Conestoga Capital Advisors LLC Has $38.94 Million Holdings in Watsco, Inc. $WSO

Key Points

• Conestoga Capital Advisors increased its stake in Watsco by 22.4% in Q4 to 115,568 shares, holding about 0.28% of the company worth roughly $38.94 million per its latest 13F filing.
• Watsco beat quarterly estimates with EPS of $1.87 (vs. $1.73 est.) and revenue of $1.53 billion (vs. $1.49B est.), and raised its quarterly dividend to $3.30 ($13.20 annualized) for a 3.0% yield and a payout ratio of 109%.
• The stock trades with a market cap of $17.77 billion and a P/E of 36.32; analysts have mostly a Hold consensus with an average price target of $399.83 (current price opened at $437.69) and institutional ownership near 89.7%.

Conestoga Capital Advisors LLC increased its stake in Watsco, Inc. (NYSE:WSO - Free Report) by 22.4% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 115,568 shares of the construction company's stock after buying an additional 21,119 shares during the quarter. Conestoga Capital Advisors LLC owned approximately 0.28% of Watsco worth $38,941,000 as of its most recent SEC filing.

Other large investors have also added to or reduced their stakes in the company. Torren Management LLC bought a new stake in Watsco in the 4th quarter valued at $26,000. SJS Investment Consulting Inc. raised its stake in Watsco by 2,366.7% in the 3rd quarter. SJS Investment Consulting Inc. now owns 74 shares of the construction company's stock valued at $30,000 after acquiring an additional 71 shares during the period. TruNorth Capital Management LLC bought a new stake in Watsco in the 3rd quarter valued at $37,000. Laurel Wealth Advisors LLC bought a new stake in Watsco in the 4th quarter valued at $37,000. Finally, Steigerwald Gordon & Koch Inc. bought a new stake in Watsco in the 3rd quarter valued at $49,000. Institutional investors own 89.71% of the company's stock.

Watsco Price Performance

WSO stock opened at $437.69 on Friday. The stock has a market capitalization of $17.77 billion, a price-to-earnings ratio of 36.32 and a beta of 1.06. The business's fifty day moving average price is $398.25 and its two-hundred day moving average price is $376.93. Watsco, Inc. has a fifty-two week low of $323.05 and a fifty-two week high of $496.25.

Watsco (NYSE:WSO - Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The construction company reported $1.87 earnings per share for the quarter, topping the consensus estimate of $1.73 by $0.14. The firm had revenue of $1.53 billion for the quarter, compared to analysts' expectations of $1.49 billion. Watsco had a return on equity of 15.31% and a net margin of 6.85%.The company's quarterly revenue was up .1% compared to the same quarter last year. During the same quarter last year, the business earned $1.93 EPS. Research analysts expect that Watsco, Inc. will post 12.49 EPS for the current year.

Watsco Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, April 30th. Shareholders of record on Thursday, April 16th were given a dividend of $3.30 per share. This represents a $13.20 annualized dividend and a yield of 3.0%. The ex-dividend date was Thursday, April 16th. This is a positive change from Watsco's previous quarterly dividend of $3.00. Watsco's dividend payout ratio (DPR) is 109.00%.

Analyst Upgrades and Downgrades

WSO has been the topic of a number of research analyst reports. Morgan Stanley dropped their price target on Watsco from $460.00 to $370.00 and set an "equal weight" rating on the stock in a research note on Wednesday, January 14th. UBS Group initiated coverage on Watsco in a research note on Monday, January 5th. They issued a "neutral" rating and a $370.00 price target on the stock. JPMorgan Chase & Co. increased their price target on Watsco from $370.00 to $400.00 and gave the company a "neutral" rating in a research note on Thursday, February 19th. Zacks Research upgraded Watsco from a "strong sell" rating to a "hold" rating in a research note on Wednesday, February 25th. Finally, Stephens increased their price target on Watsco from $475.00 to $485.00 and gave the company an "overweight" rating in a research note on Wednesday. One analyst has rated the stock with a Buy rating and eight have assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average price target of $399.83.

Watsco Company Profile

Watsco, Inc is the largest distributor of heating, ventilation, air conditioning and refrigeration (HVAC/R) equipment, parts and supplies in the United States. Headquartered in Miami, Florida, the company operates a network of more than 600 branches across the continental U.S., Canada and Puerto Rico. Watsco serves residential and commercial contractors by providing essential components for climate control systems, including air conditioners, furnaces, heat pumps, coils, refrigerants, controls and electrical and piping supplies.

Founded in 1947, Watsco has grown from a single regional distributor into an industry leader through a combination of organic expansion, acquisitions and strategic partnerships with original equipment manufacturers such as Carrier, Trane, Goodman and Lennox.

Want to see what other hedge funds are holding WSO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Watsco, Inc. (NYSE:WSO - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.