Watsco, Inc. (NYSE:WSO) Given Average Rating of “Hold” by Brokerages

Watsco, Inc. (NYSE:WSO) has received an average recommendation of “Hold” from the eight analysts that are currently covering the firm, MarketBeat Ratings reports. One research analyst has rated the stock with a sell rating, three have issued a hold rating and four have issued a buy rating on the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $396.00.

Separately, Robert W. Baird raised their price objective on Watsco from $400.00 to $410.00 and gave the company an “outperform” rating in a research report on Wednesday, February 14th.

Watsco Price Performance

WSO opened at $414.85 on Friday. Watsco has a 12-month low of $309.17 and a 12-month high of $447.49. The company has a current ratio of 3.36, a quick ratio of 1.47 and a debt-to-equity ratio of 0.01. The business’s fifty day simple moving average is $407.89 and its 200-day simple moving average is $396.68. The company has a market capitalization of $16.39 billion, a price-to-earnings ratio of 30.37, a PEG ratio of 3.46 and a beta of 0.90.

Watsco (NYSE:WSO) last posted its quarterly earnings results on Tuesday, February 13th. The construction company reported $2.06 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.50 by ($0.44). Watsco had a return on equity of 21.36% and a net margin of 7.36%. The firm had revenue of $1.60 billion for the quarter, compared to the consensus estimate of $1.65 billion. During the same period in the previous year, the company posted $2.35 EPS. Watsco’s quarterly revenue was up 1.4% compared to the same quarter last year. On average, equities research analysts anticipate that Watsco will post 14.21 earnings per share for the current fiscal year.

Watsco Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 30th. Shareholders of record on Monday, April 15th will be paid a $2.70 dividend. The ex-dividend date of this dividend is Friday, April 12th. This is a boost from Watsco’s previous quarterly dividend of $2.45. This represents a $10.80 dividend on an annualized basis and a yield of 2.60%. Watsco’s dividend payout ratio (DPR) is 79.06%.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of WSO. Moneta Group Investment Advisors LLC raised its stake in shares of Watsco by 105,561.2% in the fourth quarter. Moneta Group Investment Advisors LLC now owns 1,494,050 shares of the construction company’s stock worth $372,616,000 after purchasing an additional 1,492,636 shares during the last quarter. Norges Bank purchased a new position in Watsco during the fourth quarter valued at approximately $69,643,000. Barclays PLC raised its position in Watsco by 1,635.4% during the second quarter. Barclays PLC now owns 254,805 shares of the construction company’s stock valued at $97,202,000 after acquiring an additional 240,122 shares in the last quarter. International Assets Investment Management LLC raised its position in Watsco by 40,702.6% during the fourth quarter. International Assets Investment Management LLC now owns 205,237 shares of the construction company’s stock valued at $87,938,000 after acquiring an additional 204,734 shares in the last quarter. Finally, Invesco Ltd. raised its position in Watsco by 120.4% during the third quarter. Invesco Ltd. now owns 300,059 shares of the construction company’s stock valued at $113,338,000 after acquiring an additional 163,915 shares in the last quarter. 89.71% of the stock is currently owned by hedge funds and other institutional investors.

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.