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AIT vs FERG
Which Stock Would AI Choose? Applied Industrial Technologies (AIT) vs. Ferguson Enterprises (FERG) Stock Comparison
Key Takeaways
- AIT is a diversified industrial and automation distributor riding accelerating organic growth, while FERG is North America's largest plumbing and HVAC (heating, ventilation, and air conditioning) distributor navigating a softer residential market.
- AIT has delivered record results and strong recent share-price momentum, trading at a premium valuation relative to its distribution peer group.
- FERG has faced near-term selling pressure and weaker housing-related demand, but retains broad analyst support and a sizable non-residential growth engine.
- The two names represent a trade-off between cyclical industrial growth (AIT) and scale-plus-value exposure to construction end markets (FERG).
- Tickeron's AI would likely weigh AIT's trend consistency and catalysts against FERG's oversold positioning and valuation support.
Introduction
Applied Industrial Technologies (AIT) and Ferguson Enterprises (FERG) both operate as value-added distributors, yet they serve different corners of the economy. AIT supplies industrial motion, fluid power, flow control, and automation technologies to manufacturing and maintenance customers, while FERG distributes plumbing, HVAC, and water solutions to residential and non-residential construction professionals. Comparing these two stocks offers investors a useful lens on relative performance, market positioning, and where momentum currently resides. Traders focused on industrial automation versus housing-sensitive distribution, and investors seeking to balance growth against valuation, will find this stock comparison directly relevant.
AIT Overview and Recent Performance
Applied Industrial Technologies is a leading value-added distributor and technical solutions provider for industrial motion, fluid power, flow control, automation, and related MRO (maintenance, repair, and operations) supplies. The business is organized into two segments: Service Center Based Distribution and Engineered Solutions. Recent quarters have been marked by accelerating organic growth, with the company reporting record quarterly EBITDA (earnings before interest, taxes, depreciation, and amortization) and its strongest organic sales gains in more than two years. Demand has been notably strong in automation, fluid power, and technology verticals tied to semiconductors and data centers, including liquid cooling and thermal management.
Sentiment toward AIT has improved alongside these results. The company raised its dividend, authorized a new share buyback program, completed bolt-on acquisitions, and disclosed a letter of intent to pursue a joint venture in drones and AI (artificial intelligence). Recent market activity reflects strong year-to-date momentum, though the shares now carry a premium valuation that some analysts view as demanding relative to the broader trade-distribution industry.
FERG Overview and Recent Performance
Ferguson Enterprises is North America's largest value-added distributor serving specialized professionals across a roughly $340 billion residential and non-residential construction market. The company provides plumbing, HVAC, appliances, lighting, and PVF (pipes, valves, and fittings) products through more than 1,700 locations and approximately 35,000 associates, with annual sales in the low-$30-billion range. Its scale and branch network support both repair-and-remodel activity and large capital projects.
Recent performance has been more mixed. While non-residential demand, including data center and large capital projects, has provided a meaningful offset, weakness in residential construction has weighed on results and on investor sentiment. FERG shares experienced a notable pullback in recent weeks, with technical indicators pointing to oversold conditions. The company also completed the cancellation of its secondary London listing, consolidating trading on the NYSE (New York Stock Exchange), and closed a sizable acquisition to expand its distribution network. Wall Street analysts have largely maintained Buy ratings, citing valuation and a potential for stabilization.
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Head-to-Head Comparison
The two stocks diverge sharply on momentum, valuation, and end-market exposure. AIT has demonstrated consistent upward trend strength, backed by record earnings, organic growth acceleration, and catalysts in automation, semiconductors, and data centers. Its trade-off is valuation: the stock trades at a multiple well above its distribution peers, leaving less room for execution missteps.
FERG, by contrast, is a much larger business by revenue but has underperformed recently as residential construction softness and macro uncertainty pressured sentiment. Its positioning is anchored by scale, a resilient non-residential pipeline, and a comparatively more moderate valuation, though near-term trend consistency has been weaker. In sector terms, AIT skews toward industrial and technology demand, while FERG skews toward housing and commercial construction — a meaningful diversification contrast for portfolio construction.
Tickeron AI Verdict
Based on observable trend consistency, relative momentum, and the presence of active catalysts, Tickeron's AI would likely currently favor AIT. The stock's record results, accelerating organic growth, and exposure to high-demand technology verticals suggest a more sustained trend than FERG's recent pullback. That said, FERG's oversold technical posture and broader analyst support introduce meaningful uncertainty, and a stabilization in housing or a valuation-driven rotation could narrow the gap. In probabilistic terms, the AI framework leans toward AIT for trend strength and positioning, while acknowledging FERG's value characteristics as a counterweight.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is AIT is a Hold and FERG is a Buy.
Momentum Indicator for AIT turns negative, indicating new downward trend
AIT saw its Momentum Indicator move below the 0 level on October 15, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 94 similar instances where the indicator turned negative. In 50 of the 94 cases, the stock moved further down in the following days. The odds of a decline are at 53%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Moving Average Convergence Divergence Histogram (MACD) for AIT turned negative on October 13, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 51 similar instances when the indicator turned negative. In 24 of the 51 cases the stock turned lower in the days that followed. This puts the odds of success at 47%.
AIT moved below its 50-day moving average on October 07, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AIT crossed bearishly below the 50-day moving average on October 20, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 9 of 19 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 47%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AIT declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 48%.
AIT broke above its upper Bollinger Band on September 22, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 7 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a +1.89% 3-day Advance, the price is estimated to grow further. Considering data from situations where AIT advanced for three days, in 223 of 335 cases, the price rose further within the following month. The odds of a continued upward trend are 67%.
The Aroon Indicator entered an Uptrend today. In 167 of 277 cases where AIT Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 60%.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 6 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 66, placing this stock better than average.
The Tickeron PE Growth Rating for this company is 20 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is 42 (best 1 - 100 worst), indicating steady price growth. AIT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 43 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of 86 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (6.527) is normal, around the industry mean (4.033). P/E Ratio (29.829) is within average values for comparable stocks, (1.254). Projected Growth (PEG Ratio) (2.812) is also within normal values, averaging (2.538). Dividend Yield (0.006) settles around the average of (0.508) among similar stocks. P/S Ratio (2.402) is also within normal values, averaging (3.013).
FERG in upward trend: price rose above 50-day moving average on October 20, 2026
FERG moved above its 50-day moving average on October 20, 2026 date and that indicates a change from a downward trend to an upward trend. In 29 of 34 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are 85%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where FERG's RSI Oscillator exited the oversold zone, 22 of 32 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 69%.
The Momentum Indicator moved above the 0 level on October 14, 2026. You may want to consider a long position or call options on FERG as a result. In 59 of 86 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 69%.
The Moving Average Convergence Divergence (MACD) for FERG just turned positive on September 23, 2026. Looking at past instances where FERG's MACD turned positive, the stock continued to rise in 28 of 47 cases over the following month. The odds of a continued upward trend are 60%.
Following a +3.89% 3-day Advance, the price is estimated to grow further. Considering data from situations where FERG advanced for three days, in 226 of 329 cases, the price rose further within the following month. The odds of a continued upward trend are 69%.
The Aroon Indicator entered an Uptrend today. In 176 of 315 cases where FERG Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 56%.
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where FERG declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 58%.
FERG broke above its upper Bollinger Band on October 16, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 31 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 35 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 66, placing this stock slightly better than average.
The Tickeron PE Growth Rating for this company is 54 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is 54 (best 1 - 100 worst), indicating fairly steady price growth. FERG’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 76 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.084) is normal, around the industry mean (4.033). P/E Ratio (22.937) is within average values for comparable stocks, (1.254). Projected Growth (PEG Ratio) (1.426) is also within normal values, averaging (2.538). Dividend Yield (0.016) settles around the average of (0.508) among similar stocks. P/S Ratio (1.351) is also within normal values, averaging (3.013).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
AIT | FERG | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 82 | 42 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 86 Overvalued | 76 Overvalued | |
PROFIT vs RISK RATING 1..100 | 6 | 35 | |
SMR RATING 1..100 | 43 | 31 | |
PRICE GROWTH RATING 1..100 | 42 | 54 | |
P/E GROWTH RATING 1..100 | 20 | 54 | |
SEASONALITY SCORE 1..100 | 85 | 85 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
FERG's Valuation (76) in the null industry is in the same range as AIT (86) in the Wholesale Distributors industry. This means that FERG’s stock grew similarly to AIT’s over the last 12 months.
AIT's Profit vs Risk Rating (6) in the Wholesale Distributors industry is in the same range as FERG (35) in the null industry. This means that AIT’s stock grew similarly to FERG’s over the last 12 months.
FERG's SMR Rating (31) in the null industry is in the same range as AIT (43) in the Wholesale Distributors industry. This means that FERG’s stock grew similarly to AIT’s over the last 12 months.
AIT's Price Growth Rating (42) in the Wholesale Distributors industry is in the same range as FERG (54) in the null industry. This means that AIT’s stock grew similarly to FERG’s over the last 12 months.
AIT's P/E Growth Rating (20) in the Wholesale Distributors industry is somewhat better than the same rating for FERG (54) in the null industry. This means that AIT’s stock grew somewhat faster than FERG’s over the last 12 months.
| AIT | FERG | |
|---|---|---|
| RSI ODDS (%) | N/A | 1 day ago 69% |
| Stochastic ODDS (%) | 1 day ago 67% | 1 day ago 61% |
| Momentum ODDS (%) | 1 day ago 53% | 1 day ago 69% |
| MACD ODDS (%) | 1 day ago 47% | 1 day ago 60% |
| TrendWeek ODDS (%) | 1 day ago 50% | 1 day ago 66% |
| TrendMonth ODDS (%) | 1 day ago 65% | 1 day ago 64% |
| Advances ODDS (%) | 16 days ago 67% | 5 days ago 69% |
| Declines ODDS (%) | 5 days ago 48% | 20 days ago 58% |
| BollingerBands ODDS (%) | 1 day ago 47% | 1 day ago 60% |
| Aroon ODDS (%) | 1 day ago 60% | 1 day ago 56% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
AIT’s FA Score shows that 2 FA rating(s) are green while FERG’s FA Score has 1 green FA rating(s).
- AIT’s FA Score: 2 green, 3 red.
- FERG’s FA Score: 1 green, 4 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
AIT’s TA Score shows that 3 TA indicator(s) are bullish while FERG’s TA Score has 6 bullish TA indicator(s).
- AIT’s TA Score: 3 bullish, 6 bearish.
- FERG’s TA Score: 6 bullish, 3 bearish.
Price Growth
AIT (@Electronics Distributors) experienced а -0.62% price change this week, while FERG (@Electronics Distributors) price change was +1.89% for the same time period.
The average weekly price growth across all stocks in the @Electronics Distributors industry was -1.06%. For the same industry, the average monthly price growth was -0.57%, and the average quarterly price growth was +7.07%.
Reported Earning Dates
AIT is expected to report earnings on Oct 27, 2026.
FERG is expected to report earnings on Nov 09, 2026.
Industries' Descriptions
@Electronics Distributors (-1.06% weekly)Electronics distributors are companies that are involved in distribution of one or more of the following: electronic components, computer products/ peripherals and software products & services. Several electronics distributors are also becoming the point of contact for technical/pre- & post-sale support in many cases, in an attempt to bolster their position in the market. Tariffs and/or cross-border trade barriers are some of the potential threats to the electronics supply chain, but that could also potentially lead to re-directing to markets where tariffs/restrictions are lower depending on demand. The industry is also vulnerable in the event of economic slowdowns. Arrow Electronics, Inc., SYNNEX Corporation and Versum Materials, Inc. are some of the major electronics distributors in the U.S.
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AIT and
Correlation & Price change
A.I.dvisor indicates that over the last year, AIT has been loosely correlated with FERG. These tickers have moved in lockstep 60% of the time. This A.I.-generated data suggests there is some statistical probability that if AIT jumps, then FERG could also see price increases.
| Ticker / NAME | Correlation To AIT | 1D Price Change % | ||
|---|---|---|---|---|
| AIT | 100% | -0.90% | ||
| FERG - AIT | 60% Loosely correlated | +0.32% | ||
| WCC - AIT | 59% Loosely correlated | -0.10% | ||
| MSM - AIT | 58% Loosely correlated | +1.00% | ||
| CNM - AIT | 56% Loosely correlated | -0.22% | ||
| FAST - AIT | 52% Loosely correlated | +1.23% | ||
More | ||||
FERG and
Correlation & Price change
A.I.dvisor indicates that over the last year, FERG has been loosely correlated with AIT. These tickers have moved in lockstep 59% of the time. This A.I.-generated data suggests there is some statistical probability that if FERG jumps, then AIT could also see price increases.
| Ticker / NAME | Correlation To FERG | 1D Price Change % | ||
|---|---|---|---|---|
| FERG | 100% | +0.32% | ||
| AIT - FERG | 59% Loosely correlated | -0.90% | ||
| WSO - FERG | 56% Loosely correlated | +2.67% | ||
| CNM - FERG | 55% Loosely correlated | -0.22% | ||
| WCC - FERG | 53% Loosely correlated | -0.10% | ||
| SITE - FERG | 51% Loosely correlated | +2.49% | ||
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