendations

This is a summary of current ratings and price targets for Ferguson and CCOM Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ferguson	1	1	6	0	2.63
CCOM Group	0	0	0	0	N/A

Ferguson currently has a consensus price target of $166.50, indicating a potential downside of 22.71%. Given Ferguson’s higher probable upside, research analysts clearly believe Ferguson is more favorable than CCOM Group.

Insider & Institutional Ownership

82.0% of Ferguson shares are owned by institutional investors. 0.2% of Ferguson shares are owned by insiders. Comparatively, 60.0% of CCOM Group shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Ferguson beats CCOM Group on 8 of the 9 factors compared between the two stocks.

About Ferguson

Ferguson plc distributes plumbing and heating products in the United States and Canada. It offers plumbing and heating solutions to customers in the residential, commercial, civil/infrastructure, and industrial end markets. The company also provides expertise, solutions, and products, including infrastructure, plumbing, appliances, fire, fabrication, and others, as well as heating, ventilation, and air conditioning products under the Ferguson brand name. In addition, it supplies pipes, valves, fittings, plumbing supplies, water and wastewater treatment products, and refrigeration products under Wolseley brand name. Further, the company provides after-sales support comprising warranty, credit, project-based billing, returns, maintenance, repair, and operations support. It sells its products through wholesale distributors, supply houses, retail enterprises, and online. Ferguson plc was founded in 1953 and is headquartered in Wokingham, the United Kingdom.

About CCOM Group

CCOM Group, Inc., through its subsidiaries, distributes heating, ventilating, and air conditioning equipment (HVAC) in the United States. It also distributes whole-house generators; climate control systems; plumbing and electrical fixtures and supplies; and parts and accessories. In addition, the company provides control system design, custom control panel fabrication, technical field support, in-house training, and climate control consultation services for engineers and installers; and designs direct digital control systems, as well as systems that control multi-location facilities through the Internet. It markets its products to HVAC, plumbing, and electrical contractors; building contractors; and other users primarily in New Jersey, New York, Massachusetts, and portions of eastern Pennsylvania, Connecticut, and Vermont. The company was formerly known as Colonial Commercial Corp. and changed its name to CCOM Group, Inc. in July 2012. CCOM Group, Inc. was founded in 1964 and is based in Hawthorne, New Jersey.