Geneva Capital Management LLC Raises Holdings in Watsco, Inc. (NYSE:WSO)

Key Points

• Geneva Capital Management LLC increased its stake in Watsco, Inc. by 4.8%, owning a total of 66,056 shares valued at approximately $33.58 million.
• Institutional investors collectively own 89.71% of Watsco's stock, with GAMMA Investing LLC increasing its holdings by an unprecedented 89,376.0% in the first quarter.
• Watsco reported a quarterly earnings miss with an EPS of $4.52, falling short of the consensus estimate of $4.84, as revenues declined by 3.6% year-over-year.

Geneva Capital Management LLC increased its holdings in Watsco, Inc. (NYSE:WSO - Free Report) by 4.8% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 66,056 shares of the construction company's stock after purchasing an additional 2,997 shares during the quarter. Geneva Capital Management LLC owned 0.16% of Watsco worth $33,577,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of the business. Manitou Investment Management Ltd. acquired a new position in shares of Watsco during the first quarter valued at approximately $25,000. Opal Wealth Advisors LLC acquired a new position in shares of Watsco during the first quarter valued at approximately $25,000. TCTC Holdings LLC raised its holdings in shares of Watsco by 115.4% during the first quarter. TCTC Holdings LLC now owns 56 shares of the construction company's stock valued at $28,000 after acquiring an additional 30 shares during the last quarter. City Holding Co. acquired a new position in shares of Watsco during the first quarter valued at approximately $29,000. Finally, Rossby Financial LCC acquired a new position in shares of Watsco during the first quarter valued at approximately $33,000. Institutional investors and hedge funds own 89.71% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the company. Mizuho set a $490.00 target price on Watsco in a report on Thursday, April 24th. UBS Group dropped their price target on Watsco from $455.00 to $450.00 and set a "neutral" rating for the company in a research report on Wednesday, June 25th. JPMorgan Chase & Co. upped their price target on Watsco from $445.00 to $460.00 and gave the company a "neutral" rating in a research report on Tuesday, May 27th. Morgan Stanley set a $505.00 price target on Watsco in a research report on Wednesday, July 2nd. Finally, Wall Street Zen upgraded Watsco from a "sell" rating to a "hold" rating in a research report on Friday, May 9th. Seven research analysts have rated the stock with a hold rating and one has issued a buy rating to the stock. According to data from MarketBeat.com, Watsco presently has an average rating of "Hold" and an average target price of $484.17.

Watsco Stock Performance

Shares of WSO stock traded down $1.75 during trading hours on Thursday, reaching $416.31. The company had a trading volume of 535,685 shares, compared to its average volume of 303,960. The stock has a fifty day moving average of $450.42 and a 200-day moving average of $475.26. The company has a market capitalization of $16.86 billion, a price-to-earnings ratio of 31.93 and a beta of 0.95. Watsco, Inc. has a 12-month low of $413.99 and a 12-month high of $571.41.

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 the consensus estimate of $4.84 by ($0.32). The business had revenue of $2.06 billion during the quarter, compared to analysts' expectations of $2.24 billion. Watsco had a return on equity of 16.96% and a net margin of 7.08%. The company's revenue was down 3.6% on a year-over-year basis. During the same quarter in the previous year, the company posted $4.49 earnings per share. On average, analysts forecast that Watsco, Inc. will post 14.62 EPS for the current year.

Watsco Announces Dividend

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

Watsco Company 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.