Watsco (NYSE:WSO) Hits New 52-Week Low - What's Next?

Watsco, Inc. (NYSE:WSO - Get Free Report)'s share price reached a new 52-week low on Thursday . The company traded as low as $435.58 and last traded at $438.17, with a volume of 57155 shares. The stock had previously closed at $442.76.

Analyst Ratings Changes

WSO has been the subject of several recent research reports. Mizuho set a $490.00 price target on Watsco in a research report on Thursday, April 24th. Morgan Stanley initiated coverage on Watsco in a research note on Monday, April 14th. They set an "equal weight" rating and a $515.00 price target on the stock. UBS Group cut their price target on shares of Watsco from $475.00 to $455.00 and set a "neutral" rating on the stock in a report on Thursday, April 24th. JPMorgan Chase & Co. raised their price target on shares of Watsco from $445.00 to $460.00 and gave the stock a "neutral" rating in a research report on Tuesday. Finally, Loop Capital upped their price target on Watsco from $450.00 to $460.00 and gave the company a "hold" rating in a research report on Thursday, February 27th. Seven research analysts have rated the stock with a hold rating and one has issued a buy rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average price target of $486.67.

Watsco Stock Performance

The stock has a market capitalization of $17.96 billion, a P/E ratio of 33.46 and a beta of 1.11. The stock has a 50-day moving average price of $480.08 and a two-hundred day moving average price of $494.03.

Watsco (NYSE:WSO - Get Free Report) last issued its earnings results on Wednesday, April 23rd. The construction company reported $1.93 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $2.29 by ($0.36). The company had revenue of $1.53 billion for the quarter, compared to analysts' expectations of $1.66 billion. Watsco had a net margin of 7.04% and a return on equity of 17.59%. The firm's revenue for the quarter was down 2.2% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.17 earnings per share. Equities analysts anticipate that Watsco, Inc. will post 14.62 earnings per share for the current fiscal year.

Watsco Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, April 30th. Shareholders of record on Tuesday, April 15th were issued a dividend of $3.00 per share. The ex-dividend date of this dividend was Tuesday, April 15th. This is a positive change from Watsco's previous quarterly dividend of $2.70. This represents a $12.00 dividend on an annualized basis and a yield of 2.71%. Watsco's dividend payout ratio is 92.24%.

Hedge Funds Weigh In On Watsco

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. boosted its position in shares of Watsco by 1.5% in the fourth quarter. Vanguard Group Inc. now owns 3,618,109 shares of the construction company's stock worth $1,714,586,000 after acquiring an additional 52,127 shares during the last quarter. Kayne Anderson Rudnick Investment Management LLC raised its stake in shares of Watsco by 0.5% in the 1st quarter. Kayne Anderson Rudnick Investment Management LLC now owns 1,557,610 shares of the construction company's stock worth $791,734,000 after buying an additional 7,760 shares in the last quarter. Charles Schwab Investment Management Inc. raised its holdings in Watsco by 6.0% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,454,512 shares of the construction company's stock worth $739,088,000 after buying an additional 82,977 shares during the period. Blair William & Co. IL grew its stake in Watsco by 5.7% during the 1st quarter. Blair William & Co. IL now owns 814,712 shares of the construction company's stock valued at $414,118,000 after acquiring an additional 43,776 shares in the last quarter. Finally, Geode Capital Management LLC increased its position in Watsco by 3.0% in the 4th quarter. Geode Capital Management LLC now owns 725,186 shares of the construction company's stock worth $343,168,000 after purchasing an additional 20,856 shares during the last quarter. Institutional investors and hedge funds own 89.71% of the company's stock.

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.