Wall Street analysts expect Watsco (WSO) to post quarterly earnings of $4.84 per share in its upcoming report, which indicates a year-over-year increase of 11.3%. Revenues are expected to be $2.25 billion, up 5.7% from the year-ago quarter.

The consensus EPS estimate for the quarter has been revised 1.6% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.

With that in mind, let's delve into the average projections of some Watsco metrics that are commonly tracked and projected by analysts on Wall Street.

The consensus estimate for 'Revenues- Canada' stands at $102.63 million. The estimate points to a change of +2.6% from the year-ago quarter.

The collective assessment of analysts points to an estimated 'Revenues- United States' of $1.82 billion. The estimate suggests a change of -5.2% year over year.

The combined assessment of analysts suggests that 'Revenues- Latin America and the Caribbean' will likely reach $325.54 million. The estimate suggests a change of +218.4% year over year.

Based on the collective assessment of analysts, 'Total Same-Store Sales' should arrive at 3.9%. The estimate is in contrast to the year-ago figure of 4%.

View all Key Company Metrics for Watsco here>>>

Shares of Watsco have demonstrated returns of +2.7% over the past month compared to the Zacks S&P 500 composite's +4.5% change. With a Zacks Rank #4 (Sell), WSO is expected to lag the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Watsco, Inc. (WSO) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research