Watsco, Inc. (NYSE:WSO) Receives Consensus Recommendation of “Hold” from Brokerages

Shares of Watsco, Inc. (NYSE:WSO) have been given an average rating of “Hold” by the six research firms that are currently covering the company, MarketBeat Ratings reports. One analyst has rated the stock with a sell rating, two have issued a hold rating and three have issued a buy rating on the company. The average twelve-month target price among brokers that have issued ratings on the stock in the last year is $433.71.

Several research firms have recently commented on WSO. JPMorgan Chase & Co. upped their price objective on Watsco from $420.00 to $425.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 31st. Robert W. Baird raised their price objective on Watsco from $460.00 to $522.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 31st.

Watsco Trading Up 1.1 %

Shares of NYSE:WSO opened at $476.36 on Monday. The stock’s 50-day simple moving average is $478.11 and its two-hundred day simple moving average is $457.73. The stock has a market capitalization of $19.22 billion, a price-to-earnings ratio of 36.64 and a beta of 0.88. Watsco has a 52-week low of $338.58 and a 52-week high of $520.41. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.55 and a current ratio of 3.21.

Watsco (NYSE:WSO) last posted its quarterly earnings data on Tuesday, July 30th. The construction company reported $4.49 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $4.70 by ($0.21). Watsco had a return on equity of 18.55% and a net margin of 7.02%. The business had revenue of $2.10 billion during the quarter, compared to analysts’ expectations of $2.19 billion. During the same period in the previous year, the business posted $4.42 EPS. The business’s quarterly revenue was up 5.0% compared to the same quarter last year. Analysts expect that Watsco will post 13.83 EPS for the current year.

Watsco Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, July 31st. Stockholders of record on Tuesday, July 16th were given a $2.70 dividend. The ex-dividend date was Tuesday, July 16th. This represents a $10.80 annualized dividend and a dividend yield of 2.27%. Watsco’s payout ratio is 83.08%.

Institutional Trading of Watsco

Several institutional investors have recently made changes to their positions in the business. Jennison Associates LLC grew its holdings in Watsco by 50.9% during the 1st quarter. Jennison Associates LLC now owns 185,633 shares of the construction company’s stock valued at $80,188,000 after buying an additional 62,593 shares in the last quarter. Franklin Resources Inc. grew its stake in Watsco by 3.8% during the fourth quarter. Franklin Resources Inc. now owns 44,737 shares of the construction company’s stock valued at $19,168,000 after acquiring an additional 1,650 shares in the last quarter. Goldman Sachs Group Inc. increased its holdings in Watsco by 12.4% in the 4th quarter. Goldman Sachs Group Inc. now owns 255,062 shares of the construction company’s stock valued at $109,287,000 after acquiring an additional 28,047 shares during the last quarter. American National Bank lifted its stake in Watsco by 878.1% in the 1st quarter. American National Bank now owns 2,416 shares of the construction company’s stock worth $1,044,000 after purchasing an additional 2,169 shares in the last quarter. Finally, First Trust Advisors LP boosted its holdings in shares of Watsco by 2.0% during the 4th quarter. First Trust Advisors LP now owns 310,787 shares of the construction company’s stock valued at $133,163,000 after purchasing an additional 5,949 shares during the last quarter. Hedge funds and other institutional investors own 89.71% of the company’s stock.

Watsco Company Profile

Watsco, Inc, together with its subsidiaries, engages in the distribution of air conditioning, heating, refrigeration equipment, and related parts and supplies in the United States and internationally. The company distributes equipment, including residential ducted and ductless air conditioners, such as gas, electric, and oil furnaces; commercial air conditioning and heating equipment systems; and other specialized equipment.