Comfort Systems USA Stake Falls 32.6% as Shares Trade at 33.7 P/E
Asset Management One reduced its Comfort Systems USA stake by 32.6% to 13,611 shares, trimming 6,592 shares for holdings worth $11.21 million as of Q3. The stock’s forward P/E stands at 33.73, significantly above the Building Products industry average of 23.95 and sector average of 19.61.
1. Asset Manager Reduces Stake
In its most recent 13F filing with the SEC, Asset Management One Co. Ltd. disclosed a 32.6% reduction in its position in Comfort Systems USA, Inc. during the third quarter. The firm sold 6,592 shares and ended the period holding 13,611 shares, representing a total position valued at approximately 11.2 million dollars at the end of the quarter. This shift marks a significant rebalancing by one of the company’s larger institutional holders, down from a previous position of roughly 20,203 shares.
2. Other Institutional Moves
Several major hedge funds and institutional investors also adjusted their exposure to Comfort Systems USA in the second quarter. Norges Bank initiated a new stake valued at approximately 257.0 million dollars, while AQR Capital Management LLC increased its holding by 47.5%, adding 252,007 shares for a total position worth about 419.0 million dollars. Artisan Partners Limited Partnership and Third Point LLC each established new positions valued at roughly 114.6 million and 99.2 million dollars, respectively. Symphony Financial Ltd. Co. also entered with an 87.7 million dollar stake. Overall, institutional investors and hedge funds collectively own 96.51% of the company’s outstanding shares.
3. Analyst Rating Updates
Comfort Systems USA’s consensus outlook remains positive, with six analysts assigning a Buy rating and two issuing Holds, yielding a Moderate Buy consensus. Recent changes include a downgrade from strong-buy to hold by Zacks Research on December 26, and Wall Street Zen shifting from strong-buy to buy. Meanwhile, DA Davidson reaffirmed a buy recommendation with a price objective of 1,200, and UBS Group raised its target from 875 to 1,140. Analysts cite the company’s robust net margin of 10.06%, return on equity above 43%, and strong revenue growth as key drivers behind the favorable consensus.
4. Insider Activity
In the past three months, insiders sold a total of 26,028 shares valued at approximately 25.4 million dollars. Director Herman E. Bulls disposed of 2,000 shares on October 29 at an average execution price of 1,013.62, reducing his holdings by 6.14% to 30,574 shares. Director Darcy Anderson sold 4,000 shares on October 31 at an average price of 958.72, cutting his stake by 15.07% to 22,535 shares. Insiders now collectively own 1.59% of the company’s outstanding stock.