Zacks: Analysts Anticipate Watsco Inc (WSO) Will Post Earnings of $0.88 Per Share

Analysts forecast that Watsco Inc (NYSE:WSO) will report earnings of $0.88 per share for the current quarter, Zacks reports. Six analysts have made estimates for Watsco’s earnings. The lowest EPS estimate is $0.80 and the highest is $0.93. Watsco reported earnings per share of $0.89 in the same quarter last year, which indicates a negative year-over-year growth rate of 1.1%. The firm is scheduled to announce its next earnings report before the market opens on Tuesday, April 23rd.

On average, analysts expect that Watsco will report full-year earnings of $6.71 per share for the current fiscal year, with EPS estimates ranging from $6.60 to $6.80. For the next financial year, analysts forecast that the firm will post earnings of $7.15 per share, with EPS estimates ranging from $6.88 to $7.35. Zacks Investment Research’s earnings per share calculations are a mean average based on a survey of sell-side analysts that follow Watsco.

Watsco (NYSE:WSO) last posted its earnings results on Thursday, February 14th. The construction company reported $1.02 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.06 by ($0.04). Watsco had a net margin of 5.04% and a return on equity of 14.29%. The business had revenue of $991.32 million during the quarter, compared to analyst estimates of $1.01 billion. During the same period in the previous year, the firm posted $1.19 earnings per share. The firm’s revenue was up 2.8% on a year-over-year basis.

Separately, Zacks Investment Research raised Watsco from a “sell” rating to a “hold” rating in a research report on Monday, February 4th. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating and one has given a buy rating to the company’s stock. The company currently has an average rating of “Hold” and an average target price of $176.00.

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Tompkins Financial Corp raised its position in Watsco by 63.3% in the 1st quarter. Tompkins Financial Corp now owns 178 shares of the construction company’s stock valued at $32,000 after purchasing an additional 69 shares during the last quarter. Enlightenment Research LLC acquired a new position in shares of Watsco during the fourth quarter worth about $42,000. AdvisorNet Financial Inc acquired a new position in shares of Watsco during the fourth quarter worth about $47,000. Washington Trust Bank raised its holdings in Watsco by 4,757.1% during the first quarter. Washington Trust Bank now owns 340 shares of the construction company’s stock worth $49,000 after acquiring an additional 333 shares in the last quarter. Finally, Taylor Hoffman Wealth Management bought a new stake in Watsco during the fourth quarter worth about $66,000. 78.74% of the stock is currently owned by hedge funds and other institutional investors.

NYSE WSO traded up $0.93 during trading hours on Friday, hitting $151.33. 433,238 shares of the company traded hands, compared to its average volume of 326,913. Watsco has a twelve month low of $131.88 and a twelve month high of $192.94. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.69 and a current ratio of 4.03. The stock has a market capitalization of $5.68 billion, a PE ratio of 23.32, a price-to-earnings-growth ratio of 1.80 and a beta of 0.94.

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, April 30th. Shareholders of record on Monday, April 15th will be issued a $1.60 dividend. This represents a $6.40 dividend on an annualized basis and a yield of 4.23%. The ex-dividend date is Friday, April 12th. Watsco’s dividend payout ratio (DPR) is currently 98.61%.

About Watsco

Watsco, Inc, together with its subsidiaries, distributes air conditioning, heating, and refrigeration equipment; and related parts and supplies in the United States, Canada, Mexico, and Puerto Rico. It offers residential ducted and ductless air conditioners; gas, electric, and oil furnaces; commercial air conditioning and heating equipment systems; and other specialized equipment.

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Earnings History and Estimates for Watsco (NYSE:WSO)

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