Watsco (NYSE:WSO) Downgraded to “Strong Sell” Rating by Zacks Research

Watsco (NYSE:WSO) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Tuesday,Zacks.com reports.

Several other research firms have also issued reports on WSO. Morgan Stanley cut their price target on Watsco from $460.00 to $370.00 and set an “equal weight” rating for the company in a report on Wednesday. JPMorgan Chase & Co. cut their price objective on Watsco from $400.00 to $360.00 and set a “neutral” rating for the company in a research note on Thursday, October 30th. William Blair restated a “market perform” rating on shares of Watsco in a research note on Wednesday, October 15th. Wolfe Research set a $349.00 price target on shares of Watsco in a research report on Tuesday, December 9th. Finally, Mizuho reduced their price objective on shares of Watsco from $400.00 to $370.00 and set a “neutral” rating for the company in a research note on Monday, January 5th. One investment analyst has rated the stock with a Buy rating, nine have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $402.71.

Watsco Trading Down 0.6%

Shares of WSO stock opened at $372.23 on Tuesday. Watsco has a 12 month low of $323.05 and a 12 month high of $535.40. The stock has a market cap of $15.10 billion, a P/E ratio of 29.08 and a beta of 1.03. The company has a 50 day simple moving average of $348.23 and a two-hundred day simple moving average of $390.38.

Watsco (NYSE:WSO) last issued its quarterly earnings data on Friday, November 7th. The construction company reported $3.98 earnings per share (EPS) for the quarter. The firm had revenue of $2.07 billion during the quarter. Watsco had a net margin of 7.04% and a return on equity of 16.48%. As a group, equities analysts forecast that Watsco will post 14.62 earnings per share for the current year.

Hedge Funds Weigh In On Watsco

Institutional investors have recently bought and sold shares of the stock. Empowered Funds LLC increased its holdings in Watsco by 4.1% in the 1st quarter. Empowered Funds LLC now owns 5,927 shares of the construction company’s stock valued at $3,013,000 after acquiring an additional 232 shares during the last quarter. Strs Ohio purchased a new position in shares of Watsco during the first quarter valued at about $1,242,000. Voya Investment Management LLC increased its holdings in shares of Watsco by 23.1% in the first quarter. Voya Investment Management LLC now owns 16,218 shares of the construction company’s stock worth $8,244,000 after purchasing an additional 3,045 shares during the last quarter. Thrive Wealth Management LLC lifted its position in shares of Watsco by 6.3% in the second quarter. Thrive Wealth Management LLC now owns 771 shares of the construction company’s stock worth $340,000 after buying an additional 46 shares in the last quarter. Finally, Sumitomo Mitsui DS Asset Management Company Ltd lifted its position in shares of Watsco by 45.5% in the second quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 31,465 shares of the construction company’s stock worth $13,896,000 after buying an additional 9,835 shares in the last quarter. 89.71% of the stock is owned by hedge funds and other institutional investors.

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.