Abacus FCF Advisors LLC Has $7.27 Million Holdings in Watsco, Inc. $WSO

Key Points

• Abacus FCF Advisors LLC has increased its stake in Watsco, Inc. by 178.6%, purchasing an additional 10,557 shares during the second quarter, bringing its total holdings to 16,468 shares valued at approximately $7.27 million.
• Watsco's stock recently opened at $389.93, with a market capitalization of $15.81 billion, and is experiencing a 3.6% year-over-year revenue decline despite reporting a quarterly EPS of $4.52, which is below analysts' estimates.
• Analysts have set a consensus price target of $484.17 for Watsco, with most ratings being "Hold," while JPMorgan raised its target price to $460.00 and Morgan Stanley set a price of $505.00.

Abacus FCF Advisors LLC lifted its position in Watsco, Inc. (NYSE:WSO - Free Report) by 178.6% in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 16,468 shares of the construction company's stock after purchasing an additional 10,557 shares during the quarter. Abacus FCF Advisors LLC's holdings in Watsco were worth $7,273,000 as of its most recent SEC filing.

Several other institutional investors have also recently modified their holdings of WSO. OneDigital Investment Advisors LLC acquired a new stake in Watsco during the first quarter worth about $266,000. Goldman Sachs Group Inc. lifted its position in Watsco by 62.8% during the first quarter. Goldman Sachs Group Inc. now owns 468,875 shares of the construction company's stock worth $238,329,000 after buying an additional 180,951 shares in the last quarter. Teacher Retirement System of Texas acquired a new position in shares of Watsco in the 1st quarter valued at $2,588,000. Golden State Wealth Management LLC lifted its stake in shares of Watsco by 109.4% in the 1st quarter. Golden State Wealth Management LLC now owns 222 shares of the construction company's stock valued at $113,000 after purchasing an additional 116 shares during the last quarter. Finally, SG Americas Securities LLC raised its holdings in shares of Watsco by 133.1% in the 1st quarter. SG Americas Securities LLC now owns 844 shares of the construction company's stock valued at $429,000 after buying an additional 482 shares during the period. 89.71% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on WSO shares. UBS Group cut their price target on Watsco from $450.00 to $425.00 and set a "neutral" rating on the stock in a report on Tuesday. Morgan Stanley set a $505.00 price objective on Watsco in a research note on Wednesday, July 2nd. Finally, JPMorgan Chase & Co. raised their price target on Watsco from $445.00 to $460.00 and gave the stock a "neutral" rating in a research report on Tuesday, May 27th. One analyst has rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Watsco has a consensus rating of "Hold" and a consensus target price of $480.00.

Watsco Price Performance

Shares of WSO stock traded up $0.54 during trading hours on Tuesday, hitting $392.00. 548,687 shares of the company's stock were exchanged, compared to its average volume of 320,775. The stock's 50-day moving average is $424.22 and its 200-day moving average is $455.13. The stock has a market cap of $15.90 billion, a price-to-earnings ratio of 30.08 and a beta of 0.96. Watsco, Inc. has a 52 week low of $378.35 and a 52 week high of $571.41.

Watsco (NYSE:WSO - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The construction company reported $4.52 earnings per share for the quarter, missing analysts' consensus estimates of $4.84 by ($0.32). The company had revenue of $2.06 billion during the quarter, compared to analyst estimates of $2.24 billion. Watsco had a net margin of 7.08% and a return on equity of 16.96%. The business's revenue for the quarter was down 3.6% on a year-over-year basis. During the same period in the prior year, the business earned $4.49 EPS. Equities research analysts forecast that Watsco, Inc. will post 14.62 earnings per share for the current fiscal year.

Watsco Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, July 31st. Shareholders of record on Wednesday, July 16th were given a dividend of $3.00 per share. The ex-dividend date of this dividend was Wednesday, July 16th. This represents a $12.00 annualized dividend and a yield of 3.1%. Watsco's payout ratio is 92.02%.

Watsco 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.