Drucker Wealth 3.0 LLC Makes New Investment in Watsco, Inc. $WSO

Drucker Wealth 3.0 LLC acquired a new stake in Watsco, Inc. (NYSE:WSO) in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 1,203 shares of the construction company’s stock, valued at approximately $486,000.

Other institutional investors also recently bought and sold shares of the company. Norges Bank acquired a new position in Watsco during the 2nd quarter worth $84,826,000. Corient Private Wealth LLC increased its position in shares of Watsco by 106.4% in the 2nd quarter. Corient Private Wealth LLC now owns 296,170 shares of the construction company’s stock valued at $130,801,000 after purchasing an additional 152,662 shares during the last quarter. Vantage Investment Partners LLC raised its holdings in shares of Watsco by 257.5% in the 3rd quarter. Vantage Investment Partners LLC now owns 97,730 shares of the construction company’s stock valued at $39,512,000 after purchasing an additional 70,394 shares in the last quarter. Jane Street Group LLC lifted its position in shares of Watsco by 154.2% during the 2nd quarter. Jane Street Group LLC now owns 89,115 shares of the construction company’s stock worth $39,355,000 after purchasing an additional 54,053 shares during the last quarter. Finally, Holocene Advisors LP grew its stake in shares of Watsco by 844.7% during the second quarter. Holocene Advisors LP now owns 56,486 shares of the construction company’s stock worth $24,945,000 after purchasing an additional 50,507 shares in the last quarter. 89.71% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Watsco

Here are the key news stories impacting Watsco this week:

• Positive Sentiment: Board approved a 10% increase in the annual dividend to $13.20 per share, reflecting strong cash flow and management confidence — supports yield and signals shareholder-friendly capital allocation. Watsco Boosts Annual Dividend 10% to $13.20 Per Share
• Positive Sentiment: Management reported record fourth-quarter cash flow, achieved inventory reduction targets and posted record full?year gross margin — these operational improvements strengthen the balance sheet and cash generation profile. Watsco Reports Record Full-Year Gross Margin…
• Positive Sentiment: Company is pushing tech and AI initiatives (digital engagement, e?commerce growth, and platform investment) to drive higher margins and contractor retention — management targets ~30% gross margin as A2L product transition stabilizes. Watsco outlines technology-driven margin expansion…
• Positive Sentiment: E?commerce and digital engagement with contractors are highlighted as growth levers (large active user base), which can improve unit economics and customer stickiness over time. Watsco Inc (WSO) Q4 2025 Earnings Call Highlights…
• Neutral Sentiment: Analysts maintain a consensus “Hold” on WSO, signaling mixed expectations despite strong capital return actions and operational wins. Watsco Receives Consensus Recommendation of “Hold”
• Negative Sentiment: Q4 EPS of $1.68 missed the $1.94 consensus and declined versus prior-year $2.37, indicating near-term earnings pressure. Watsco (WSO) Lags Q4 Earnings and Revenue Estimates
• Negative Sentiment: Revenue of $1.58B missed expectations (~$1.62B) and was down ~9.9% year?over?year, underscoring demand weakness that could pressure near?term growth and margins. Watsco misses Q4 CY2025 sales expectations

Analysts Set New Price Targets

A number of analysts have issued reports on WSO shares. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Watsco in a report on Thursday, October 30th. Mizuho set a $425.00 price target on Watsco in a report on Wednesday. Morgan Stanley cut their price objective on shares of Watsco from $460.00 to $370.00 and set an “equal weight” rating on the stock in a report on Wednesday, January 14th. KeyCorp restated a “sector weight” rating on shares of Watsco in a report on Friday, December 12th. Finally, Zacks Research downgraded shares of Watsco from a “hold” rating to a “strong sell” rating in a research report on Tuesday, January 13th. One investment analyst has rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $412.00.

Watsco Price Performance

Shares of Watsco stock opened at $420.00 on Thursday. The firm’s fifty day simple moving average is $375.97 and its 200-day simple moving average is $378.71. Watsco, Inc. has a 12 month low of $323.05 and a 12 month high of $533.07. The stock has a market capitalization of $17.04 billion, a price-to-earnings ratio of 34.68 and a beta of 1.04.

Watsco (NYSE:WSO) last issued its quarterly earnings data on Tuesday, February 17th. The construction company reported $1.68 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.94 by ($0.26). Watsco had a return on equity of 15.49% and a net margin of 6.87%.The business had revenue of $1.58 billion for the quarter, compared to analysts’ expectations of $1.62 billion. During the same period in the previous year, the business posted $2.37 earnings per share. The company’s revenue for the quarter was down 9.9% on a year-over-year basis. Analysts anticipate that Watsco, Inc. will post 14.62 earnings per share for the current year.

Watsco Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, January 30th. Stockholders of record on Friday, January 16th were paid a $3.00 dividend. This represents a $12.00 annualized dividend and a dividend yield of 2.9%. The ex-dividend date was Friday, January 16th. Watsco’s dividend payout ratio (DPR) is 93.75%.

About Watsco

Watsco, Inc is the largest distributor of heating, ventilation, air conditioning and refrigeration (HVAC/R) equipment, parts and supplies in the United States. Headquartered in Miami, Florida, the company operates a network of more than 600 branches across the continental U.S., Canada and Puerto Rico. Watsco serves residential and commercial contractors by providing essential components for climate control systems, including air conditioners, furnaces, heat pumps, coils, refrigerants, controls and electrical and piping supplies.

Founded in 1947, Watsco has grown from a single regional distributor into an industry leader through a combination of organic expansion, acquisitions and strategic partnerships with original equipment manufacturers such as Carrier, Trane, Goodman and Lennox.