Hamlin Capital Management LLC Cuts Stock Holdings in Watsco, Inc. $WSO

Hamlin Capital Management LLC cut its stake in shares of Watsco, Inc. (NYSE:WSO) by 9.8% in the 2nd quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 304,324 shares of the construction company’s stock after selling 33,011 shares during the period. Watsco accounts for approximately 2.9% of Hamlin Capital Management LLC’s holdings, making the stock its 20th biggest holding. Hamlin Capital Management LLC’s holdings in Watsco were worth $126,821,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also made changes to their positions in the company. Torren Management LLC acquired a new position in Watsco in the fourth quarter valued at $26,000. Bayban purchased a new position in shares of Watsco in the 4th quarter worth about $29,000. Bamco Inc. NY acquired a new position in shares of Watsco in the 4th quarter valued at about $35,000. Laurel Wealth Advisors LLC acquired a new position in shares of Watsco in the 4th quarter valued at about $37,000. Finally, Quarry LP purchased a new stake in shares of Watsco during the 4th quarter worth about $37,000. 89.71% of the stock is currently owned by institutional investors and hedge funds.

Watsco Stock Down 0.4%

NYSE WSO opened at $333.60 on Thursday. The stock has a market cap of $13.56 billion, a PE ratio of 28.93 and a beta of 1.05. Watsco, Inc. has a fifty-two week low of $300.66 and a fifty-two week high of $459.00. The business has a 50 day moving average price of $376.46 and a two-hundred day moving average price of $391.46.

Watsco (NYSE:WSO) last issued its quarterly earnings data on Wednesday, July 29th. The construction company reported $4.00 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.41 by ($0.41). The firm had revenue of $2.10 billion during the quarter, compared to analyst estimates of $2.14 billion. Watsco had a net margin of 6.53% and a return on equity of 14.40%. The firm’s revenue was up 2.1% compared to the same quarter last year. During the same period last year, the business earned $4.52 EPS. Sell-side analysts anticipate that Watsco, Inc. will post 12.43 EPS for the current fiscal year.

Watsco Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, July 31st. Investors of record on Thursday, July 16th were issued a dividend of $3.30 per share. This represents a $13.20 dividend on an annualized basis and a yield of 4.0%. The ex-dividend date of this dividend was Thursday, July 16th. Watsco’s dividend payout ratio (DPR) is presently 114.48%.

Analysts Set New Price Targets

WSO has been the topic of several research reports. Morgan Stanley raised their price target on shares of Watsco from $370.00 to $405.00 and gave the company an “equal weight” rating in a report on Friday, July 10th. Robert W. Baird set a $400.00 price objective on shares of Watsco in a research note on Thursday, July 30th. Wall Street Zen raised shares of Watsco from a “sell” rating to a “hold” rating in a research report on Saturday, May 2nd. Weiss Ratings reissued a “hold (c)” rating on shares of Watsco in a research note on Friday, June 26th. Finally, Stephens lifted their target price on shares of Watsco from $475.00 to $485.00 and gave the company an “overweight” rating in a report on Wednesday, April 29th. Two research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $395.50.

About Watsco

Watsco, Inc is the largest distributor of heating, ventilation, air conditioning and refrigeration (HVAC/R) equipment, parts and supplies in the United States. Headquartered in Miami, Florida, the company operates a network of more than 600 branches across the continental U.S., Canada and Puerto Rico. Watsco serves residential and commercial contractors by providing essential components for climate control systems, including air conditioners, furnaces, heat pumps, coils, refrigerants, controls and electrical and piping supplies.

Founded in 1947, Watsco has grown from a single regional distributor into an industry leader through a combination of organic expansion, acquisitions and strategic partnerships with original equipment manufacturers such as Carrier, Trane, Goodman and Lennox.