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Watsco (NYSE:WSO)‘s stock had its “neutral” rating restated by Zacks in a report released on Friday. They currently have a $106.00 price target on the stock. Zacks‘s price objective would suggest a potential upside of 5.34% from the stock’s previous close.

Zacks’ analyst wrote, “We are maintaining our Neutral recommendation on Watsco with a target price of $106.00. Watsco’s first-quarter 2014 adjusted earnings increased 23% year over year to $0.48 per share. Total revenue increased 7% year over year to a record $763 million. 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 continues to generate profits. The company intends to purchase an additional 10% interest in the JV in the Sun Belt region in 2014. This is likely to be accretive to earnings. However, the volatility in housing starts and lack of potential acquisitions remain concerns.”

Shares of Watsco (NYSE:WSO) traded down 0.39% during mid-day trading on Friday, hitting $100.63. The stock had a trading volume of 102,853 shares. Watsco has a one year low of $79.66 and a one year high of $105.39. The stock’s 50-day moving average is $101.2 and its 200-day moving average is $97.37. The company has a market cap of $3.245 billion and a price-to-earnings ratio of 26.82.

Watsco (NYSE:WSO) last released its earnings data on Thursday, April 17th. The company reported $0.48 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.47 by $0.01. The company had revenue of $763.00 million for the quarter, compared to the consensus estimate of $761.85 million. During the same quarter in the previous year, the company posted $0.39 earnings per share. The company’s revenue for the quarter was up 6.9% on a year-over-year basis. Analysts expect that Watsco will post $4.48 EPS for the current fiscal year.

Separately, analysts at Morgan Stanley initiated coverage on shares of Watsco in a research note on Tuesday, May 13th. They set an “equal weight” rating and a $111.00 price target on the stock. Three research analysts have rated the stock with a sell rating, three have given a hold rating and two have assigned a buy rating to the company’s stock. The company has an average rating of “Hold” and an average target price of $106.33.

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 Zacks’ official website.

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