Swedbank AB Trims Stake in Watsco, Inc. $WSO

Key Points

• Swedbank AB has reduced its stake in Watsco, Inc. by 27.1%, selling 28,100 shares, and now owns approximately 0.19% of the company valued at $38.49 million.
• Watsco reported earnings of $4.52 per share for the last quarter, missing estimates by $0.32, with revenue down 3.6% year-over-year at $2.06 billion.
• The firm announced a quarterly dividend of $3.00 per share, representing an annualized dividend of $12.00 and a yield of 3.1%.

Swedbank AB reduced its holdings in Watsco, Inc. (NYSE:WSO - Free Report) by 27.1% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 75,731 shares of the construction company's stock after selling 28,100 shares during the quarter. Swedbank AB owned 0.19% of Watsco worth $38,494,000 at the end of the most recent quarter.

Other large investors have also made changes to their positions in the company. Voya Investment Management LLC boosted its holdings in Watsco by 23.1% in the first quarter. Voya Investment Management LLC now owns 16,218 shares of the construction company's stock worth $8,244,000 after purchasing an additional 3,045 shares in the last quarter. Inspire Investing LLC lifted its holdings in shares of Watsco by 3.1% during the 1st quarter. Inspire Investing LLC now owns 4,278 shares of the construction company's stock worth $2,175,000 after acquiring an additional 127 shares during the period. Modern Wealth Management LLC lifted its holdings in shares of Watsco by 16.8% during the 1st quarter. Modern Wealth Management LLC now owns 744 shares of the construction company's stock worth $378,000 after acquiring an additional 107 shares during the period. Strs Ohio bought a new stake in shares of Watsco in the 1st quarter worth about $1,242,000. Finally, Carderock Capital Management Inc. grew its holdings in shares of Watsco by 7.7% in the 1st quarter. Carderock Capital Management Inc. now owns 13,848 shares of the construction company's stock worth $7,039,000 after purchasing an additional 996 shares during the last quarter. Institutional investors and hedge funds own 89.71% of the company's stock.

Watsco Trading Up 1.2%

Shares of WSO traded up $4.44 on Monday, reaching $386.38. The company's stock had a trading volume of 566,524 shares, compared to its average volume of 364,822. Watsco, Inc. has a twelve month low of $378.35 and a twelve month high of $571.41. The stock has a market capitalization of $15.67 billion, a PE ratio of 29.63 and a beta of 0.96. The firm has a fifty day moving average of $432.28 and a 200-day moving average of $458.92.

Watsco (NYSE:WSO - Get Free Report) last released its 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 company had revenue of $2.06 billion for the quarter, compared to the consensus estimate of $2.24 billion. Watsco had a net margin of 7.08% and a return on equity of 16.96%. The firm's revenue was down 3.6% on a year-over-year basis. During the same period in the prior year, the company earned $4.49 earnings per share. As a group, equities analysts anticipate that Watsco, Inc. will post 14.62 EPS for the current fiscal year.

Watsco Dividend Announcement

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

Analyst Upgrades and Downgrades

WSO has been the subject of several research reports. UBS Group lowered their price objective on shares of 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. lifted their price target on shares of Watsco from $445.00 to $460.00 and gave the company a "neutral" rating in a research note on Tuesday, May 27th. Finally, Morgan Stanley set a $505.00 target price on shares of Watsco in a report on Wednesday, July 2nd. One investment analyst has rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $484.17.

About Watsco

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.