Watsco, Inc. $WSO Shares Sold by Aberdeen Group plc

Key Points

• Aberdeen Group plc reduced its stake in Watsco, Inc. by 14.8% in the first quarter, bringing its total holdings to 12,820 shares valued at approximately $6.47 million.
• Watsco reported earnings of $4.52 per share for the latest quarter, missing expectations by $0.32, with revenues down 3.6% year-over-year.
• The company announced a quarterly dividend of $3.00, which reflects an annualized yield of 2.9% and a payout ratio of 92.02%.

Aberdeen Group plc decreased its holdings in Watsco, Inc. (NYSE:WSO - Free Report) by 14.8% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 12,820 shares of the construction company's stock after selling 2,232 shares during the period. Aberdeen Group plc's holdings in Watsco were worth $6,467,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also bought and sold shares of the company. Opal Wealth Advisors LLC purchased a new stake in Watsco in the first quarter worth $25,000. Manitou Investment Management Ltd. purchased a new stake in Watsco in the first quarter worth $25,000. TCTC Holdings LLC increased its stake in Watsco by 115.4% in the first quarter. TCTC Holdings LLC now owns 56 shares of the construction company's stock worth $28,000 after purchasing an additional 30 shares during the period. City Holding Co. purchased a new stake in Watsco in the first quarter worth $29,000. Finally, Rossby Financial LCC purchased a new stake in Watsco in the first quarter worth $33,000. Hedge funds and other institutional investors own 89.71% of the company's stock.

Watsco Stock Performance

WSO stock traded down $6.8220 during trading on Monday, reaching $408.9780. 110,764 shares of the company traded hands, compared to its average volume of 301,336. Watsco, Inc. has a 12 month low of $397.73 and a 12 month high of $571.41. The business has a 50 day simple moving average of $444.46 and a 200 day simple moving average of $469.29. The company has a market capitalization of $16.58 billion, a price-to-earnings ratio of 31.37 and a beta of 0.95.

Watsco (NYSE:WSO - Get Free Report) last issued its quarterly earnings data 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). Watsco had a net margin of 7.08% and a return on equity of 16.96%. The company had revenue of $2.06 billion for the quarter, compared to the consensus estimate of $2.24 billion. During the same period in the previous year, the business earned $4.49 EPS. Watsco's revenue for the quarter was down 3.6% compared to the same quarter last year. As a group, research analysts forecast that Watsco, Inc. will post 14.62 EPS for the current year.

Watsco Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Stockholders of record on Wednesday, July 16th were issued a dividend of $3.00 per share. The ex-dividend date was Wednesday, July 16th. This represents a $12.00 annualized dividend and a dividend yield of 2.9%. Watsco's dividend payout ratio is 92.02%.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on WSO shares. UBS Group dropped their price target on Watsco from $455.00 to $450.00 and set a "neutral" rating on the stock in a research report on Wednesday, June 25th. Wall Street Zen raised Watsco from a "sell" rating to a "hold" rating in a research report on Friday, May 9th. JPMorgan Chase & Co. increased 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. Finally, Morgan Stanley set a $505.00 price target on Watsco in a research report on Wednesday, July 2nd. One research analyst has rated the stock with a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $484.17.

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.