Valuation dashboard for Watsco, Inc. (WSO) with P/E 25.23, P/B 3.72, EV/EBITDA 16.55 and dividend yield 4.31%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Industrials companies.
Watsco, Inc., together with its subsidiaries, engages in the distribution of air conditioning, heating, and refrigeration equipment, and related parts and supplies in the United States, Canada, Latin America, and the Caribbean. It distributes equipment, including residential ducted and ductless air conditioners, such as gas, electric, and oil furnaces; commercial air conditioning and heating equipment systems; and other specialized equipment.
Analysis Summary
Watsco, Inc. reported revenue of $7.24B in the most recent fiscal year, growing at a 5-year CAGR of 7.4%. Net income reached $497.0M, with a 13.0% 5-year CAGR.
Trailing-twelve-month margins: gross margin 27.9%, operating margin 9.3%, net margin 6.5%.
At the current price of $292.15, WSO trades at a P/E of 25.23 and an ROE of 16.76%. Market capitalisation stands at $12.0B, placing it among large-cap names.
Balance sheet quality for WSO: current ratio of 4.1. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Valuation Ratios
| P/E Ratio | 25.23 |
| Price / Book | 3.72 |
| EV / EBITDA | 16.55 |
| Dividend Yield | 4.31% |
Valuation Models
| DCF Fair Value | $191.43 |
| vs Current Price | -34.5% |
Peer Comparison
| Symbol | Company | Market Cap | P/E | P/B | ROE |
|---|---|---|---|---|---|
| WSO | Watsco, Inc. | $12.0B | 25.23 | 3.72 | 16.8% |
| NDSN | Nordson Corporation | $18.6B | 27.10 | 4.31 | 15.9% |
| POOL | Pool Corporation | $5.8B | 14.82 | 4.64 | 34.3% |
| ITT | ITT Inc. | $18.4B | 40.43 | 3.84 | 10.4% |
| IEX | IDEX Corporation | $17.2B | 33.54 | 4.30 | 12.0% |
| GGG | Graco Inc. | $12.6B | 24.24 | 5.13 | 20.3% |
| CSL | Carlisle Companies Incorporated | $13.2B | 18.80 | 8.25 | 41.1% |
| ALLE | Allegion plc | $13.1B | 20.24 | 6.24 | 31.1% |
Price
| Price | $292.15 |
| Market Cap | $12.0B |
| Exchange | NYSE |
| Country | US |
Profitability
| Return on Equity | 16.76% |
| Return on Invested Capital | 13.10% |
| Return on Assets | 9.36% |
| Gross Margin | 27.87% |
| Operating Margin | 9.32% |
| Net Margin | 6.53% |
Related companies: AIT · ALLE · CSL · GGG · IEX · ITT · NDSN
Explore sector: Industrials · Industrial - Distribution
More sections of WSO: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events
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