Brokers Issue Forecasts for Watsco, Inc.’s Q3 2024 Earnings (NYSE:WSO)

Watsco, Inc. (NYSE:WSO) – Research analysts at Zacks Research increased their Q3 2024 EPS estimates for Watsco in a report issued on Monday, April 15th. Zacks Research analyst R. Department now anticipates that the construction company will earn $4.80 per share for the quarter, up from their prior estimate of $4.69. The consensus estimate for Watsco’s current full-year earnings is $14.17 per share. Zacks Research also issued estimates for Watsco’s FY2024 earnings at $14.08 EPS, Q2 2025 earnings at $4.86 EPS, Q3 2025 earnings at $5.00 EPS and FY2025 earnings at $16.13 EPS.

Watsco (NYSE:WSO) last issued its earnings results on Tuesday, February 13th. The construction company reported $2.06 earnings per share for the quarter, missing analysts’ consensus estimates of $2.50 by ($0.44). The company had revenue of $1.60 billion during the quarter, compared to analyst estimates of $1.65 billion. Watsco had a net margin of 7.36% and a return on equity of 21.36%. The business’s quarterly revenue was up 1.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.35 EPS.

Separately, Robert W. Baird raised their price objective on shares of Watsco from $400.00 to $410.00 and gave the company an “outperform” rating in a report on Wednesday, February 14th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat, Watsco presently has an average rating of “Hold” and a consensus target price of $396.00.

Watsco Price Performance

Watsco stock opened at $403.94 on Wednesday. The company has a market capitalization of $15.96 billion, a PE ratio of 29.57 and a beta of 0.90. 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 stock has a 50-day moving average price of $409.14 and a two-hundred day moving average price of $398.02. Watsco has a 12 month low of $313.27 and a 12 month high of $447.49.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Wetzel Investment Advisors Inc. acquired a new stake in Watsco during the fourth quarter worth approximately $25,000. First PREMIER Bank acquired a new stake in shares of Watsco during the 1st quarter worth approximately $25,000. Contravisory Investment Management Inc. bought a new stake in shares of Watsco in the 4th quarter valued at $26,000. Cullen Frost Bankers Inc. acquired a new position in shares of Watsco during the 4th quarter valued at $28,000. Finally, Rise Advisors LLC acquired a new position in shares of Watsco during the 4th quarter valued at $30,000. 89.71% of the stock is owned by institutional investors.

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 issued a dividend of $2.70 per share. This is an increase from Watsco’s previous quarterly dividend of $2.45. This represents a $10.80 dividend on an annualized basis and a yield of 2.67%. The ex-dividend date is Friday, April 12th. Watsco’s dividend payout ratio (DPR) is presently 79.06%.

About Watsco

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.