Watts Water Technologies (NYSE:WTS) Hits New 52-Week High – Still a Buy?

Watts Water Technologies, Inc. (NYSE:WTS)’s share price hit a new 52-week high during trading on Thursday . The stock traded as high as $292.99 and last traded at $290.6720, with a volume of 113897 shares changing hands. The stock had previously closed at $290.03.

Wall Street Analyst Weigh In

WTS has been the subject of several research analyst reports. Weiss Ratings reiterated a “buy (b)” rating on shares of Watts Water Technologies in a research report on Monday, December 29th. Zacks Research raised shares of Watts Water Technologies from a “hold” rating to a “strong-buy” rating in a research note on Monday, December 29th. Barclays lifted their price objective on shares of Watts Water Technologies from $287.00 to $300.00 and gave the company an “equal weight” rating in a report on Friday, November 7th. Wells Fargo & Company set a $275.00 target price on shares of Watts Water Technologies in a research note on Thursday, January 8th. Finally, Wall Street Zen raised shares of Watts Water Technologies from a “buy” rating to a “strong-buy” rating in a research note on Saturday, January 10th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $280.00.

Watts Water Technologies Stock Up 0.2%

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 firm has a market cap of $9.69 billion, a PE ratio of 30.00, a P/E/G ratio of 2.80 and a beta of 1.24. The business’s 50-day simple moving average is $277.13 and its 200 day simple moving average is $272.69.

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

Watts Water Technologies Announces Dividend

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

Insider Buying and Selling at Watts Water Technologies

In related news, major shareholder Timothy P. Horne sold 6,994 shares of the firm’s stock in a transaction dated Wednesday, November 12th. The stock was sold at an average price of $278.65, for a total transaction of $1,948,878.10. Following the sale, the insider owned 23,006 shares of the company’s stock, valued at $6,410,621.90. This trade represents a 23.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO Virginia A. Halloran sold 605 shares of Watts Water Technologies stock in a transaction dated Wednesday, December 17th. The shares were sold at an average price of $276.78, for a total value of $167,451.90. Following the completion of the transaction, the chief accounting officer owned 13,412 shares in the company, valued at $3,712,173.36. This trade represents a 4.32% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 15,605 shares of company stock valued at $4,296,387. Corporate insiders own 1.00% of the company’s stock.

Institutional Trading of Watts Water Technologies

Institutional investors have recently modified their holdings of the company. AEGON ASSET MANAGEMENT UK Plc increased its holdings in shares of Watts Water Technologies by 18.5% in the second quarter. AEGON ASSET MANAGEMENT UK Plc now owns 77,892 shares of the technology company’s stock valued at $19,164,000 after purchasing an additional 12,148 shares during the period. Envestnet Portfolio Solutions Inc. purchased a new stake in Watts Water Technologies in the second quarter valued at approximately $233,000. JPMorgan Chase & Co. increased its holdings in Watts Water Technologies by 10.5% in the 2nd quarter. JPMorgan Chase & Co. now owns 245,741 shares of the technology company’s stock worth $60,425,000 after buying an additional 23,447 shares during the period. Vaughan Nelson Investment Management L.P. acquired a new position in Watts Water Technologies in the 2nd quarter worth approximately $50,400,000. Finally, Allianz Asset Management GmbH raised its position in Watts Water Technologies by 2,366.7% during the 2nd quarter. Allianz Asset Management GmbH now owns 153,282 shares of the technology company’s stock worth $37,691,000 after buying an additional 147,068 shares during the last quarter. 95.02% of the stock is currently owned by institutional investors.

Watts Water Technologies Company Profile

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.