Bank of New York Mellon Corp trimmed its holdings in Watsco by 2.9% during the third quarter, selling 9,257 shares and ending the period with 306,090 shares. This reduction lowered its ownership to approximately 0.75% of the company, representing a position valued at $123.8 million as of quarter end. The move marks the first reduction in Mellon’s Watsco allocation in over two years, signaling a modest rebalancing of its industrial distribution exposure.

Donaldson Capital Management LLC expanded its stake in Watsco by 47.7% in the same period, acquiring an additional 40,326 shares to reach a total of 124,789 shares. Watsco now accounts for roughly 1.6% of Donaldson’s portfolio, making it the firm’s 27th largest holding at a notional value of $50.5 million. This significant increase underscores Donaldson’s growing confidence in Watsco’s market leadership and cash-generating capabilities.

Institutional investors and hedge funds collectively own 89.71% of Watsco’s shares. Notable recent moves include Norges Bank’s $84.8 million new position, Corient Private Wealth more than doubling its stake to 296,170 shares, and Vantage Investment Partners increasing its holding by 257.5% to 97,730 shares. Schwartz Investment Counsel and Jane Street Group also raised their positions by over 80% and 150% respectively, reflecting broad-based institutional conviction in the company’s growth trajectory.

Watsco has scheduled a conference call for February 17 to discuss fourth-quarter results and full-year performance, with prepared remarks followed by a Q&A session led by senior management. The company declared a quarterly dividend of $3.00 per share, payable to holders of record as of January 16, underscoring consistent cash returns. Management will likely address progress on its AI-driven initiatives and branch network expansion during the upcoming call, key factors for sustaining its market share in the $106 billion HVAC/R distribution sector.