UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC Boosts Holdings in Watsco, Inc. $WSO

Key Points

• UBS Asset Management increased its stake in Watsco, Inc. by 11.3%, acquiring an additional 14,681 shares to bring total ownership to 145,060 shares valued at approximately $73.7 million.
• Watsco reported $4.52 earnings per share in its latest quarterly results, missing analysts' expectations of $4.84, with revenue of $2.06 billion compared to the forecasted $2.24 billion.
• The company announced a quarterly dividend of $3.00 per share, representing an annualized dividend yield of 3.1%.

UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Watsco, Inc. (NYSE:WSO - Free Report) by 11.3% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 145,060 shares of the construction company's stock after acquiring an additional 14,681 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC owned approximately 0.36% of Watsco worth $73,734,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds and other institutional investors also recently bought and sold shares of the stock. GAMMA Investing LLC boosted its position in Watsco by 89,376.0% during the first quarter. GAMMA Investing LLC now owns 477,802 shares of the construction company's stock valued at $242,867,000 after purchasing an additional 477,268 shares in the last quarter. Goldman Sachs Group Inc. boosted its stake in Watsco by 62.8% during the first quarter. Goldman Sachs Group Inc. now owns 468,875 shares of the construction company's stock worth $238,329,000 after buying an additional 180,951 shares during the last quarter. Jacobs Levy Equity Management Inc. acquired a new position in shares of Watsco in the 1st quarter valued at $54,536,000. Charles Schwab Investment Management Inc. raised its holdings in shares of Watsco by 6.0% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,454,512 shares of the construction company's stock valued at $739,088,000 after buying an additional 82,977 shares during the period. Finally, Nuveen LLC purchased a new stake in Watsco during the 1st quarter worth about $41,218,000. Hedge funds and other institutional investors own 89.71% of the company's stock.

Watsco Price Performance

Shares of NYSE WSO traded up $4.44 during mid-day trading on Monday, hitting $386.38. The company had a trading volume of 566,524 shares, compared to its average volume of 364,822. Watsco, Inc. has a 12 month low of $378.35 and a 12 month high of $571.41. The firm has a market cap of $15.67 billion, a P/E ratio of 29.63 and a beta of 0.96. The business's 50-day simple moving average is $432.28 and its 200-day simple moving average is $458.92.

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 (EPS) 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 during the quarter, compared to the consensus estimate of $2.24 billion. During the same period in the previous year, the business posted $4.49 earnings per share. Watsco's revenue was down 3.6% compared to the same quarter last year. As a group, sell-side analysts predict that Watsco, Inc. will post 14.62 EPS for the current year.

Watsco Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, July 31st. Stockholders of record on Wednesday, July 16th were given a dividend of $3.00 per share. The ex-dividend date of this dividend 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%.

Analyst Ratings Changes

A number of brokerages recently issued reports on WSO. UBS Group decreased their target price on 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. raised their price objective on Watsco from $445.00 to $460.00 and gave the company a "neutral" rating in a research report on Tuesday, May 27th. Finally, Morgan Stanley set a $505.00 price objective on Watsco in a report on Wednesday, July 2nd. One research analyst has rated the stock with a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average target price 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.