Stevens Capital Management LP Invests $315,000 in Watsco, Inc. (NYSE:WSO)

Key Points

• Stevens Capital Management LP made a new investment in Watsco, Inc. with the purchase of 619 shares valued at $315,000 during the first quarter of the year.
• Watsco recently announced a quarterly dividend of $3.00 per share, representing an annualized dividend of $12.00 and a yield of 2.45%.
• In its latest earnings report, Watsco's EPS was $1.93, missing analyst estimates of $2.29, with revenues declining 2.2% year-over-year.

Stevens Capital Management LP purchased a new position in shares of Watsco, Inc. (NYSE:WSO - Free Report) during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund purchased 619 shares of the construction company's stock, valued at approximately $315,000.

Other institutional investors have also modified their holdings of the company. Manitou Investment Management Ltd. purchased a new stake in shares of Watsco during the 1st quarter worth approximately $25,000. Opal Wealth Advisors LLC purchased a new stake in Watsco in the 1st quarter valued at approximately $25,000. City Holding Co. purchased a new stake in Watsco in the 1st quarter valued at approximately $29,000. Rossby Financial LCC purchased a new stake in Watsco in the 1st quarter valued at approximately $33,000. Finally, ST Germain D J Co. Inc. lifted its stake in Watsco by 260.0% in the 1st quarter. ST Germain D J Co. Inc. now owns 72 shares of the construction company's stock valued at $37,000 after buying an additional 52 shares in the last quarter. Hedge funds and other institutional investors own 89.71% of the company's stock.

Wall Street Analysts Forecast Growth

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

Watsco Trading Down 4.6%

Shares of Watsco stock traded down $21.26 during trading hours on Wednesday, reaching $443.56. 510,586 shares of the company's stock were exchanged, compared to its average volume of 294,596. Watsco, Inc. has a 52-week low of $418.31 and a 52-week high of $571.41. The firm has a market capitalization of $17.97 billion, a price-to-earnings ratio of 34.12 and a beta of 1.04. The company has a fifty day moving average of $452.92 and a 200-day moving average of $477.33.

Watsco (NYSE:WSO - Get Free Report) last issued its quarterly earnings results 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). The business had revenue of $2.06 billion for the quarter, compared to analysts' expectations of $2.24 billion. Watsco had a return on equity of 17.13% and a net margin of 6.98%. The company's revenue for the quarter was down 3.6% compared to the same quarter last year. During the same period in the prior year, the company earned $4.49 EPS. On average, equities research analysts anticipate that Watsco, Inc. will post 14.62 earnings per share for the current fiscal year.

Watsco Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, July 31st. Stockholders of record on Wednesday, July 16th will be issued a dividend of $3.00 per share. The ex-dividend date is Wednesday, July 16th. This represents a $12.00 dividend on an annualized basis and a dividend yield of 2.71%. Watsco's payout ratio is 92.24%.

Watsco 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.