Sumitomo Mitsui DS Asset Management Company Ltd Has $13.90 Million Stock Holdings in Watsco, Inc. $WSO

Key Points

• Sumitomo Mitsui DS Asset Management Company Ltd increased its stake in Watsco, Inc. by 45.5% in Q2, bringing its total ownership to $13.90 million and 31,465 shares.
• Watsco's recent quarterly earnings reported an EPS of $4.52, which fell short of estimates, alongside a revenue decline of 3.6% year-over-year.
• The company declared a quarterly dividend of $3.00, resulting in a dividend yield of 3.1% with a payout ratio of 92.02%.

Sumitomo Mitsui DS Asset Management Company Ltd raised its position in shares of Watsco, Inc. (NYSE:WSO - Free Report) by 45.5% in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 31,465 shares of the construction company's stock after acquiring an additional 9,835 shares during the period. Sumitomo Mitsui DS Asset Management Company Ltd owned approximately 0.08% of Watsco worth $13,896,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently modified their holdings of the stock. Opal Wealth Advisors LLC purchased a new position in Watsco in the first quarter valued at about $25,000. Manitou Investment Management Ltd. acquired a new stake in shares of Watsco during the 1st quarter worth approximately $25,000. WPG Advisers LLC acquired a new stake in shares of Watsco during the 1st quarter worth approximately $25,000. TCTC Holdings LLC raised its position in shares of Watsco by 115.4% during the 1st quarter. TCTC Holdings LLC now owns 56 shares of the construction company's stock worth $28,000 after purchasing an additional 30 shares during the period. Finally, City Holding Co. bought a new position in Watsco in the 1st quarter worth approximately $29,000. Hedge funds and other institutional investors own 89.71% of the company's stock.

Watsco Stock Performance

NYSE WSO traded up $1.97 during trading on Monday, reaching $391.82. 1,015,192 shares of the company traded hands, compared to its average volume of 418,406. The stock's 50 day moving average price is $424.22 and its two-hundred day moving average price is $455.13. The company has a market cap of $15.89 billion, a price-to-earnings ratio of 30.05 and a beta of 0.96. Watsco, Inc. has a 1-year low of $378.35 and a 1-year high of $571.41.

Watsco (NYSE:WSO - Get Free Report) last announced its earnings results 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 return on equity of 16.96% and a net margin of 7.08%.The business had revenue of $2.06 billion during the quarter, compared to analyst estimates of $2.24 billion. During the same period in the previous year, the firm earned $4.49 earnings per share. The firm's revenue was down 3.6% compared to the same quarter last year. Equities research analysts expect that Watsco, Inc. will post 14.62 EPS for the current fiscal year.

Watsco Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, July 31st. Shareholders of record on Wednesday, July 16th were given a dividend of $3.00 per share. The ex-dividend date was Wednesday, July 16th. This represents a $12.00 annualized dividend and a dividend yield of 3.1%. Watsco's payout ratio is presently 92.02%.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on WSO shares. UBS Group decreased their price objective on Watsco from $455.00 to $450.00 and set a "neutral" rating for the company in a report on Wednesday, June 25th. Morgan Stanley set a $505.00 price objective on Watsco in a research note on Wednesday, July 2nd. Finally, JPMorgan Chase & Co. increased their target price on Watsco from $445.00 to $460.00 and gave the company a "neutral" rating in a report on Tuesday, May 27th. One equities research analyst has rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. According to MarketBeat, the stock has a consensus 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.