Watsco (WSO)

• Market cap: $20B
• 1 day: 1.05%
• 5 days: 7.89%
• 1 month: -2.40%
• 3 months: -1.67%
• 6 months: -1.23%
• Year to date: 5.86%
• 1 year: 26.43%
• 5 years: 183.38%
• 10 years: 360.84%
• Sector: Industrials
• Industry: Hardware & Plumbing & Heating Equipment & Supplies

About: Watsco is the largest heating, ventilation, air conditioning, and refrigeration products distributor in North America. The company primarily operates in the United States (90% of 2023 revenue) with significant exposure in the Sunbelt states. Watsco also has operations in Canada (5% of sales) and Latin America (5% of sales). The company's customer base consists of more than 125,000 contractors that serve the replacement and new construction HVACR markets for residential and light commercial applications.

Employees: 7,425

Fund manager confidence

Based on 2024 Q3 regulatory filings by fund managers ($100M+ AUM)

30% more first-time investments, than exits

New positions opened: 87 | Existing positions closed: 67

1% more funds holding

Funds holding: 766 [Q2] → 774 (+8) [Q3]

2% more capital invested

Capital invested by funds: $17.1B [Q2] → $17.5B (+$336M) [Q3]

1% more repeat investments, than reductions

Existing positions increased: 288 | Existing positions reduced: 285

3.71% less ownership

Funds ownership: 106.54% [Q2] → 102.83% (-3.71%) [Q3]

7% less funds holding in top 10

Funds holding in top 10: 15 [Q2] → 14 (-1) [Q3]

20% less call options, than puts

Call options by funds: $56M | Put options by funds: $70.1M

Research analyst outlook

1 Wall Street Analyst provided 1 year price targets over the past 3 months

• Low target: $540 9% upside
• Avg. target: $540 9% upside
• High target: $540 9% upside

1 analyst rating

• positive: 1 100%
• neutral: 0 0%
• negative: 0 0%

Baird David Manthey 54% 1-year accuracy 20 / 37 met price target

9% upside $540

Outperform Maintained

24 Oct 2024