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Watsco (NYSE:WSO)‘s stock had its “neutral” rating restated by Zacks in a note issued to investors on Friday, Analyst Ratings.Net reports. They currently have a $103.00 price objective on the stock. Zacks‘ price objective would indicate a potential upside of 4.85% from the stock’s previous close.

Zacks‘ analyst wrote, “Watsco’s fourth-quarter 2013 adjusted earnings increased 22% year over year to $0.50 per share. Watsco has immense potential in the replacement market given an aging stock of air conditioners and heating systems in the U.S. Watsco’s joint venture with Carrier Corporation remains successful and its option to purchase an additional 10% interest in the venture in the Sun Belt region will be accretive to earnings. Watsco’s intends to improve revenues to above $10 billion and margins above 10% through new product offerings, geographic expansion, and logistical, productivity improvements. However, the volatility in housing starts and lack of potential acquisitions remain concerns. We are maintaining our Neutral recommendation on Watsco with a target price of $103.00.”

Shares of Watsco (NYSE:WSO) traded up 0.39% on Friday, hitting $98.62. The stock had a trading volume of 177,827 shares. Watsco has a 1-year low of $76.07 and a 1-year high of $99.01. The stock’s 50-day moving average is $94.73 and its 200-day moving average is $93.88. The company has a market cap of $3.185 billion and a P/E ratio of 26.70.

Watsco (NYSE:WSO) last released its earnings data on Thursday, February 13th. The company reported $0.50 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.49 by $0.01. The company had revenue of $827.40 million for the quarter, compared to the consensus estimate of $808.84 million. During the same quarter in the prior year, the company posted $0.41 earnings per share. The company’s quarterly revenue was up 8.0% on a year-over-year basis. On average, analysts predict that Watsco will post $4.44 earnings per share for the current fiscal year.

Other equities research analysts have also recently issued reports about the stock. Analysts at Barclays raised their price target on shares of Watsco from $89.00 to $95.00 in a research note on Friday, February 14th. They now have an “underweight” rating on the stock. Analysts at Goldman Sachs downgraded shares of Watsco from a “neutral” rating to a “sell” rating in a research note on Tuesday, January 14th. Three analysts have rated the stock with a sell rating, four have issued a hold rating and three have assigned a buy rating to the stock. The stock presently has an average rating of “Hold” and an average price target of $98.25.

Watsco, Inc(NYSE:WSO) is the distributor of air conditioning, heating and refrigeration equipment and related parts and supplies (HVAC/R) in the HVAC/R distribution industry.

To view Zacks’ full report, visit www.zacks.com

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