AlphaQuest LLC Increases Position in Watts Water Technologies, Inc. $WTS

Key Points

• AlphaQuest LLC sharply increased its stake in Watts Water Technologies, boosting holdings by 560.4% in the fourth quarter to 11,167 shares worth about $3.1 million.
• Watts Water Technologies reported strong quarterly results, with EPS of $3.04 beating estimates and revenue of $677.3 million rising 21.4% year over year.
• The company also announced a quarterly dividend of $0.63 per share, while analysts currently rate the stock a consensus Hold with an average target price of $329.44.

AlphaQuest LLC raised its position in Watts Water Technologies, Inc. (NYSE:WTS - Free Report) by 560.4% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 11,167 shares of the technology company's stock after purchasing an additional 9,476 shares during the quarter. AlphaQuest LLC's holdings in Watts Water Technologies were worth $3,082,000 as of its most recent SEC filing.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Boston Partners increased its position in shares of Watts Water Technologies by 2.2% during the third quarter. Boston Partners now owns 907,336 shares of the technology company's stock worth $253,211,000 after acquiring an additional 19,247 shares during the period. Invesco Ltd. boosted its stake in Watts Water Technologies by 34.4% in the third quarter. Invesco Ltd. now owns 469,508 shares of the technology company's stock valued at $131,124,000 after acquiring an additional 120,090 shares in the last quarter. AQR Capital Management LLC boosted its stake in Watts Water Technologies by 17.5% in the third quarter. AQR Capital Management LLC now owns 326,139 shares of the technology company's stock valued at $90,226,000 after acquiring an additional 48,470 shares in the last quarter. Port Capital LLC boosted its stake in Watts Water Technologies by 1.0% in the third quarter. Port Capital LLC now owns 251,206 shares of the technology company's stock valued at $70,157,000 after acquiring an additional 2,378 shares in the last quarter. Finally, UBS Group AG raised its holdings in shares of Watts Water Technologies by 223.0% in the third quarter. UBS Group AG now owns 202,250 shares of the technology company's stock valued at $56,484,000 after buying an additional 139,637 shares during the last quarter. Hedge funds and other institutional investors own 95.02% of the company's stock.

Watts Water Technologies Stock Performance

Watts Water Technologies stock opened at $302.63 on Tuesday. Watts Water Technologies, Inc. has a 12-month low of $235.14 and a 12-month high of $345.17. The company has a market capitalization of $10.10 billion, a price-to-earnings ratio of 27.69, a price-to-earnings-growth ratio of 2.69 and a beta of 1.20. The company has a debt-to-equity ratio of 0.09, a current ratio of 2.72 and a quick ratio of 1.62. The firm's fifty day moving average price is $297.47 and its 200 day moving average price is $294.64.

Watts Water Technologies (NYSE:WTS - Get Free Report) last released its quarterly earnings results on Wednesday, May 6th. The technology company reported $3.04 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.72 by $0.32. Watts Water Technologies had a net margin of 14.32% and a return on equity of 18.92%. The firm had revenue of $677.30 million for the quarter, compared to the consensus estimate of $638.13 million. During the same quarter in the previous year, the firm posted $2.37 EPS. The firm's quarterly revenue was up 21.4% on a year-over-year basis. On average, research analysts forecast that Watts Water Technologies, Inc. will post 11.9 EPS for the current fiscal year.

Watts Water Technologies Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Monday, June 1st will be issued a dividend of $0.63 per share. This represents a $2.52 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Monday, June 1st. Watts Water Technologies's dividend payout ratio (DPR) is currently 19.03%.

Analyst Ratings Changes

A number of equities research analysts have recently commented on WTS shares. Barclays reduced their target price on shares of Watts Water Technologies from $323.00 to $317.00 and set an "equal weight" rating for the company in a report on Monday, May 11th. Stifel Nicolaus set a $379.00 target price on shares of Watts Water Technologies in a report on Friday, May 8th. HSBC initiated coverage on shares of Watts Water Technologies in a research report on Tuesday, January 27th. They issued a "buy" rating on the stock. Royal Bank Of Canada increased their price target on shares of Watts Water Technologies from $318.00 to $323.00 and gave the company a "sector perform" rating in a research report on Friday, May 8th. Finally, Zacks Research lowered shares of Watts Water Technologies from a "strong-buy" rating to a "hold" rating in a research report on Friday, February 27th. Four analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $329.44.

Insider Buying and Selling at Watts Water Technologies

In other news, insider Elie Melhem sold 2,257 shares of Watts Water Technologies stock in a transaction dated Wednesday, May 13th. The shares were sold at an average price of $301.00, for a total value of $679,357.00. Following the completion of the transaction, the insider directly owned 8,963 shares of the company's stock, valued at approximately $2,697,863. The trade was a 20.12% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director Michael J. Dubose sold 332 shares of Watts Water Technologies stock in a transaction dated Thursday, March 12th. The shares were sold at an average price of $301.70, for a total transaction of $100,164.40. Following the completion of the transaction, the director directly owned 2,212 shares of the company's stock, valued at $667,360.40. This trade represents a 13.05% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 3,340 shares of company stock valued at $1,001,905. 1.00% of the stock is owned by company insiders.

Watts Water Technologies Company Profile

Watts Water Technologies, Inc is a global manufacturer and distributor of flow control products and solutions designed to ensure the safe, efficient delivery and use of water. Founded in 1874 and headquartered in North Andover, Massachusetts, the company has built a reputation for engineering innovation in residential, commercial and industrial plumbing, heating, cooling and water treatment systems. Watts operates through a comprehensive portfolio of brands and product lines that address application-specific requirements in water safety, pressure regulation, flow control and filtration.

The company's product offerings span backflow preventers, pressure reducing valves, relief valves and steam traps, as well as hydronic balancing and temperature control devices for heating systems.

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