Q3 2024 EPS Estimates for Watsco, Inc. (NYSE:WSO) Cut by Analyst

Watsco, Inc. (NYSE:WSO) – William Blair dropped their Q3 2024 earnings per share (EPS) estimates for Watsco in a research report issued to clients and investors on Tuesday, July 30th. William Blair analyst R. Merkel now expects that the construction company will post earnings per share of $4.77 for the quarter, down from their previous estimate of $5.17. The consensus estimate for Watsco’s current full-year earnings is $14.03 per share. William Blair also issued estimates for Watsco’s Q4 2024 earnings at $2.29 EPS and FY2024 earnings at $13.74 EPS.

Watsco (NYSE:WSO) last posted its earnings results on Tuesday, July 30th. The construction company reported $4.49 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $4.70 by ($0.21). Watsco had a net margin of 7.02% and a return on equity of 18.55%. The firm had revenue of $2.10 billion during the quarter, compared to analyst estimates of $2.19 billion. During the same quarter in the previous year, the business posted $4.42 earnings per share. The business’s quarterly revenue was up 5.0% compared to the same quarter last year.

WSO has been the topic of several other reports. 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 note on Wednesday. Stephens reaffirmed an “overweight” rating and issued a $500.00 price target on shares of Watsco in a research note on Thursday, April 25th. Finally, Robert W. Baird upped their price objective on shares of Watsco from $460.00 to $522.00 and gave the company an “outperform” rating in a research report on Wednesday. One research analyst has rated the stock with a sell rating, three have assigned a hold rating and three have given a buy rating to the stock. Based on data from MarketBeat, Watsco has a consensus rating of “Hold” and an average price target of $433.71.

Watsco Price Performance

NYSE:WSO opened at $467.10 on Thursday. The firm has a market cap of $18.82 billion, a PE ratio of 35.93 and a beta of 0.88. Watsco has a 12 month low of $337.58 and a 12 month high of $520.41. The company’s 50-day moving average price is $481.48 and its two-hundred day moving average price is $441.91. The company has a quick ratio of 1.31, a current ratio of 3.21 and a debt-to-equity ratio of 0.01.

Institutional Trading of Watsco

A number of large investors have recently modified their holdings of WSO. EntryPoint Capital LLC increased its position in shares of Watsco by 100.0% during the 1st quarter. EntryPoint Capital LLC now owns 58 shares of the construction company’s stock valued at $25,000 after purchasing an additional 29 shares during the last quarter. Wetzel Investment Advisors Inc. bought a new stake in Watsco in the fourth quarter worth $25,000. First PREMIER Bank purchased a new stake in Watsco during the first quarter valued at about $25,000. Cullen Frost Bankers Inc. bought a new position in shares of Watsco during the fourth quarter valued at about $28,000. Finally, ORG Partners LLC purchased a new position in shares of Watsco in the first quarter worth about $31,000. Institutional investors own 89.71% of the company’s stock.

Insider Buying and Selling at Watsco

In related news, Director John Alexander Macdonald sold 5,334 shares of the business’s stock in a transaction on Thursday, May 9th. The stock was sold at an average price of $466.41, for a total transaction of $2,487,830.94. The sale was disclosed in a document filed with the SEC, which is accessible through this link. In related news, EVP Barry S. Logan sold 774 shares of the company’s stock in a transaction that occurred on Friday, May 10th. The shares were sold at an average price of $473.85, for a total transaction of $366,759.90. Following the sale, the executive vice president now directly owns 1,770 shares in the company, valued at approximately $838,714.50. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director John Alexander Macdonald sold 5,334 shares of the firm’s stock in a transaction dated Thursday, May 9th. The stock was sold at an average price of $466.41, for a total value of $2,487,830.94. The disclosure for this sale can be found here. Company insiders own 12.86% of the company’s stock.

Watsco Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 31st. Investors of record on Tuesday, July 16th were given a dividend of $2.70 per share. The ex-dividend date was Tuesday, July 16th. This represents a $10.80 annualized dividend and a dividend yield of 2.31%. Watsco’s dividend payout ratio is 83.08%.

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.