WSO Watsco Inc

Intech Investment Management LLC significantly increased its stake in Watsco, Inc. (NYSE:WSO) by 37.9% in Q2, bringing their holdings to 11,897 shares valued at $5.25 million. Other major institutional investors like Goldman Sachs, Charles Schwab, Jacobs Levy, and Nuveen also hold substantial positions or have recently increased their holdings in the construction company. Despite robust institutional ownership at 89.71%, Watsco faces a consensus "Hold" rating from analysts with a target price of $435.00, and the stock pays a quarterly dividend of $3.00, yielding 3.6%.

Watsco, Inc. (NYSE: WSO) reported healthy earnings and record cash flow despite a challenging market environment in Q3 2025, missing EPS expectations due to a significant industry transition to A2L refrigerants. The company focuses on long-term initiatives like inventory optimization, technology investments, and potential acquisitions for growth, while acknowledging temporary softness in demand and unit volumes. They emphasize their strong balance sheet with no debt and significant cash position to pursue strategic opportunities.

Watsco, Inc., a midcap company in the building products sector, has seen its stock evaluation revised, now featuring a P/E ratio of 34 and a price-to-book value of 7.49. Despite a recent year-to-date stock decline of 23.55%, the company maintains robust financial health with a ROCE of 31.28% and a dividend yield of 2.17%, positioning it with a premium valuation compared to some peers.

William Blair has downgraded Watsco stock to Market Perform, citing concerns over weakening demand in the HVAC sector. This action anticipates potential future challenges for the company's performance.

William Blair has downgraded Watsco stock to Market Perform, citing concerns about weakening demand in the HVAC sector. The downgrade reflects expectations of reduced revenue growth in the near term for the company.

Watsco, Inc. stock has dropped to a new 52-week low of $364.19, reflecting a 21.3% decline over the past year. The company, a small-cap player in the building products industry, has a market capitalization of $18,309 million, a P/E ratio of 34.00, and a dividend yield of 2.43%. Its return on equity stands at 21.36%, with a debt-to-equity ratio of -0.06.