Watsco (NYSE:WSO) Coverage Initiated by Analysts at Raymond James

Raymond James initiated coverage on shares of Watsco (NYSE:WSO) in a research report released on Friday morning, Marketbeat Ratings reports. The brokerage issued a market perform rating on the construction company’s stock.

Other research analysts have also recently issued research reports about the company. Robert W. Baird cut their price objective on Watsco from $550.00 to $540.00 and set an “outperform” rating on the stock in a research report on Thursday, October 24th. Northcoast Research assumed coverage on shares of Watsco in a report on Friday, November 22nd. They issued a “neutral” rating on the stock. Three investment analysts have rated the stock with a hold rating and two have assigned a buy rating to the company’s stock. According to MarketBeat, Watsco presently has an average rating of “Hold” and a consensus price target of $488.33.

Watsco Price Performance

WSO opened at $496.92 on Friday. Watsco has a fifty-two week low of $373.33 and a fifty-two week high of $571.41. The firm has a market capitalization of $20.07 billion, a P/E ratio of 38.40 and a beta of 0.95. The company’s 50-day moving average is $508.48 and its 200 day moving average is $492.31.

Watsco (NYSE:WSO) last posted its earnings results on Wednesday, October 23rd. The construction company reported $4.22 EPS for the quarter, missing the consensus estimate of $4.73 by ($0.51). The firm had revenue of $2.16 billion for the quarter, compared to the consensus estimate of $2.24 billion. Watsco had a return on equity of 17.77% and a net margin of 6.99%. Watsco’s quarterly revenue was up 1.6% compared to the same quarter last year. During the same period in the prior year, the business earned $4.35 EPS. On average, equities research analysts expect that Watsco will post 12.97 earnings per share for the current year.

Watsco Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, January 31st. Shareholders of record on Friday, January 17th will be paid a $2.70 dividend. The ex-dividend date is Friday, January 17th. This represents a $10.80 annualized dividend and a dividend yield of 2.17%. Watsco’s payout ratio is presently 83.46%.

Insider Activity

In related news, EVP Barry S. Logan sold 10,998 shares of the business’s stock in a transaction dated Wednesday, December 18th. The stock was sold at an average price of $508.21, for a total value of $5,589,293.58. The sale was disclosed in a legal filing with the SEC, which is available through this link. Insiders own 12.86% of the company’s stock.

Hedge Funds Weigh In On Watsco

Several large investors have recently modified their holdings of WSO. Quarry LP bought a new position in Watsco in the 2nd quarter worth approximately $26,000. Ashton Thomas Securities LLC purchased a new stake in shares of Watsco during the third quarter worth $43,000. Massmutual Trust Co. FSB ADV boosted its holdings in shares of Watsco by 30.6% in the third quarter. Massmutual Trust Co. FSB ADV now owns 94 shares of the construction company’s stock worth $46,000 after acquiring an additional 22 shares during the period. Brooklyn Investment Group purchased a new position in shares of Watsco in the third quarter valued at $48,000. Finally, MCF Advisors LLC raised its stake in shares of Watsco by 27.8% during the 3rd quarter. MCF Advisors LLC now owns 115 shares of the construction company’s stock valued at $57,000 after purchasing an additional 25 shares during the period. Hedge funds and other institutional investors own 89.71% of the company’s stock.

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.