Watsco, Inc. (NYSE:WSO) Shares Purchased by Townsquare Capital LLC

Key Points

• Townsquare Capital LLC increased its stake in Watsco, Inc. by 3.5% during the first quarter, acquiring an additional 859 shares, bringing its total holdings to 25,071 shares valued at approximately $12.74 million.
• Watsco's recent earnings report revealed an EPS of $4.52, missing the consensus estimate by $0.32, with a revenue of $2.06 billion, down 3.6% year over year.
• The company announced a $3.00 quarterly dividend, with a yield of 2.9% and a payout ratio of 92.02%, aimed at rewarding stockholders.

Townsquare Capital LLC lifted its holdings in shares of Watsco, Inc. (NYSE:WSO - Free Report) by 3.5% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 25,071 shares of the construction company's stock after acquiring an additional 859 shares during the quarter. Townsquare Capital LLC owned about 0.06% of Watsco worth $12,743,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Manitou Investment Management Ltd. acquired a new position in Watsco in the 1st quarter worth $25,000. Opal Wealth Advisors LLC acquired a new position in Watsco in the 1st quarter worth $25,000. TCTC Holdings LLC lifted its holdings in Watsco by 115.4% in the 1st quarter. TCTC Holdings LLC now owns 56 shares of the construction company's stock worth $28,000 after buying an additional 30 shares in the last quarter. City Holding Co. acquired a new position in Watsco in the 1st quarter worth $29,000. Finally, Rossby Financial LCC acquired a new position in Watsco in the 1st quarter worth $33,000. Institutional investors and hedge funds own 89.71% of the company's stock.

Watsco Price Performance

Shares of NYSE:WSO traded up $7.02 during trading on Tuesday, reaching $422.56. 227,416 shares of the company's stock traded hands, compared to its average volume of 303,461. Watsco, Inc. has a 12 month low of $403.01 and a 12 month high of $571.41. The company has a 50 day moving average of $448.80 and a 200-day moving average of $473.11. The stock has a market capitalization of $17.12 billion, a P/E ratio of 32.40 and a beta of 0.95.

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

Watsco Dividend Announcement

The company also recently announced 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 2.8%. The ex-dividend date of this dividend was Wednesday, July 16th. Watsco's payout ratio is presently 92.02%.

Analysts Set New Price Targets

Several research firms have recently weighed in on WSO. Morgan Stanley set a $505.00 target price on shares of Watsco in a research report on Wednesday, July 2nd. Robert W. Baird dropped their target price on shares of Watsco from $560.00 to $540.00 and set an "outperform" rating for the company in a research report on Thursday, April 24th. UBS Group dropped their target price 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. Mizuho set a $490.00 target price on shares of Watsco in a research report on Thursday, April 24th. Finally, Wall Street Zen raised shares of 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 company's stock. According to data from MarketBeat.com, Watsco has an average rating of "Hold" and an average target price 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.