Watsco, Inc. $WSO Shares Acquired by Vision Capital Management Inc.

Key Points

• Vision Capital Management Inc. increased its stake in Watsco, Inc. by 5.6% during the second quarter, holding 18,847 shares valued at approximately $8.3 million, making Watsco its 25th largest holding.
• Watsco's latest earnings reported earnings per share of $4.52, missing estimates, and a revenue of $2.06 billion, down 3.6% year-over-year.
• The company announced a $3.00 quarterly dividend, representing a 3.0% yield, with a high dividend payout ratio of 92.02%.

Vision Capital Management Inc. grew its stake in Watsco, Inc. (NYSE:WSO - Free Report) by 5.6% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 18,847 shares of the construction company's stock after purchasing an additional 998 shares during the period. Watsco makes up approximately 1.1% of Vision Capital Management Inc.'s portfolio, making the stock its 25th biggest holding. Vision Capital Management Inc.'s holdings in Watsco were worth $8,323,000 at the end of the most recent reporting period.

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

Watsco Price Performance

Shares of WSO stock opened at $393.61 on Friday. The business's fifty day moving average price is $419.41 and its 200 day moving average price is $453.41. Watsco, Inc. has a 1-year low of $378.35 and a 1-year high of $571.41. The firm has a market capitalization of $15.96 billion, a PE ratio of 30.18 and a beta of 0.95.

Watsco (NYSE:WSO - Get Free Report) last posted its earnings results on Wednesday, July 30th. The construction company reported $4.52 earnings per share for the quarter, missing the consensus estimate of $4.84 by ($0.32). The firm had revenue of $2.06 billion during the quarter, compared to analyst estimates of $2.24 billion. Watsco had a net margin of 7.08% and a return on equity of 16.96%. The firm's revenue for the quarter was down 3.6% on a year-over-year basis. During the same period last year, the company posted $4.49 EPS. Equities research analysts expect 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 issued a $3.00 dividend. The ex-dividend date of this dividend was Wednesday, July 16th. This represents a $12.00 annualized dividend and a yield of 3.0%. Watsco's dividend payout ratio is 92.02%.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on the company. UBS Group dropped their target price on Watsco from $450.00 to $425.00 and set a "neutral" rating on the stock in a report on Tuesday. Morgan Stanley set a $505.00 price objective on Watsco in a report on Wednesday, July 2nd. One investment analyst has rated the stock with a Buy rating and six have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus price target of $480.00.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.