Watsco, Inc. (NYSE:WSO) reported worse-than-expected second-quarter financial results on Tuesday.
The company reported quarterly earnings per share of $4.49, missing the street view of $4.67. Sales of $2.14 billion missed the analyst consensus of $2.19 billion. Revenue increased 7% year over year (4% increase on a same-store basis). Gross profit increased 3% to $580 million, with 27.1% gross margin.
"We now look ahead to the next important regulatory transition and the introduction of new products by our OEM partners later this year," said Albert H. Nahmad, Watsco's Chairman and CEO.
Watsco shares gained 1.4% to trade at $487.65 on Wednesday.
These analysts made changes to their price targets on Watsco following earnings announcement.
- Baird analyst David Manthey maintained Watsco with an Outperform rating, while raising the price target from $460 to $522.
- JP Morgan analyst Stephen Tusa maintained Watsco with a Neutral and boosted the price target from $420 to $425.
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