NewEdge Wealth LLC Takes $3.39 Million Position in Watsco, Inc. $WSO

NewEdge Wealth LLC acquired a new position in shares of Watsco, Inc. (NYSE:WSO) in the 2nd quarter, according to its most recent disclosure with the SEC. The fund acquired 8,143 shares of the construction company’s stock, valued at approximately $3,393,000.

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

Analyst Upgrades and Downgrades

WSO has been the topic of a number of recent analyst reports. DA Davidson dropped their target price on shares of Watsco from $385.00 to $330.00 and set a “neutral” rating on the stock in a research report on Thursday, July 30th. Stephens reissued an “overweight” rating and issued a $485.00 target price on shares of Watsco in a research report on Monday. Wall Street Zen upgraded Watsco from a “sell” rating to a “hold” rating in a research note on Saturday, May 2nd. Morgan Stanley increased their price target on shares of Watsco from $370.00 to $405.00 and gave the stock an “equal weight” rating in a research note on Friday, July 10th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Watsco in a research report on Friday, June 26th. Two investment analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $395.50.

Trending Headlines about Watsco

Here are the key news stories impacting Watsco this week:

• Positive Sentiment: Zacks Research raised its FY2028 EPS forecast to $15.26 from $14.93, suggesting stronger long-term earnings potential. Separately, Stephens reaffirmed an Overweight rating on Watsco. Stephens Reaffirms Overweight Rating for Watsco
• Neutral Sentiment: The analyst revisions were mixed: Zacks increased estimates for Q1 2027 and Q1 2028, but maintained its FY2027 EPS forecast at $13.53 and FY2028 forecast at $15.26. The current full-year consensus remains $12.43 per share.
• Negative Sentiment: Zacks lowered its forecasts for Q3 2026 EPS to $4.21 from $4.29, Q4 2026 to $2.13 from $2.15, FY2026 to $12.21 from $12.56, Q2 2027 to $4.61 from $4.75, Q3 2027 to $4.65 from $4.69, Q4 2027 to $2.33 from $2.34, and FY2027 to $13.53 from $13.70. The broad downward revisions indicate softer near- and medium-term earnings expectations.
• Negative Sentiment: The latest quarterly results showed weakening profitability: EPS declined from $4.52 a year earlier and missed analysts’ estimates, while revenue increased only 2.1% year over year. Watsco is trading below its 50-day and 200-day moving averages and near its 52-week low, which may amplify investor caution.

Watsco Price Performance

Shares of NYSE WSO opened at $314.48 on Friday. The stock has a fifty day moving average price of $364.54 and a 200 day moving average price of $386.25. Watsco, Inc. has a 1-year low of $300.66 and a 1-year high of $459.00. The company has a market cap of $12.97 billion, a PE ratio of 27.27 and a beta of 1.05.

Watsco (NYSE:WSO) last announced 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 business’s quarterly revenue was up 2.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $4.52 earnings per share. Analysts anticipate that Watsco, Inc. will post 12.38 earnings per share for the current fiscal year.

Watsco Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, July 31st. Shareholders of record on Thursday, July 16th were given a $3.30 dividend. The ex-dividend date was Thursday, July 16th. This represents a $13.20 annualized dividend and a yield of 4.2%. Watsco’s dividend payout ratio is presently 114.48%.

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.