WSO

Over the past six months, Watsco's stock price has been influenced by several key events. The company continued its 'buy and build' strategy by acquiring Jackson Supply Company in April 2026 and agreeing to acquire The Granite Group on September 14, 2026, expanding its geographic reach and product breadth. Watsco consistently increased its annual dividend, approving a 10% increase to $13.20 per share in April 2026, following an 11% increase in April 2025. Earnings reports showed stabilizing markets and improved operating efficiency in Q1 2026, while Q2 2026 reported a 2% increase in revenues but a 12% decrease in operating income and earnings per share, alongside strong e-commerce sales growth. The stock has experienced volatility, with some short-term gains but a significant decline over 90 days and the past year, leading to lower analyst price targets due to gross margin pressure, although seasonal demand offers some support. Zacks Research downgraded Watsco to a 'strong sell' rating on September 24, 2026.