Watsco (NYSE:WSO) Earns Neutral Rating from Analysts at Northcoast Research

Northcoast Research started coverage on shares of Watsco (NYSE:WSO - Free Report) in a report issued on Friday morning, Marketbeat Ratings reports. The firm issued a neutral rating on the construction company's stock.

A number of other equities analysts have also commented on the stock. Robert W. Baird decreased their price target on shares of Watsco from $550.00 to $540.00 and set an "outperform" rating on the stock in a report on Thursday, October 24th. JPMorgan Chase & Co. increased their price target on shares of Watsco from $420.00 to $425.00 and gave the company a "neutral" rating in a research report on Wednesday, July 31st. Two analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, Watsco presently has a consensus rating of "Moderate Buy" and an average price target of $491.25.

Watsco Stock Up 1.6 %

Shares of WSO stock traded up $8.55 on Friday, reaching $554.79. The company's stock had a trading volume of 161,361 shares, compared to its average volume of 281,481. Watsco has a 12-month low of $373.33 and a 12-month high of $555.42. The stock's 50 day simple moving average is $498.42 and its 200-day simple moving average is $484.47. The company has a market capitalization of $22.40 billion, a P/E ratio of 42.29 and a beta of 0.88.

Watsco (NYSE:WSO - Get Free Report) last released its quarterly earnings results on Wednesday, October 23rd. The construction company reported $4.22 earnings per share for the quarter, missing the consensus estimate of $4.73 by ($0.51). The business had revenue of $2.16 billion during the quarter, compared to analysts' expectations of $2.24 billion. Watsco had a net margin of 6.99% and a return on equity of 17.77%. The business's revenue was up 1.6% on a year-over-year basis. During the same period in the previous year, the business earned $4.35 EPS. Research analysts expect that Watsco will post 13.06 EPS for the current year.

Watsco Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, October 31st. Stockholders of record on Wednesday, October 16th were given a $2.70 dividend. The ex-dividend date of this dividend was Wednesday, October 16th. This represents a $10.80 annualized dividend and a dividend yield of 1.95%. Watsco's dividend payout ratio is 83.46%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in WSO. EverSource Wealth Advisors LLC increased its stake in shares of Watsco by 256.3% in the 1st quarter. EverSource Wealth Advisors LLC now owns 3,374 shares of the construction company's stock worth $1,510,000 after acquiring an additional 2,427 shares in the last quarter. Healthcare of Ontario Pension Plan Trust Fund purchased a new stake in shares of Watsco in the 1st quarter worth approximately $491,000. Gateway Investment Advisers LLC bought a new position in Watsco during the 2nd quarter valued at approximately $2,109,000. Markel Group Inc. raised its stake in Watsco by 0.9% during the second quarter. Markel Group Inc. now owns 571,250 shares of the construction company's stock valued at $264,626,000 after buying an additional 5,000 shares during the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. boosted its holdings in Watsco by 1.7% in the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 64,758 shares of the construction company's stock worth $31,853,000 after acquiring an additional 1,074 shares in the last quarter. 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.