Watsco/$WSO
1D1W1M3M6MYTD1Y5YMAX
Capital at risk
About Watsco
Watsco is the largest HVAC and refrigeration products distributor in North America with approximately 13% market share. The company primarily operates in the United States (90% of revenue) with significant exposure in the Sunbelt states. Watsco also has operations in Canada, Latin America, and the Caribbean. The company's customer base comprises more than 120,000 dealers and contractors serving the replacement and new-construction HVAC/R markets for residential and light-commercial applications. As much as 20% of residential HVAC units are distributed through Watsco in any given year. Revenue is approximately 75%-80% residential HVAC and 20%-25% commercial, with relatively small exposure to more complex "applied" solutions.
- Ticker
- $WSO
- Sector
- Industrials
- Primary listing
- NYSE
- Employees
- 7,000
- Headquarters
- Miami, United States
- Website
- www.watsco.com
Watsco Metrics
BasicAdvanced
$11B
25.66
$11.67
1.04
$12.60
4.41%
Price and volume
Market cap
$11B
Beta
1.04
52-week high
$459.00
52-week low
$277.34
Average daily volume
492K
Dividend rate
$12.60
Financial strength
Current ratio
3.199
Quick ratio
1.412
Long term debt to equity
0.117
Total debt to equity
0.152
Dividend payout ratio (TTM)
104.93%
Profitability
EBITDA (TTM)
701.268
Gross margin (TTM)
27.51%
Net profit margin (TTM)
6.53%
Operating margin (TTM)
9.02%
Effective tax rate (TTM)
20.42%
Revenue per employee (TTM)
$1,040,000
Management effectiveness
Return on assets (TTM)
8.37%
Return on equity (TTM)
16.74%
Valuation
Price to earnings (TTM)
25.664
Price to revenue (TTM)
1.56
Price to book
3.8
Price to tangible book (TTM)
5.15
Price to free cash flow (TTM)
16.31
Free cash flow yield (TTM)
6.13%
Free cash flow per share (TTM)
18.363
Dividend yield (TTM)
4.21%
Forward dividend yield
4.41%
Growth
Revenue change (TTM)
-2.98%
Earnings per share change (TTM)
-10.69%
3-year revenue growth (CAGR)
0.52%
10-year revenue growth (CAGR)
5.79%
3-year earnings per share growth (CAGR)
-7.67%
10-year earnings per share growth (CAGR)
8.99%
3-year dividend per share growth (CAGR)
9.77%
10-year dividend per share growth (CAGR)
14.78%
What the Analysts think about Watsco
Analyst ratings (Buy, Hold, Sell) for Watsco stock.
Analyst projections of the future price of Watsco stock.
Bulls say / Bears say
The largest residential HVAC segment is beginning to recover as the A2L refrigerant transition fades. Second-quarter residential HVAC equipment sales rose 5%, including 2% unit growth, and Watsco said the transition was largely complete. (Watsco)
Jackson Supply adds a sizeable acquisition platform in Watsco’s strongest region. The deal brings about $230 million of annual sales and 25 Sunbelt locations, while Watsco’s $464 million of cash and no debt leave it able to fund further acquisitions and technology investment. (Watsco)
Profitability has reset lower: second-quarter gross margin fell to 27.5% from 29.3%, while operating income and EPS both dropped 12%. Watsco says last year’s tariff- and inflation-related OEM pricing benefit was unusually large and is not repeating. (Watsco)
The recovery in underlying demand is still modest. Second-quarter revenue rose only 2% and same-store sales 1%, while Zacks Research subsequently cut its 2026 EPS estimate to $12.21 from $12.56. (Watsco, American Market News)
The shares still leave limited room for disappointment if the recovery takes longer. Seeking Alpha noted in May that Watsco traded at about 30 times forward earnings, with the premium already reflecting a recovery that had not yet appeared clearly in demand. (Seeking Alpha)
Data summarised monthly by Lightyear AI. Last updated on 21 Sept 2026.
Watsco Financial Performance
Revenues and expenses
Watsco Earnings Performance
Company profitability
Upcoming events
Watsco News
AllArticlesVideos
Funds containing Watsco
AllEURUSDGBP
Fund name | Fund size | $WSO weighting |
|---|---|---|
iShares Dow Jones U.S. Select Dividend€EXX5 | €412M | 0.74% |
SPDR S&P 400 US Mid Cap$SPY4 | $6.3B | 0.31% |
SPDR S&P 400 US Mid Cap£SPX4 | £4.7B | 0.31% |
L&G Global Quality Dividends£LDGG | £279M | 0.19% |
SPDR MSCI World Industrials€WIND | €217M | 0.11% |
Data displayed above is indicative only and its accuracy or completeness is not guaranteed. Actual execution price may vary. Past performance is not indicative of future results. Your return may be affected by currency fluctuations and applicable fees and charges. Capital at risk.
Real-time US market data is sourced from the IEX order book provided by Polygon. After-hours US market data is 15 minutes delayed and may differ significantly from the actual tradable price at market open.