Allison Stirrup
About Allison Stirrup
Allison Stirrup, age 49, is Chief Human Resources Officer (CHRO) of Ferguson Enterprises Inc. (FERG), promoted to CHRO in August 2024 after 26 years at the company since joining in 1998 . During her tenure as an executive officer, Ferguson delivered FY2025 net income of $1,856 million and adjusted operating profit of $2,842 million, with a five-year TSR illustrating $278 value of a $100 initial investment as of FY2025; FY2024 TSR value was $272 and FY2023 $194, indicating robust shareholder value creation over time . Ferguson reported revenue of $30.8B, serving ~1m customers across 1,700+ locations, underscoring scale and operational execution that inform the performance-based incentives used for executive pay . Education is not disclosed in SEC filings.
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Ferguson Enterprises Inc. | Showroom Consultant/Manager | 1998–2003 | Frontline commercial/customer experience foundation |
| Ferguson Enterprises Inc. | Corporate Recruiter | 2003 | Built early talent pipelines |
| Ferguson Enterprises Inc. | Manager, College Recruiting; Manager, Recruiting | 2003–2010s | Scaled recruitment, campus programs |
| Ferguson Enterprises Inc. | Director, Talent Management | 2010s | Institutionalized leadership development |
| Ferguson Enterprises Inc. | Senior Director, Talent Development | 2010s | Advanced learning systems and succession depth |
| Ferguson Enterprises Inc. | Senior Director of HR – Blended | Apr 2018–Mar 2021 | HR integration across blended businesses |
| Ferguson Enterprises Inc. | Vice President – HR Business Partners | Mar 2021–Aug 2024 | Elevated business-partner model, org effectiveness |
| Ferguson Enterprises Inc. | Chief Human Resources Officer | Aug 2024–present | Enterprise HR leadership, compensation/retention governance |
External Roles
No external directorships or public company board roles are disclosed for Allison Stirrup in SEC filings .
Fixed Compensation
Not individually disclosed for CHRO (not a Named Executive Officer in FY2025). The company’s program provides base salary reflecting role/experience and steady cash flow; base salary changes for NEOs were made effective October 1, 2024, but individual CHRO salary is not reported .
Performance Compensation
Executive Officers, including the CHRO, participate in the company-wide annual Bonus Program and long-term equity incentives. FY2025 program design and outcomes:
FY2025 Short-Term Incentive (Bonus) Metrics, Levels, Results
| Metric | Weighting (%) | Threshold | Target | Maximum | Actual | Notes |
|---|---|---|---|---|---|---|
| Adjusted Operating Profit (Company) | 70 | $2,502mm | $2,780mm | $3,058mm | $2,842mm | Above target; across NEOs this supported 113% of target bonus outcomes |
| Cash-to-Cash Days | 20 | 68.9 days | 63.9 days | 58.9 days | 66.5 days | Threshold achieved; below target |
| ESG Scorecard | 10 | Qualitative | Target | — | Above Target | Committee set payout at 125% of target; ESG removed after FY2025 |
Aggregate FY2025 NEO bonus payouts were 113% of target; non-NEO Executive Officers participate similarly though individual CHRO payout is not disclosed .
FY2025 Long-Term Incentive (LTI) Design and Vesting
| Award Type | Weighting | Performance Metrics | Vesting Schedule | Dividend Treatment |
|---|---|---|---|---|
| PSUs | 50% | Relative TSR; Adjusted EPS (diluted) growth; ROCE; each weighted 33.3% | Cliff vest on 3-year anniversary of grant | Dividend equivalents accrue in shares; paid at vest |
| Stock Options (SOs) | 20% | Market-value appreciation | Vest 1/3 annually beginning 1-year from grant | No dividend equivalents |
| RSUs | 30% | Time-based | Vest 1/3 annually beginning 1-year from grant | Dividend equivalents accrue in shares; paid at vest |
Typical annual grants are approved in September and granted several weeks later after earnings; for FY2025, Executive Officer grants occurred on 10/15/2024 (NEO grant details disclosed), with option exercise price set using the prior-day close ($200.09 close; options priced at $201.38) .
Equity Ownership & Alignment
Stock Ownership Guidelines (Executive Officers)
| Role | Required Multiple of Gross Annual Base Salary |
|---|---|
| Chief Executive Officer | 6.0x |
| Chief Financial Officer | 3.0x |
| Other Named Executive Officers | 3.0x |
| Other Executive Officers (includes CHRO) | 2.0x |
- Compliance timeline: 5 years from becoming subject to the guideline; an additional 2 years allowed when a guideline increases (e.g., upon becoming a NEO). Company notes all current NEOs have met/are on track; CHRO compliance status is not disclosed .
- Anti-hedging and anti-pledging: Executives are prohibited from hedging, margin purchases, and pledging company securities; 10b5-1 plans must be compliant and pre-cleared .
- Beneficial ownership: Individual share ownership for the CHRO is not disclosed in the Security Ownership table (it lists Directors and NEOs only) .
Employment Terms
| Provision | Term |
|---|---|
| Employment Agreement | Executive Employment Agreements govern Executive Officers; Allison Stirrup executed an August 1, 2024 amendment updating parent entity name to Ferguson Enterprises Inc. |
| Severance (Without Cause / Good Reason) | 12 months of base salary plus pro-rata current-year bonus; lump-sum COBRA-equivalent for 12 months; equity awards pro-rated (PSU/POSP vest pro-rata at original vest date based on actual performance; RSU/SO pro-rata at termination) subject to release |
| Change-in-Control (CIC) Policy (effective 8/1/2024) | Double-trigger: if terminated in connection with or within 24 months after CIC, accelerated vesting of unvested equity; lump-sum cash equal to prorated target bonus for year of termination plus 2x (non-CEO) the sum of base salary and target annual bonus; subject to release; if plans not assumed at CIC, unvested equity vests immediately (performance-based vesting determined in good faith based on forecasts) |
| Non-Compete / Non-Solicit | Confidentiality/IP/non-disparagement; non-compete and non-solicit restrictions during employment and for 12 months following termination |
| Clawback | Executive Compensation Clawback Policy adopted August 1, 2024 in compliance with SEC/NYSE; discretionary recoupment for misconduct |
| Insider Trading | Prohibits trading with MNPI; bans hedging/pledging; permits compliant, pre-cleared Rule 10b5-1 plans |
| Deferred Compensation | Eligible for FERP III and SERP; executives may defer up to 80% of salary/bonus with company match limits; plan mechanics described; individual CHRO balances not disclosed |
Performance & Track Record
| Metric | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|---|---|
| Ferguson TSR – Value of $100 Investment ($) | 160.17 | 146.64 | 194.42 | 272.31 | 278.00 |
| Net Income ($ in millions) | 1,472 | 2,122 | 1,889 | 1,735 | 1,856 |
| Adjusted Operating Profit ($ in millions) | 2,092 | 2,951 | 2,917 | 2,824 | 2,842 |
Additional governance and pay context:
- 2024 Say-on-Pay approval: 89.1% in favor .
- FY2025 compensation peer group updated to Builders FirstSource, Home Depot, Lowe’s, Sherwin-Williams; removed Honeywell, Illinois Tool Works, Parker-Hannifin, Stanley Black & Decker; pay structure aligned to median of revised peers in the transition period .
- Compensation “What We Don’t Do”: No hedging or pledging, no repricing of underwater options, no tax gross-ups; incentive dividends paid only upon vesting .
Related Party Transactions
| Party | Relationship | Transaction | FY2025 Amount | Oversight |
|---|---|---|---|---|
| Matt Stirrup | Husband of Allison Stirrup (CHRO) | Employed by FEL as Director — Information Technology | $340,628 total compensation | Reviewed and ratified by Audit Committee per policy |
Vesting Schedules and Potential Selling Pressure
| Instrument | Grant Timing | First Vest Date | Vesting Cadence | Notes |
|---|---|---|---|---|
| RSUs | Typically several weeks post-September approvals; FY2025 grants on 10/15/2024 | ~10/15/2025 | 1/3 annually over 3 years | Dividend equivalents accrue; paid at vest; standard pre-clearance windows apply |
| Stock Options | Same as above; FY2025 options had $201.38 base price (prior-day close $200.09) | ~10/15/2025 | 1/3 annually over 3 years | Exercise value tied to share appreciation; no dividend equivalents |
| PSUs | Same as above | ~10/15/2027 | Cliff vest at 3 years | Performance-weighted 33.3% TSR, 33.3% adjusted EPS diluted growth, 33.3% ROCE |
Executive trading is subject to blackout windows and insider trading policy; hedging/pledging bans reduce forced-selling risk. 10b5-1 plans are permitted only if compliant and pre-cleared .
Compensation Structure Analysis
- Increased performance orientation: FY2025 LTI shifted to 70% performance-based (PSUs+options) and 30% time-based (RSUs), consistent with U.S. market practice—tightening alignment with shareholder value drivers (TSR, EPS growth, ROCE) .
- STI calibration changes: Threshold lowered (AOP from 92% to 90%), maximum increased to 110% of target achievement; payout curves standardized with threshold payout at 50% and max at 200% across roles—balanced incentive sensitivity, potentially higher upside in strong years .
- Governance guardrails: Comprehensive clawback, anti-hedging/pledging, and prohibition on repricing—shareholder-friendly practices reduce risk of misaligned pay outcomes .
Equity Ownership & Alignment Risk Flags
- Pledging/Hedging: Explicitly prohibited—reduces leverage-related misalignment risk .
- Ownership guidelines: CHRO subject to 2x salary ownership requirement within 5 years; compliance status not disclosed—monitor progression toward guideline .
- Beneficial ownership: Not reported for CHRO (non-NEO)—limits visibility into skin-in-the-game .
Employment Terms – Retention and Transition Risk
- Retention economics: Severance of 12 months salary plus pro-rata bonus; pro-rata vesting on equity reduces cliff risk, supports retention but provides moderate exit cushion .
- Change-in-control protection: Double-trigger acceleration and 2x cash multiple for non-CEO executive officers—competitive protection; can create retention and continuity through transactions .
- Post-termination restrictions: 12-month non-compete/non-solicit—limits immediate competitive transitions and protects human capital investments .
Investment Implications
- Alignment is strong: A 70% performance-based LTI mix and strict anti-hedging/pledging policy align CHRO incentives with TSR, EPS growth, and ROCE—supportive of long-term value creation .
- Watch vesting windows: Annual RSU/Option tranches likely vest around mid-October each year (e.g., 10/15), which can create predictable selling or 10b5-1 activity; monitor filings for any pre-planned sales .
- Governance is robust: Clawback, no option repricing, and high say-on-pay support (89.1%) reduce pay inflation and misalignment risks; peer group recalibration to distribution/retail comps may modestly lift target pay positioning .
- Related party oversight: Husband’s employment and compensation vetted by Audit Committee; low conflict risk, but remains a governance watchpoint to track over time .