Watts Water Technologies (NYSE:WTS) Releases Quarterly Earnings Results, Beats Estimates By $0.32 EPS

Watts Water Technologies (NYSE:WTS) posted its earnings results on Wednesday. The technology company reported $3.66 EPS for the quarter, beating analysts’ consensus estimates of $3.34 by $0.32, Zacks reports. Watts Water Technologies had a net margin of 14.34% and a return on equity of 19.55%. The firm had revenue of $763.10 million for the quarter, compared to the consensus estimate of $725.99 million. During the same period last year, the firm posted $3.09 EPS. The company’s revenue was up 18.6% on a year-over-year basis.

Watts Water Technologies Trading Up 1.1%

Shares of Watts Water Technologies stock traded up $4.21 during trading hours on Friday, reaching $381.32. 42,538 shares of the company’s stock were exchanged, compared to its average volume of 280,126. The firm has a market capitalization of $12.73 billion, a price-to-earnings ratio of 33.29, a price-to-earnings-growth ratio of 3.14 and a beta of 1.15. The company has a fifty day moving average of $344.50 and a 200-day moving average of $318.79. Watts Water Technologies has a 52-week low of $260.00 and a 52-week high of $394.54. The company has a current ratio of 2.72, a quick ratio of 1.62 and a debt-to-equity ratio of 0.09.

Watts Water Technologies Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be issued a dividend of $0.63 per share. The ex-dividend date is Tuesday, September 1st. This represents a $2.52 dividend on an annualized basis and a dividend yield of 0.7%. Watts Water Technologies’s payout ratio is 22.01%.

Wall Street Analyst Weigh In

WTS has been the topic of several research analyst reports. TD Cowen boosted their target price on shares of Watts Water Technologies from $275.00 to $320.00 and gave the stock a “hold” rating in a research report on Thursday, July 2nd. Stifel Nicolaus lifted their price target on shares of Watts Water Technologies from $379.00 to $403.00 and gave the company a “buy” rating in a research report on Monday, July 20th. Robert W. Baird set a $405.00 price target on Watts Water Technologies in a research note on Friday. KeyCorp upped their price target on Watts Water Technologies from $380.00 to $400.00 and gave the stock an “overweight” rating in a report on Thursday. Finally, Barclays reissued an “overweight” rating and issued a $425.00 target price on shares of Watts Water Technologies in a report on Friday. Five investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, Watts Water Technologies presently has a consensus rating of “Hold” and a consensus target price of $367.70.

Insider Buying and Selling

In related news, Director Michael J. Dubose sold 398 shares of the stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $309.63, for a total value of $123,232.74. Following the transaction, the director directly owned 1,814 shares of the company’s stock, valued at approximately $561,668.82. This trade represents a 17.99% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Elie Melhem sold 2,257 shares of the business’s stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $301.00, for a total transaction of $679,357.00. Following the sale, the insider owned 8,963 shares of the company’s stock, valued at approximately $2,697,863. This represents a 20.12% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 1.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Watts Water Technologies

Several hedge funds have recently modified their holdings of the stock. Wexford Capital LP acquired a new stake in Watts Water Technologies in the third quarter valued at approximately $26,000. Acumen Wealth Advisors LLC purchased a new position in shares of Watts Water Technologies in the fourth quarter valued at $28,000. Advisory Services Network LLC purchased a new position in shares of Watts Water Technologies in the third quarter valued at $29,000. Kemnay Advisory Services Inc. acquired a new stake in Watts Water Technologies during the 4th quarter valued at $29,000. Finally, Smartleaf Asset Management LLC increased its stake in Watts Water Technologies by 131.7% during the 4th quarter. Smartleaf Asset Management LLC now owns 190 shares of the technology company’s stock worth $53,000 after buying an additional 108 shares during the period. 95.02% of the stock is currently owned by hedge funds and other institutional investors.

About Watts Water Technologies

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.