Comfort Systems USA (NYSE:FIX) Announces Quarterly Earnings Results

Key Points

• Comfort Systems USA reported an impressive quarterly earnings per share (EPS) of $8.25, beating estimates by $2.31.
• The company's stock surged 4.8% to $828.28 amid heavy trading, with 622,510 shares exchanged during the day's session.
• Insider sales have raised concerns, with directors reducing their holdings, as they sold shares totaling $18.71 million over the last three months.

Comfort Systems USA (NYSE:FIX - Get Free Report) announced its quarterly earnings results on Thursday. The construction company reported $8.25 EPS for the quarter, topping the consensus estimate of $6.20 by $2.05, Zacks reports. The business had revenue of $2.45 billion for the quarter, compared to analysts' expectations of $2.15 billion. Comfort Systems USA had a net margin of 9.01% and a return on equity of 39.33%. The business's quarterly revenue was up 35.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $4.09 EPS.

Comfort Systems USA Stock Performance

Shares of NYSE:FIX opened at $828.28 on Friday. The company has a market capitalization of $29.22 billion, a price-to-earnings ratio of 42.56 and a beta of 1.58. Comfort Systems USA has a 12 month low of $276.44 and a 12 month high of $861.77. The firm's 50-day moving average is $770.78 and its 200 day moving average is $594.08. The company has a current ratio of 1.13, a quick ratio of 1.10 and a debt-to-equity ratio of 0.03.

Analysts Set New Price Targets

Several brokerages have commented on FIX. Zacks Research cut shares of Comfort Systems USA from a "strong-buy" rating to a "hold" rating in a research note on Friday, September 26th. DA Davidson boosted their target price on shares of Comfort Systems USA from $630.00 to $810.00 and gave the stock a "buy" rating in a report on Monday, July 28th. Stifel Nicolaus boosted their target price on shares of Comfort Systems USA from $746.00 to $917.00 and gave the stock a "buy" rating in a report on Monday, October 13th. Weiss Ratings restated a "buy (b)" rating on shares of Comfort Systems USA in a report on Wednesday, October 8th. Finally, Wall Street Zen upgraded shares of Comfort Systems USA from a "hold" rating to a "buy" rating in a report on Saturday, July 26th. Six equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $735.80.

Insider Activity at Comfort Systems USA

In other Comfort Systems USA news, insider Brian E. Lane sold 10,000 shares of the business's stock in a transaction dated Thursday, August 7th. The shares were sold at an average price of $691.74, for a total value of $6,917,400.00. Following the completion of the sale, the insider directly owned 188,046 shares of the company's stock, valued at $130,078,940.04. The trade was a 5.05% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Pablo G. Mercado sold 1,078 shares of the business's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $695.88, for a total transaction of $750,158.64. Following the completion of the sale, the director directly owned 6,500 shares of the company's stock, valued at approximately $4,523,220. This trade represents a 14.23% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 26,783 shares of company stock worth $18,710,798 in the last three months. 1.59% of the stock is owned by insiders.

Institutional Investors Weigh In On Comfort Systems USA

Several large investors have recently added to or reduced their stakes in FIX. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new stake in Comfort Systems USA in the 2nd quarter valued at about $142,000. Vident Advisory LLC purchased a new stake in Comfort Systems USA in the 2nd quarter valued at about $282,000. EP Wealth Advisors LLC purchased a new stake in shares of Comfort Systems USA in the 2nd quarter worth approximately $311,000. Connecticut Wealth Management LLC purchased a new stake in shares of Comfort Systems USA in the 2nd quarter worth approximately $316,000. Finally, Rafferty Asset Management LLC purchased a new stake in shares of Comfort Systems USA in the 2nd quarter worth approximately $329,000. 96.51% of the stock is owned by hedge funds and other institutional investors.

About Comfort Systems USA

Comfort Systems USA, Inc, together with its subsidiaries, provides mechanical and electrical installation, renovation, maintenance, repair, and replacement services for the mechanical and electrical services industry in the United States. It operates through two segments, Mechanical and Electrical. The company offers heating, ventilation, and air conditioning systems, as well as plumbing, electrical, piping and controls, off-site construction, monitoring, and fire protection.