Ferguson plc (FERG) vs Paychex, Inc. (PAYX)

A side-by-side comparison of Ferguson plc and Paychex, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of August 28, 2026. Differences are shown without an overall score or investment verdict.

Compare

Total returnFERG vs PAYX

growth of $100 · dividends reinvested · last 10y
FERG +427.7% (+18.1%/yr)PAYX +180.8% (+10.9%/yr)FERG compounded faster over this window
100200300400500600Start $10020182020202220242026$528$281
FERG PAYX

FERG vs PAYX: by the numbers

  • FERG is the larger company ($45.24B vs $44.99B market cap).
  • FERG trades at the lower trailing earnings multiple (22.32 vs 25.59 P/E), one valuation lens rather than an overall verdict.
  • PAYX converts more revenue to profit (27.03% vs 6.39% net margin).
  • PAYX grew revenue faster over the past five years (9.93% vs -17.70% CAGR).
  • PAYX pays the higher dividend yield (3.55% vs 1.88%).

Metrics side by side

Valuation

MetricFERGPAYX
P/E ratio22.3225.59
Forward P/E20.5222.73
P/S ratio1.426.87
P/B ratio7.3011.98
EV / EBITDA15.7316.33
FCF yield2.79%5.19%

Profitability

MetricFERGPAYX
Gross margin30.55%74.29%
Operating margin9.01%38.55%
Net margin6.39%27.03%
ROE32.88%47.12%
ROIC16.51%20.44%

Dividends

MetricFERGPAYX
Dividend yield1.88%3.55%
Payout ratio127.62%90.41%

Growth (annualized)

MetricFERGPAYX
Revenue CAGR (5Y)-17.70%9.93%
EPS CAGR (5Y)-3.59%9.95%
FCF CAGR (5Y)-15.02%15.18%
Total return CAGR (5Y)12.90%5.15%

Frequently asked

Which has the lower trailing P/E, FERG or PAYX?
FERG has the lower trailing P/E: FERG trades at 22.32 and PAYX at 25.59. P/E is one valuation measure and does not by itself establish which business is cheaper.
Which has grown faster, FERG or PAYX?
Over the past five years, PAYX grew revenue faster — FERG at a -17.70% CAGR versus PAYX at 9.93%.
Does FERG or PAYX pay a bigger dividend?
FERG yields 1.88% and PAYX yields 3.55% based on trailing dividends and the latest price.
Is FERG or PAYX more profitable?
PAYX runs the higher net margin — FERG at 6.39% versus PAYX at 27.03%.
How have FERG and PAYX total returns compared?
Over the past 10 years, FERG delivered 17.93% and PAYX delivered 10.91% annualized total return. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified August 28, 2026.