Insider Trading February 20, 2026

Watts Water CEO Carries Out $5.26M Sale as Stock Trades Near Yearly High

Pagano disposes of 14,266 Class A shares; analysts issue mixed guidance while dividend and balance-sheet strength remain intact

By Jordan Park WTS
Watts Water CEO Carries Out $5.26M Sale as Stock Trades Near Yearly High
WTS

Robert J. Pagano Jr., President and CEO of Watts Water Technologies (WTS), sold 14,266 Class A shares on February 19, 2026, generating $5.26 million in proceeds. The sale occurred as the stock traded close to a 52-week high and follows a series of analyst updates and a scheduled quarterly dividend. Independent analysis from InvestingPro flags the stock as appearing overvalued relative to its Fair Value while noting a cash-rich balance sheet.

Key Points

  • Watts Water CEO Robert J. Pagano Jr. sold 14,266 Class A shares on February 19, 2026, generating $5.26 million in proceeds; post-sale direct ownership is 191,202 shares.
  • The stock has climbed 51% over the past year and was trading near its 52-week high of $345.17 at the time of the sale; InvestingPro flags the stock as appearing overvalued relative to its Fair Value while noting the company holds more cash than debt.
  • Analysts have recently adjusted coverage: KeyBanc upgraded to Overweight with a $340 price target; TD Cowen raised its target to $275 and kept a Hold; RBC began coverage at Sector Perform with a $288 target; Jefferies initiated coverage with a Hold and a $300 target. The company also announced a $0.52 quarterly dividend payable March 13, 2026, to holders of record February 27, 2026.

Robert J. Pagano Jr., who serves as President and Chief Executive Officer of Watts Water Technologies Inc (NYSE:WTS), reported the sale of 14,266 shares of Class A Common Stock on February 19, 2026, according to a Form 4 filing with the Securities and Exchange Commission.

The disposition was carried out in multiple transactions and produced aggregate proceeds of $5.26 million. Executed trade prices ranged from $325.75 to $330.26 per share. After completing these sales, Pagano is listed as directly owning 191,202 shares of Watts Water Technologies.

The insider sale coincided with the stock trading near its 52-week high of $345.17, following a 51% gain over the prior 12 months. Separately, InvestingPro's analysis indicates that the stock currently appears overvalued relative to its Fair Value while also highlighting the company's conservative balance-sheet position, where cash exceeds debt.

InvestingPro offers further paid research on the name, including 19 additional ProTips and a comprehensive Pro Research Report for WTS for subscribers seeking deeper analytics and context.


Corporate actions and payout

Watts Water confirmed a quarterly dividend of $0.52 per share on both Class A and Class B common stock, with the dividend scheduled to be paid on March 13, 2026, to shareholders of record as of February 27, 2026. The dividend announcement was included among the recent company updates disclosed alongside the filing.


Analyst coverage and price targets

A series of analyst moves accompanied the filing disclosure:

  • KeyBanc upgraded Watts Water to an Overweight rating and assigned a $340.00 price target, citing a compelling outlook for 2026.
  • TD Cowen raised its price target on the company from $250.00 to $275.00 while maintaining a Hold rating, pointing to strong pricing and effective capital deployment as supporting factors.
  • RBC Capital initiated coverage with a Sector Perform rating and set a $288.00 price target, emphasizing the firms competitive advantages and disciplined margins.
  • Jefferies initiated coverage with a Hold rating and a $300.00 price target, noting growth prospects driven by the repair-and-replacement mix and steady exposure to institutional markets.

Context and takeaways

The Form 4 filing documents an executive sale executed at prices modestly below the stocks 52-week high, leaving Pagano with a substantial direct stake in the company. Market participants will note the juxtaposition of analyst optimism from some firms and InvestingPros valuation caution. Meanwhile, the scheduled dividend and the companys net cash position remain clear, concrete data points for investors monitoring both yield and leverage metrics.

All figures and statements in this report are drawn from the disclosures and analyst notes accompanying the Form 4 filing and the companys public announcements.

Risks

  • Insider selling can be perceived negatively by market participants, particularly when executed as the stock trades near a 52-week high - this could affect investor sentiment in the industrials and manufacturing sectors.
  • Valuation concerns noted by InvestingPro, which identifies WTS as appearing overvalued versus its Fair Value, introduce uncertainty for equity investors focused on valuation-sensitive strategies in the market.
  • Analysts' differing opinions and a range of price targets create potential volatility, as investors reconcile upgrades and fresh coverage across brokerage research that can influence trading in the stock and peer group.

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