Watsco (NYSE:WSO) Announces Earnings Results, Beats Expectations By $1.10 EPS

Watsco (NYSE:WSOGet Rating) announced its quarterly earnings data on Thursday. The construction company reported $2.90 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $1.80 by $1.10, MarketWatch Earnings reports. Watsco had a return on equity of 21.63% and a net margin of 6.67%. The firm had revenue of $1.52 billion during the quarter, compared to the consensus estimate of $1.39 billion. During the same quarter in the previous year, the company posted $1.39 earnings per share. The business’s revenue was up 34.1% on a year-over-year basis.

Shares of Watsco stock traded up $11.88 during midday trading on Thursday, reaching $298.46. 11,529 shares of the company’s stock traded hands, compared to its average volume of 200,668. The company has a debt-to-equity ratio of 0.05, a quick ratio of 1.16 and a current ratio of 2.70. The company has a market cap of $11.60 billion, a PE ratio of 28.45 and a beta of 0.85. The stock has a 50 day moving average of $286.23 and a 200-day moving average of $291.38. Watsco has a 12 month low of $252.50 and a 12 month high of $318.98.

The firm also recently announced a quarterly dividend, which will be paid on Friday, April 29th. Investors of record on Thursday, April 14th will be issued a dividend of $2.20 per share. This represents a $8.80 dividend on an annualized basis and a dividend yield of 2.95%. The ex-dividend date of this dividend is Wednesday, April 13th. This is an increase from Watsco’s previous quarterly dividend of $1.95. Watsco’s dividend payout ratio is currently 81.94%.

Several brokerages have weighed in on WSO. Zacks Investment Research downgraded Watsco from a “hold” rating to a “sell” rating and set a $313.00 price objective for the company. in a research report on Monday, January 17th. StockNews.com downgraded Watsco from a “buy” rating to a “hold” rating in a research report on Saturday, April 9th. Finally, KeyCorp upgraded Watsco from a “sector weight” rating to an “overweight” rating and set a $320.00 price objective for the company in a research report on Monday, February 14th. Two equities research analysts have rated the stock with a sell rating, three have given a hold rating and two have issued a buy rating to the company’s stock. Based on data from MarketBeat, Watsco has an average rating of “Hold” and an average target price of $308.83.

In related news, Director Brian E. Keeley sold 11,000 shares of the company’s stock in a transaction that occurred on Wednesday, March 23rd. The stock was sold at an average price of $299.68, for a total transaction of $3,296,480.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 13.31% of the stock is owned by corporate insiders.

Several institutional investors have recently made changes to their positions in WSO. Integrated Wealth Concepts LLC grew its stake in Watsco by 20.3% in the fourth quarter. Integrated Wealth Concepts LLC now owns 970 shares of the construction company’s stock worth $303,000 after purchasing an additional 164 shares during the period. CIBC World Markets Inc. grew its stake in Watsco by 16.6% in the fourth quarter. CIBC World Markets Inc. now owns 1,192 shares of the construction company’s stock worth $373,000 after purchasing an additional 170 shares during the period. Penserra Capital Management LLC grew its stake in Watsco by 9.4% in the fourth quarter. Penserra Capital Management LLC now owns 2,079 shares of the construction company’s stock worth $571,000 after purchasing an additional 179 shares during the period. Flagship Harbor Advisors LLC grew its stake in Watsco by 24.0% in the fourth quarter. Flagship Harbor Advisors LLC now owns 987 shares of the construction company’s stock worth $309,000 after purchasing an additional 191 shares during the period. Finally, MML Investors Services LLC grew its stake in Watsco by 24.3% in the fourth quarter. MML Investors Services LLC now owns 1,982 shares of the construction company’s stock worth $620,000 after purchasing an additional 388 shares during the period. Institutional investors own 78.42% of the company’s stock.

About Watsco (Get Rating)

Watsco, Inc, together with its subsidiaries, distributes air conditioning, heating, refrigeration equipment, and related parts and supplies. The company distributes equipment comprising residential ducted and ductless air conditioners, such as gas, electric, and oil furnaces; commercial air conditioning and heating equipment systems; and other specialized equipment.

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Earnings History for Watsco (NYSE:WSO)

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