Comfort Systems USA (NYSE:FIX) Share Price Crosses Above Two Hundred Day Moving Average - Should You Sell?

Key Points

• Comfort Systems USA shares briefly crossed above their 200-day moving average of $1,708.46, reaching $1,712.60 before trading near $1,663.68.
• Analysts remain broadly bullish, with a consensus “Buy” rating and an average price target of $2,082.86, despite one downgrade to “Hold.”
• The company reported strong quarterly results, including EPS of $12.53 versus $10.45 expected and 50.3% year-over-year revenue growth, while raising its quarterly dividend to $0.90; however, insiders sold more than $43 million in stock over the past 90 days.

Shares of Comfort Systems USA, Inc. (NYSE:FIX - Get Free Report) passed above its 200-day moving average during trading on Tuesday. The stock has a 200-day moving average of $1,708.46 and traded as high as $1,712.60. Comfort Systems USA shares last traded at $1,663.6780, with a volume of 274,536 shares traded.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on FIX shares. The Goldman Sachs Group began coverage on Comfort Systems USA in a report on Thursday, July 9th. They issued a "buy" rating and a $2,159.00 price target on the stock. Weiss Ratings cut Comfort Systems USA from a "buy (b)" rating to a "buy (b-)" rating in a report on Friday, September 11th. KeyCorp upped their target price on shares of Comfort Systems USA from $2,004.00 to $2,110.00 and gave the company an "overweight" rating in a research report on Monday, July 27th. DA Davidson began coverage on shares of Comfort Systems USA in a research note on Friday, August 21st. They issued a "buy" rating and a $2,100.00 target price on the stock. Finally, Erste Group Bank lowered shares of Comfort Systems USA from a "buy" rating to a "hold" rating in a research note on Wednesday, July 15th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, Comfort Systems USA has a consensus rating of "Buy" and an average price target of $2,082.86.

Comfort Systems USA Stock Performance

The company has a current ratio of 1.21, a quick ratio of 1.19 and a debt-to-equity ratio of 0.02. The company has a market cap of $58.54 billion, a price-to-earnings ratio of 40.92 and a beta of 1.67. The stock has a 50 day moving average price of $1,659.87 and a two-hundred day moving average price of $1,708.46.

Comfort Systems USA (NYSE:FIX - Get Free Report) last announced its quarterly earnings data on Thursday, July 23rd. The construction company reported $12.53 EPS for the quarter, topping analysts' consensus estimates of $10.45 by $2.08. The business had revenue of $3.27 billion during the quarter, compared to analysts' expectations of $2.99 billion. Comfort Systems USA had a return on equity of 53.55% and a net margin of 12.77%.The firm's quarterly revenue was up 50.3% compared to the same quarter last year. During the same period in the previous year, the firm earned $6.53 earnings per share. Analysts predict that Comfort Systems USA, Inc. will post 48.15 EPS for the current year.

Comfort Systems USA Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, August 24th. Stockholders of record on Thursday, August 13th were paid a $0.90 dividend. This is a boost from Comfort Systems USA's previous quarterly dividend of $0.80. The ex-dividend date of this dividend was Thursday, August 13th. This represents a $3.60 dividend on an annualized basis and a dividend yield of 0.2%. Comfort Systems USA's dividend payout ratio (DPR) is currently 8.85%.

Insider Activity at Comfort Systems USA

In related news, CFO William George, III sold 2,554 shares of the company's stock in a transaction on Monday, August 17th. The shares were sold at an average price of $1,859.65, for a total value of $4,749,546.10. Following the completion of the sale, the chief financial officer owned 30,250 shares in the company, valued at $56,254,412.50. This represents a 7.79% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Franklin Myers sold 4,000 shares of the business's stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $1,693.92, for a total value of $6,775,680.00. Following the completion of the transaction, the director directly owned 8,495 shares of the company's stock, valued at approximately $14,389,850.40. The trade was a 32.01% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 26,078 shares of company stock worth $43,211,828 in the last ninety days. Company insiders own 1.24% of the company's stock.

Institutional Trading of Comfort Systems USA

A number of large investors have recently bought and sold shares of FIX. Jones Financial Companies Lllp acquired a new position in shares of Comfort Systems USA in the second quarter valued at approximately $26,000. Avalon Trust Co acquired a new stake in shares of Comfort Systems USA during the second quarter worth $32,000. Field & Main Bank acquired a new stake in shares of Comfort Systems USA during the second quarter worth $32,000. Carolina Wealth Advisors LLC lifted its position in Comfort Systems USA by 63.6% in the 2nd quarter. Carolina Wealth Advisors LLC now owns 18 shares of the construction company's stock valued at $36,000 after acquiring an additional 7 shares in the last quarter. Finally, JNBA Financial Advisors bought a new stake in Comfort Systems USA in the 2nd quarter valued at $42,000. 96.51% of the stock is owned by institutional investors.

Comfort Systems USA Company Profile

Comfort Systems USA, Inc NYSE: FIX provides mechanical, electrical, and other contracting services for commercial, industrial, and institutional customers. Its work supports the construction, renovation, and ongoing operation of facilities such as office buildings, hospitals, schools, data centers, manufacturing plants, and other complex infrastructure.

The company's services include heating, ventilation, and air conditioning; plumbing and piping; electrical contracting; building automation and controls; and related specialty services.

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