Watsco, Inc. (NYSE:WSO) Plans Quarterly Dividend of $2.70

Watsco, Inc. (NYSE:WSO) declared a quarterly dividend on Monday, July 1st, Zacks reports. Investors of record on Tuesday, July 16th will be paid a dividend of 2.70 per share by the construction company on Wednesday, July 31st. This represents a $10.80 annualized dividend and a dividend yield of 2.19%. The ex-dividend date of this dividend is Tuesday, July 16th.

Watsco has increased its dividend by an average of 12.3% per year over the last three years and has increased its dividend every year for the last 11 years. Watsco has a dividend payout ratio of 68.5% indicating that its dividend is sufficiently covered by earnings. Analysts expect Watsco to earn $15.77 per share next year, which means the company should continue to be able to cover its $10.80 annual dividend with an expected future payout ratio of 68.5%.

Watsco Price Performance

Shares of WSO opened at $492.60 on Monday. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.31 and a current ratio of 2.92. The stock has a 50 day simple moving average of $476.80 and a 200 day simple moving average of $433.83. Watsco has a 52-week low of $337.58 and a 52-week high of $502.00. The firm has a market capitalization of $19.85 billion, a PE ratio of 37.89 and a beta of 0.88.

Watsco (NYSE:WSO) last issued its quarterly earnings data on Wednesday, April 24th. The construction company reported $2.17 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.26 by ($0.09). Watsco had a net margin of 7.03% and a return on equity of 19.26%. The business had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.59 billion. During the same quarter in the prior year, the firm posted $2.83 earnings per share. Watsco’s revenue for the quarter was up .9% compared to the same quarter last year. Sell-side analysts predict that Watsco will post 14.1 EPS for the current fiscal year.

Insider Transactions at Watsco

In other news, EVP Barry S. Logan sold 774 shares of the company’s stock in a transaction that occurred on Friday, May 10th. The stock was sold at an average price of $473.85, for a total transaction of $366,759.90. Following the sale, the executive vice president now owns 1,770 shares in the company, valued at approximately $838,714.50. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. In other news, Director John Alexander Macdonald sold 5,334 shares of the company’s stock in a transaction that occurred on Thursday, May 9th. The stock was sold at an average price of $466.41, for a total transaction of $2,487,830.94. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Barry S. Logan sold 774 shares of the business’s stock in a transaction that occurred on Friday, May 10th. The stock was sold at an average price of $473.85, for a total value of $366,759.90. Following the transaction, the executive vice president now directly owns 1,770 shares in the company, valued at $838,714.50. The disclosure for this sale can be found here. Company insiders own 12.86% of the company’s stock.

Analyst Ratings Changes

Several equities research analysts have commented on the company. Stephens restated an “overweight” rating and issued a $500.00 target price on shares of Watsco in a research note on Thursday, April 25th. Robert W. Baird boosted their target price on Watsco from $420.00 to $460.00 and gave the company an “outperform” rating in a research note on Thursday, April 25th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and three have issued a buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $404.25.

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.