Watsco, Inc. (NYSE:WSO) Receives Average Recommendation of "Hold" from Brokerages

Watsco, Inc. (NYSE:WSO - Get Free Report) has earned a consensus rating of "Hold" from the seven analysts that are covering the company, Marketbeat reports. Six analysts have rated the stock with a hold recommendation and one has issued a buy recommendation on the company. The average twelve-month target price among brokers that have covered the stock in the last year is $485.83.

WSO has been the subject of several recent analyst reports. JPMorgan Chase & Co. lifted their price target on Watsco from $445.00 to $460.00 and gave the company a "neutral" rating in a research note on Tuesday, May 27th. UBS Group cut their price objective on shares of Watsco from $455.00 to $450.00 and set a "neutral" rating for the company in a report on Wednesday, June 25th. Mizuho set a $490.00 price objective on shares of Watsco in a research report on Thursday, April 24th. Morgan Stanley assumed coverage on Watsco in a research report on Monday, April 14th. They issued an "equal weight" rating and a $515.00 target price on the stock. Finally, Wall Street Zen raised shares of Watsco from a "sell" rating to a "hold" rating in a research report on Friday, May 9th.

Watsco Price Performance

Watsco stock traded up $1.23 during midday trading on Wednesday, reaching $456.82. The company's stock had a trading volume of 288,148 shares, compared to its average volume of 259,838. The stock's 50-day simple moving average is $452.37 and its 200-day simple moving average is $478.61. The stock has a market capitalization of $18.51 billion, a P/E ratio of 35.11 and a beta of 1.04. Watsco has a 52-week low of $418.31 and a 52-week high of $571.42.

Watsco (NYSE:WSO - Get Free Report) last released its earnings results on Wednesday, April 23rd. The construction company reported $1.93 EPS for the quarter, missing analysts' consensus estimates of $2.29 by ($0.36). Watsco had a return on equity of 17.13% and a net margin of 6.98%. The firm had revenue of $1.53 billion for the quarter, compared to analyst estimates of $1.66 billion. During the same period last year, the firm earned $2.17 EPS. The company's revenue for the quarter was down 2.2% compared to the same quarter last year. As a group, equities research analysts expect that Watsco will post 14.62 earnings per share for the current fiscal year.

Watsco Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, July 31st. Investors of record on Wednesday, July 16th will be paid a $3.00 dividend. This represents a $12.00 dividend on an annualized basis and a yield of 2.63%. Watsco's payout ratio is currently 92.24%.

Hedge Funds Weigh In On Watsco

Several large investors have recently added to or reduced their stakes in the business. AG2R LA Mondiale Gestion D Actifs purchased a new stake in Watsco during the 1st quarter worth $1,459,000. Voya Investment Management LLC boosted its position in shares of 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 buying an additional 3,045 shares during the period. Inspire Investing LLC grew its stake in shares of Watsco by 3.1% in the first quarter. Inspire Investing LLC now owns 4,278 shares of the construction company's stock valued at $2,175,000 after buying an additional 127 shares in the last quarter. Modern Wealth Management LLC raised 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 valued at $378,000 after buying an additional 107 shares during the period. Finally, Strs Ohio acquired a new position in Watsco during the 1st quarter worth approximately $1,242,000. 89.71% of the stock is currently owned by hedge funds and other institutional investors.

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.