UBS Group Cuts Watsco (NYSE:WSO) Price Target to $450.00

Watsco (NYSE:WSO) had its price target cut by UBS Group from $455.00 to $450.00 in a research report report published on Wednesday,Benzinga reports. They currently have a neutral rating on the construction company’s stock.

Other analysts also recently issued reports about the company. Loop Capital upped their price objective on Watsco from $450.00 to $460.00 and gave the company a “hold” rating in a research report on Thursday, February 27th. Wall Street Zen upgraded Watsco from a “sell” rating to a “hold” rating in a research report on Friday, May 9th. JPMorgan Chase & Co. upped their price objective on Watsco from $445.00 to $460.00 and gave the company a “neutral” rating in a research report on Tuesday, May 27th. Mizuho set a $490.00 price objective on Watsco in a research report on Thursday, April 24th. Finally, Robert W. Baird reduced their price objective on Watsco from $560.00 to $540.00 and set an “outperform” rating on the stock in a research report on Thursday, April 24th. Seven investment analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $485.83.

Watsco Stock Performance

WSO opened at $435.58 on Wednesday. The business’s fifty day moving average is $454.41 and its two-hundred day moving average is $479.70. The company has a market cap of $17.65 billion, a price-to-earnings ratio of 33.48 and a beta of 1.06. Watsco has a one year low of $418.31 and a one year high of $571.42.

Watsco (NYSE:WSO) last posted 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). The firm had revenue of $1.53 billion for the quarter, compared to analysts’ expectations of $1.66 billion. Watsco had a return on equity of 17.13% and a net margin of 6.98%. The firm’s revenue for the quarter was down 2.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.17 earnings per share. On average, analysts predict that Watsco will post 14.62 EPS for the current fiscal year.

Watsco Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, April 30th. Investors of record on Tuesday, April 15th were given a dividend of $3.00 per share. The ex-dividend date of this dividend was Tuesday, April 15th. This is an increase from Watsco’s previous quarterly dividend of $2.70. This represents a $12.00 annualized dividend and a yield of 2.75%. Watsco’s dividend payout ratio is 92.24%.

Hedge Funds Weigh In On Watsco

Several large investors have recently added to or reduced their stakes in WSO. GAMMA Investing LLC lifted its position in Watsco by 89,376.0% during the first quarter. GAMMA Investing LLC now owns 477,802 shares of the construction company’s stock worth $242,867,000 after buying an additional 477,268 shares during the period. Norges Bank purchased a new position in Watsco during the fourth quarter worth about $118,312,000. Lord Abbett & CO. LLC purchased a new stake in shares of Watsco during the 4th quarter worth about $104,533,000. Goldman Sachs Group Inc. raised its holdings in Watsco by 62.8% in the first quarter. Goldman Sachs Group Inc. now owns 468,875 shares of the construction company’s stock valued at $238,329,000 after buying an additional 180,951 shares during the period. Finally, Proficio Capital Partners LLC purchased a new position in Watsco in the fourth quarter valued at approximately $63,603,000. 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.