What is William Blair’s Forecast for Watsco FY2026 Earnings?

Watsco, Inc. (NYSE:WSO) – Research analysts at William Blair issued their FY2026 earnings estimates for shares of Watsco in a research report issued on Wednesday, October 23rd. William Blair analyst R. Merkel anticipates that the construction company will earn $16.50 per share for the year. The consensus estimate for Watsco’s current full-year earnings is $13.78 per share.

Watsco (NYSE:WSO) last announced its earnings results on Wednesday, October 23rd. The construction company reported $4.22 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $4.73 by ($0.51). Watsco had a return on equity of 18.55% and a net margin of 7.02%. The business had revenue of $2.16 billion for the quarter, compared to analyst estimates of $2.24 billion. During the same quarter in the previous year, the company earned $4.35 EPS. The business’s revenue for the quarter was up 1.6% on a year-over-year basis.

Other analysts have also issued research reports about the stock. Robert W. Baird reduced their price target on shares of Watsco from $550.00 to $540.00 and set an “outperform” rating on the stock in a research report on Thursday. JPMorgan Chase & Co. increased their price objective on shares of Watsco from $420.00 to $425.00 and gave the company a “neutral” rating in a research note on Wednesday, July 31st.

Watsco Stock Performance

Shares of NYSE:WSO opened at $473.50 on Friday. The company’s 50 day moving average price is $481.96 and its two-hundred day moving average price is $473.32. Watsco has a 12-month low of $340.52 and a 12-month high of $520.41. The firm has a market cap of $19.08 billion, a PE ratio of 36.78 and a beta of 0.88. The company has a quick ratio of 1.55, a current ratio of 3.21 and a debt-to-equity ratio of 0.01.

Hedge Funds Weigh In On Watsco

A number of hedge funds have recently bought and sold shares of WSO. Jennison Associates LLC grew its holdings in Watsco by 50.9% in the first quarter. Jennison Associates LLC now owns 185,633 shares of the construction company’s stock worth $80,188,000 after purchasing an additional 62,593 shares during the period. Diversify Advisory Services LLC bought a new stake in Watsco in the first quarter worth about $822,000. EverSource Wealth Advisors LLC raised its position in Watsco by 256.3% in the first quarter. EverSource Wealth Advisors LLC now owns 3,374 shares of the construction company’s stock worth $1,510,000 after acquiring an additional 2,427 shares during the period. Healthcare of Ontario Pension Plan Trust Fund bought a new stake in Watsco in the first quarter worth about $491,000. Finally, Nordea Investment Management AB raised its position in shares of Watsco by 22.3% in the first quarter. Nordea Investment Management AB now owns 135,621 shares of the construction company’s stock valued at $59,020,000 after purchasing an additional 24,696 shares during the period. Institutional investors own 89.71% of the company’s stock.

Watsco Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 31st. Investors of record on Wednesday, October 16th will be paid a dividend of $2.70 per share. This represents a $10.80 dividend on an annualized basis and a yield of 2.28%. The ex-dividend date of this dividend is Wednesday, October 16th. Watsco’s dividend payout ratio is presently 83.08%.

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.