What is William Blair’s Forecast for Watsco FY2024 Earnings?

Watsco, Inc. (NYSE:WSO) – William Blair decreased their FY2024 earnings per share estimates for shares of Watsco in a report released on Wednesday, October 23rd. William Blair analyst R. Merkel now forecasts that the construction company will earn $12.75 per share for the year, down from their previous estimate of $13.74. The consensus estimate for Watsco’s current full-year earnings is $13.43 per share. William Blair also issued estimates for Watsco’s Q4 2024 earnings at $1.86 EPS, Q1 2025 earnings at $2.22 EPS, Q2 2025 earnings at $5.07 EPS, Q3 2025 earnings at $5.13 EPS, Q4 2025 earnings at $2.37 EPS and FY2025 earnings at $14.80 EPS.

Several other analysts also recently weighed in on the company. Robert W. Baird decreased their target price on Watsco from $550.00 to $540.00 and set an “outperform” rating for the company in a research note on Thursday, October 24th. JPMorgan Chase & Co. increased their target price on Watsco from $420.00 to $425.00 and gave the company a “neutral” rating in a research note on Wednesday, July 31st.

Watsco Price Performance

Shares of NYSE:WSO opened at $473.20 on Monday. The business has a 50 day moving average price of $482.11 and a 200 day moving average price of $474.99. Watsco has a twelve month low of $343.04 and a twelve month high of $520.41. The company has a market cap of $19.07 billion, a price-to-earnings ratio of 36.40 and a beta of 0.88. The company has a quick ratio of 1.65, a current ratio of 3.36 and a debt-to-equity ratio of 0.01.

Watsco (NYSE:WSO) last announced its earnings results on Wednesday, October 23rd. The construction company reported $4.22 earnings per share for the quarter, missing the consensus estimate of $4.73 by ($0.51). Watsco had a net margin of 6.99% and a return on equity of 17.77%. The business had revenue of $2.16 billion for the quarter, compared to the consensus estimate of $2.24 billion. During the same quarter in the previous year, the company earned $4.35 EPS. Watsco’s revenue for the quarter was up 1.6% compared to the same quarter last year.

Hedge Funds Weigh In On Watsco

Large investors have recently added to or reduced their stakes in the company. Quarry LP acquired a new position in Watsco in the 2nd quarter valued at approximately $26,000. EntryPoint Capital LLC raised its holdings in shares of Watsco by 100.0% in the 1st quarter. EntryPoint Capital LLC now owns 58 shares of the construction company’s stock worth $25,000 after buying an additional 29 shares in the last quarter. ORG Partners LLC acquired a new position in shares of Watsco in the 1st quarter worth approximately $31,000. Tortoise Investment Management LLC raised its holdings in shares of Watsco by 76.2% in the 2nd quarter. Tortoise Investment Management LLC now owns 74 shares of the construction company’s stock worth $34,000 after buying an additional 32 shares in the last quarter. Finally, Salomon & Ludwin LLC raised its holdings in shares of Watsco by 52.6% in the 1st quarter. Salomon & Ludwin LLC now owns 87 shares of the construction company’s stock worth $38,000 after buying an additional 30 shares in the last quarter. Institutional investors and hedge funds own 89.71% of the company’s stock.

Watsco Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 31st. Shareholders of record on Wednesday, October 16th will be issued a $2.70 dividend. The ex-dividend date is Wednesday, October 16th. This represents a $10.80 annualized dividend and a yield of 2.28%. Watsco’s dividend payout ratio (DPR) is 83.08%.

About Watsco

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.