Analyst Ratings for Watsco Inc. (WSO)

Updated: 2017-07-28

Watsco Inc. (NYSE:WSO) was awarded an average rating of Overweight from investment analysts following the stock. About 30 days ago, WSO was issued an average rating of Overweight.

Of the 14 analysts covering the stock, 5 gave it a buy rating, 1 gave an overweight rating, 7 issued a hold rating, 0 gave an underweight rating, and 1 issued a sell rating. Today, there are 0 more analysts optimistic about the company future as compared with 90 days ago. Over the same time period, there has been an decrease of 1 in the number of analysts with a negative outlook on the stock.

WSO was given price targets by several analysts. The highest price target was 180, implying potential capital gains of 20.35 percent. The most pessimistic price target was 139, which equates to a potential downside of -7.06 percent. Many analysts are not unbiased in their coverage of stocks, including price targets and stock ratings, so care must be taken in interpreting numbers released by them.

In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0.76 percent. That number becomes 1.53 percent if we expand the time horizon to include the past 3 months instead of just one. On the other hand, earnings estimates for the fiscal year have been revised upwards by 1.06 percent, as compared to a month ago. If we look at the last 90 days instead, we find a net average change of 1.06 percent in FY estimates.

People are often interested in whether analysts were united in the direction of their revisions. 4 analysts made positive revisions to their quarterly estimates over the past month, while 4 analysts made negative revisions. Also over the last month, 6 analysts increased their estimates for the FY earnings, compared to 3 analysts that revised their FY estimates downwards.

The growth rate of WSO's earnings is estimated by analysts to be 7.45 percent. People on Wall Street often look at a company's PEG ratio. Smaller PEG ratios are desirable, as that can indicate whether the high price level of a stock is warranted by high growth. Wall Street investors typically prefer a PEG ratio to be smaller than 1, although it is frequently more appropriate to compare PEG ratios to the company's peers. The PEG ratio of WSO is 3.78.

In the trailing 52-weeks, WSO hit 159.55 at the highest peak, while it's lowest trading point was 128.60. Today's price is 16.3 percent above the 52-week low, and 6.26 percent below the high. WSO has a price/earnings ratio of 28.14. Investors typically compare the P/E ratio to a company's peers in the industry. The WSO value stock report compares WSO to some of its peers using value stock charts. The market cap of WSO is $5.37 billion. WSO's next earnings release will be on 0000-00-00, which is days away.