Research Analysts Offer Predictions for Watsco Q2 Earnings

Watsco, Inc. (NYSE:WSO) – Investment analysts at Zacks Research lifted their Q2 2025 earnings estimates for shares of Watsco in a research note issued on Tuesday, March 11th. Zacks Research analyst R. Department now forecasts that the construction company will earn $4.78 per share for the quarter, up from their previous estimate of $4.75. The consensus estimate for Watsco’s current full-year earnings is $14.62 per share. Zacks Research also issued estimates for Watsco’s Q4 2025 earnings at $2.51 EPS, Q1 2026 earnings at $2.48 EPS, Q2 2026 earnings at $5.29 EPS and FY2027 earnings at $17.26 EPS.

Several other research firms have also commented on WSO. Robert W. Baird boosted their price objective on shares of Watsco from $540.00 to $560.00 and gave the stock an “outperform” rating in a research note on Wednesday, February 19th. Raymond James initiated coverage on shares of Watsco in a research note on Friday, January 17th. They set a “market perform” rating for the company. Northcoast Research initiated coverage on shares of Watsco in a research note on Friday, November 22nd. They set a “neutral” rating for the company. Finally, Loop Capital upped their price target on shares of Watsco from $450.00 to $460.00 and gave the company a “hold” rating in a research note on Thursday, February 27th. Four analysts have rated the stock with a hold rating and two have given a buy rating to the company. According to MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $486.25.

Watsco Stock Down 2.6 %

NYSE WSO opened at $490.82 on Thursday. The firm has a market cap of $19.83 billion, a PE ratio of 37.04 and a beta of 0.92. The company has a 50 day moving average price of $488.48 and a 200 day moving average price of $494.83. Watsco has a 52 week low of $393.88 and a 52 week high of $571.41.

Watsco (NYSE:WSO) last announced its quarterly earnings results on Tuesday, February 18th. The construction company reported $2.37 earnings per share for the quarter, topping the consensus estimate of $2.13 by $0.24. The firm had revenue of $1.75 billion during the quarter, compared to analysts’ expectations of $1.67 billion. Watsco had a net margin of 7.04% and a return on equity of 17.59%.

Watsco Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, January 31st. Shareholders of record on Friday, January 17th were paid a dividend of $2.70 per share. The ex-dividend date was Friday, January 17th. This represents a $10.80 dividend on an annualized basis and a yield of 2.20%. Watsco’s payout ratio is 81.51%.

Insider Buying and Selling at Watsco

In other news, EVP Barry S. Logan sold 10,998 shares of the stock in a transaction on Wednesday, December 18th. The shares were sold at an average price of $508.21, for a total value of $5,589,293.58. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 12.86% of the stock is currently owned by company insiders.

Institutional Trading of Watsco

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. FMR LLC boosted its holdings in Watsco by 10.6% during the third quarter. FMR LLC now owns 3,624,159 shares of the construction company’s stock worth $1,782,651,000 after buying an additional 346,470 shares in the last quarter. Norges Bank purchased a new stake in Watsco during the fourth quarter worth $118,312,000. Lord Abbett & CO. LLC purchased a new stake in Watsco during the fourth quarter worth $104,533,000. Proficio Capital Partners LLC purchased a new stake in Watsco during the fourth quarter worth $63,603,000. Finally, Charles Schwab Investment Management Inc. boosted its holdings in Watsco by 9.5% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,371,535 shares of the construction company’s stock worth $649,957,000 after buying an additional 118,713 shares in the last quarter. Institutional investors and hedge funds own 89.71% of the company’s stock.

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.