Watsco (NYSE:WSO) Hits New 52-Week High – Still a Buy?

Shares of Watsco, Inc. (NYSE:WSO) hit a new 52-week high during mid-day trading on Thursday . The company traded as high as $546.27 and last traded at $545.95, with a volume of 69586 shares changing hands. The stock had previously closed at $533.40.

Analyst Upgrades and Downgrades

Several brokerages have commented on WSO. Robert W. Baird dropped their target price on shares of Watsco from $550.00 to $540.00 and set an “outperform” rating for the company in a research report on Thursday, October 24th. JPMorgan Chase & Co. upped their price objective on Watsco from $420.00 to $425.00 and gave the company a “neutral” rating in a report on Wednesday, July 31st.

Watsco Stock Up 2.6 %

The company’s fifty day simple moving average is $496.90 and its two-hundred day simple moving average is $484.03. The company has a market capitalization of $22.10 billion, a price-to-earnings ratio of 41.84 and a beta of 0.88.

Watsco (NYSE:WSO) last issued its quarterly earnings data on Wednesday, October 23rd. The construction company reported $4.22 EPS for the quarter, missing the consensus estimate of $4.73 by ($0.51). Watsco had a return on equity of 17.77% and a net margin of 6.99%. The business had revenue of $2.16 billion for the quarter, compared to analyst estimates of $2.24 billion. During the same period in the previous year, the business posted $4.35 EPS. The business’s quarterly revenue was up 1.6% compared to the same quarter last year. Equities research analysts expect that Watsco, Inc. will post 13.06 earnings per share for the current year.

Watsco Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 31st. Investors of record on Wednesday, October 16th were given a $2.70 dividend. The ex-dividend date was Wednesday, October 16th. This represents a $10.80 annualized dividend and a dividend yield of 1.97%. Watsco’s dividend payout ratio is presently 83.46%.

Institutional Investors Weigh In On Watsco

Several large investors have recently made changes to their positions in the stock. O Shaughnessy Asset Management LLC grew its holdings in shares of Watsco by 32.5% during the first quarter. O Shaughnessy Asset Management LLC now owns 1,633 shares of the construction company’s stock worth $705,000 after buying an additional 401 shares in the last quarter. UniSuper Management Pty Ltd lifted its position in shares of Watsco by 66.7% in the first quarter. UniSuper Management Pty Ltd now owns 500 shares of the construction company’s stock worth $216,000 after purchasing an additional 200 shares in the last quarter. Bessemer Group Inc. boosted its holdings in Watsco by 159.0% during the first quarter. Bessemer Group Inc. now owns 202 shares of the construction company’s stock worth $87,000 after purchasing an additional 124 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund bought a new position in Watsco in the first quarter valued at $491,000. Finally, InterOcean Capital Group LLC increased its stake in Watsco by 5.9% in the 1st quarter. InterOcean Capital Group LLC now owns 570 shares of the construction company’s stock valued at $246,000 after buying an additional 32 shares during the last quarter. 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.