Watsco (NYSE:WSO) Posts Earnings Results, Misses Estimates By $0.51 EPS

Watsco (NYSE:WSO) posted its quarterly earnings results on Wednesday. The construction company reported $4.22 earnings per share for the quarter, missing the consensus estimate of $4.73 by ($0.51), Briefing.com reports. Watsco had a return on equity of 18.55% and a net margin of 7.02%. The firm had revenue of $2.16 billion for the quarter, compared to the consensus estimate of $2.24 billion. During the same quarter in the previous year, the company posted $4.35 EPS. The firm’s revenue was up 1.6% compared to the same quarter last year.

Watsco Price Performance

Shares of NYSE WSO traded down $2.37 during trading hours on Friday, reaching $475.90. 141,261 shares of the stock traded hands, compared to its average volume of 290,810. The company’s 50-day simple moving average is $481.96 and its two-hundred day simple moving average is $473.32. The company has a market capitalization of $19.18 billion, a P/E ratio of 36.78 and a beta of 0.88. Watsco has a 52-week low of $340.52 and a 52-week high of $520.41. The company has a quick ratio of 1.55, a current ratio of 3.21 and a debt-to-equity ratio of 0.01.

Watsco Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 31st. Stockholders of record on Wednesday, October 16th will be issued a $2.70 dividend. This represents a $10.80 dividend on an annualized basis and a dividend yield of 2.27%. The ex-dividend date of this dividend is Wednesday, October 16th. Watsco’s payout ratio is currently 83.08%.

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on the stock. JPMorgan Chase & Co. lifted their target price on shares of Watsco from $420.00 to $425.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 31st. Robert W. Baird reduced their price target on shares of Watsco from $550.00 to $540.00 and set an “outperform” rating for the company in a research report on Thursday.

Watsco Company Profile

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.