Neuberger Berman Group LLC Sells 36,408 Shares of Watsco, Inc. (NYSE:WSO)

Key Points

• Neuberger Berman Group LLC reduced its stake in Watsco, Inc. by 6.1% in Q1, holding 559,574 shares valued at $284.43 million at the end of the period.
• Watsco reported earnings of $4.52 per share for the previous quarter, missing estimates, and experienced a 3.6% decline in revenue compared to last year.
• The company declared a quarterly dividend of $3.00 per share, representing an annualized dividend yield of 2.8% and a payout ratio of 92.02%.

Neuberger Berman Group LLC lessened its holdings in Watsco, Inc. (NYSE:WSO - Free Report) by 6.1% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 559,574 shares of the construction company's stock after selling 36,408 shares during the quarter. Neuberger Berman Group LLC owned 1.38% of Watsco worth $284,431,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in WSO. Financial Network Wealth Advisors LLC boosted its position in Watsco by 80.8% in the first quarter. Financial Network Wealth Advisors LLC now owns 282 shares of the construction company's stock valued at $143,000 after buying an additional 126 shares in the last quarter. Caitong International Asset Management Co. Ltd raised its stake in shares of Watsco by 536.1% in the first quarter. Caitong International Asset Management Co. Ltd now owns 229 shares of the construction company's stock worth $116,000 after acquiring an additional 193 shares during the last quarter. LGT Fund Management Co Ltd. bought a new position in shares of Watsco in the first quarter worth about $686,000. Russell Investments Group Ltd. raised its holdings in Watsco by 141.7% during the 1st quarter. Russell Investments Group Ltd. now owns 40,734 shares of the construction company's stock worth $20,706,000 after purchasing an additional 23,879 shares during the last quarter. Finally, Resona Asset Management Co. Ltd. lifted its holdings in Watsco by 2.7% in the first quarter. Resona Asset Management Co. Ltd. now owns 11,566 shares of the construction company's stock valued at $5,871,000 after buying an additional 309 shares during the period. Institutional investors own 89.71% of the company's stock.

Watsco Price Performance

NYSE WSO traded down $7.41 on Friday, hitting $414.21. 336,426 shares of the stock were exchanged, compared to its average volume of 364,131. The business's fifty day moving average is $447.06 and its 200 day moving average is $471.51. Watsco, Inc. has a 52 week low of $403.01 and a 52 week high of $571.41. The company has a market capitalization of $16.78 billion, a PE ratio of 31.76 and a beta of 0.95.

Watsco (NYSE:WSO - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The construction company reported $4.52 EPS for the quarter, missing the consensus estimate 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 during the quarter, compared to analyst estimates of $2.24 billion. During the same quarter in the prior year, the firm earned $4.49 earnings per share. Watsco's revenue for the quarter was down 3.6% on a year-over-year basis. Analysts predict that Watsco, Inc. will post 14.62 EPS for the current fiscal year.

Watsco Announces Dividend

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

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. Mizuho set a $490.00 target price on shares of Watsco in a research report on Thursday, April 24th. UBS Group reduced their target price on shares of Watsco from $455.00 to $450.00 and set a "neutral" rating for the company in a research note on Wednesday, June 25th. Morgan Stanley set a $505.00 target price on Watsco in a report on Wednesday, July 2nd. Wall Street Zen upgraded Watsco from a "sell" rating to a "hold" rating in a research note on Friday, May 9th. Finally, Robert W. Baird lowered their price target on shares of Watsco from $560.00 to $540.00 and set an "outperform" rating on the stock in a research note on Thursday, April 24th. Seven analysts have rated the stock with a hold rating and one has assigned a buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $484.17.

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.