Watts Water Technologies (NYSE:WTS) Sets New 12-Month High – Still a Buy?

Watts Water Technologies, Inc. (NYSE:WTS) reached a new 52-week high during trading on Wednesday . The stock traded as high as $301.76 and last traded at $301.6930, with a volume of 19230 shares traded. The stock had previously closed at $289.31.

Analysts Set New Price Targets

A number of equities research analysts have commented on the company. Royal Bank Of Canada initiated coverage on Watts Water Technologies in a research note on Monday, January 5th. They issued a “sector perform” rating and a $288.00 price target for the company. Jefferies Financial Group began coverage on shares of Watts Water Technologies in a research note on Friday, December 12th. They issued a “hold” rating and a $300.00 price target on the stock. Zacks Research raised shares of Watts Water Technologies from a “hold” rating to a “strong-buy” rating in a report on Monday, December 29th. Weiss Ratings reissued a “buy (b)” rating on shares of Watts Water Technologies in a research note on Monday, December 29th. Finally, Wells Fargo & Company set a $275.00 price objective on shares of Watts Water Technologies in a research note on Thursday, January 8th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $288.57.

Watts Water Technologies Price Performance

The firm has a market cap of $9.99 billion, a price-to-earnings ratio of 30.93, a P/E/G ratio of 2.77 and a beta of 1.24. The company has a current ratio of 2.83, a quick ratio of 1.84 and a debt-to-equity ratio of 0.10. The stock’s fifty day moving average price is $279.02 and its 200-day moving average price is $274.06.

Watts Water Technologies (NYSE:WTS) last issued its quarterly earnings data on Wednesday, November 5th. The technology company reported $2.50 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.29 by $0.21. Watts Water Technologies had a return on equity of 18.31% and a net margin of 13.79%.The firm had revenue of $611.70 million during the quarter, compared to the consensus estimate of $576.20 million. During the same period last year, the company earned $2.03 EPS. The company’s quarterly revenue was up 12.5% on a year-over-year basis. As a group, equities research analysts forecast that Watts Water Technologies, Inc. will post 9.08 earnings per share for the current fiscal year.

Watts Water Technologies Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, December 15th. Stockholders of record on Monday, December 1st were paid a $0.52 dividend. This represents a $2.08 annualized dividend and a dividend yield of 0.7%. The ex-dividend date was Monday, December 1st. Watts Water Technologies’s dividend payout ratio (DPR) is presently 21.47%.

Insider Activity at Watts Water Technologies

In other Watts Water Technologies news, major shareholder Timothy P. Horne sold 6,994 shares of the firm’s stock in a transaction on Wednesday, November 12th. The stock was sold at an average price of $278.65, for a total value of $1,948,878.10. Following the sale, the insider directly owned 23,006 shares in the company, valued at $6,410,621.90. This trade represents a 23.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CAO Virginia A. Halloran sold 605 shares of Watts Water Technologies stock in a transaction dated Wednesday, December 17th. The stock was sold at an average price of $276.78, for a total value of $167,451.90. Following the sale, the chief accounting officer directly owned 13,412 shares of the company’s stock, valued at $3,712,173.36. This trade represents a 4.32% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 15,605 shares of company stock valued at $4,296,387 in the last quarter. 1.10% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Watts Water Technologies

Several institutional investors have recently added to or reduced their stakes in the business. Boston Partners raised its holdings in Watts Water Technologies by 2.2% during the third quarter. Boston Partners now owns 907,336 shares of the technology company’s stock worth $253,211,000 after purchasing an additional 19,247 shares in the last quarter. Geode Capital Management LLC grew its position in shares of Watts Water Technologies by 20.7% in the 2nd quarter. Geode Capital Management LLC now owns 804,050 shares of the technology company’s stock valued at $197,728,000 after buying an additional 138,034 shares during the last quarter. Mirova US LLC raised its stake in Watts Water Technologies by 2.7% during the 2nd quarter. Mirova US LLC now owns 748,328 shares of the technology company’s stock worth $184,006,000 after acquiring an additional 19,344 shares in the last quarter. First Trust Advisors LP lifted its position in Watts Water Technologies by 0.9% in the second quarter. First Trust Advisors LP now owns 545,724 shares of the technology company’s stock valued at $134,188,000 after acquiring an additional 4,689 shares during the last quarter. Finally, Boston Trust Walden Corp boosted its stake in Watts Water Technologies by 1.0% in the second quarter. Boston Trust Walden Corp now owns 518,722 shares of the technology company’s stock valued at $127,549,000 after acquiring an additional 5,193 shares in the last quarter. Hedge funds and other institutional investors own 95.02% of the company’s stock.

About Watts Water Technologies

Watts Water Technologies, Inc is a global manufacturer and distributor of flow control products and solutions designed to ensure the safe, efficient delivery and use of water. Founded in 1874 and headquartered in North Andover, Massachusetts, the company has built a reputation for engineering innovation in residential, commercial and industrial plumbing, heating, cooling and water treatment systems. Watts operates through a comprehensive portfolio of brands and product lines that address application-specific requirements in water safety, pressure regulation, flow control and filtration.

The company’s product offerings span backflow preventers, pressure reducing valves, relief valves and steam traps, as well as hydronic balancing and temperature control devices for heating systems.