WSO
Industrials · Industrial Distribution
Performance
WSO (WSO) Stock Analysis 2026
Rule-based · Updated daily · Not financial advice
WSO (WSO) operates in the Industrial Distribution space within the Industrials sector. With a market cap of $16.0B, it qualifies as a mid-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.
- Forward P/E (28.1×) is lower than trailing P/E (31.9×) — analysts expect earnings to improve
- ROE of 18.6% shows management efficiently converts equity into profit
- Current ratio of 3.3× — ample short-term liquidity
- Dividend yield of 3.43% provides consistent income on top of price appreciation
- P/E of 31.9× is above average — valuation requires continued strong growth to justify
- Earnings fell 3% YoY — profitability is under pressure
- High debt-to-equity of 15.12× increases financial risk, especially with elevated interest rates
Verdict
Buy / Hold
More positives than negatives. Fundamentals support holding while monitoring key risks.
AI Insight
Powered by ClaudeAI-generated analysis for informational purposes only. Not financial advice.
Related Articles
Revenue & Results
Dividends
Current DY
3.43%
5Y Avg Annual
$9.3800
Last Payment
$3.3000
Ex-Date
04/16/2026
Annual dividends paid per share
| Ex-Date | Payment | Amount | Est. DY |
|---|---|---|---|
Latest04/16/2026 | 04/30/2026 | $3.3000 | 3.39% |
01/16/2026 | 01/30/2026 | $3.0000 | 3.08% |
10/16/2025 | 10/30/2025 | $3.0000 | 3.08% |
07/16/2025 | 07/30/2025 | $3.0000 | 3.08% |
04/15/2025 | 04/29/2025 | $3.0000 | 3.08% |
01/17/2025 | 01/31/2025 | $2.7000 | 2.77% |
10/16/2024 | 10/30/2024 | $2.7000 | 2.77% |
07/16/2024 | 07/30/2024 | $2.7000 | 2.77% |
Magic Number
Shares needed to self-fund your next purchase
$389.48
Price
$3.3000
Last div. (quarterly)
119
shares
Own 119 WSO shares ($46,348.12) and each quarterly dividend pays for 1 new share — the snowball runs on its own.
Investment target
$46,348.12
New shares / year
+4 shares
If You Had Invested…
Hypothetical return based on historical prices
* Dividend reinvestment calculated at ex-date price. For informational purposes only.
Earnings
Next Earnings
Jul 29, 2026
43
days
EPS (TTM)
$12.20
P/E (TTM)
31.9
Fwd P/E
28.1
Earnings History
SEC EDGAR · official filings
SEC Filings
Official EDGAR documents
Key Statistics
Valuation
Trading
Dividends
Profitability
Balance Sheet
Fair Value Estimates
Current price: $389.48
Graham Number
√(22.5 × EPS × Book Value)
$136.56
Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.
Bazin Ceiling Price
Avg. Annual DPS (5Y) ÷ 6%
$160.75
Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.
These are simplified estimates. Not financial advice.
Buy & Hold Checklist
Quality criteria for long-term holding
8/10
80% score
Pays dividends
15Y hist.15+ years of dividend history
Dividend consistency (5Y+)
15 yrsUninterrupted dividend payments for at least 5 years
ROE above 10%
18.6%Return on equity — measures how efficiently capital is used
Positive profit margin
6.9%Net profit margin must be positive — company earns more than it spends
Revenue growth (annual)
+0.1%Annual revenue must be growing compared to the prior year
Earnings growth (annual)
-3.1%Annual earnings must be growing compared to the prior year
Debt/Equity below 2×
15.12×Low financial leverage reduces risk of distress
Current ratio above 1
3.34×Short-term assets must cover short-term liabilities
Daily liquidity above $5M
$180M/dayHigh trading volume ensures easy entry and exit
Dividend yield above 0%
3.43%Stock must distribute income to shareholders
Related Assets
Industrials
About WSO
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. The company also offers parts comprising replacement compressors, evaporator coils, motors, and other component parts; and supplies, such as thermostats, insulation materials, refrigerants, ductworks, grills, registers, sheet metals, tools, copper tubing, concrete pads, tapes, adhesives, and other ancillary supplies, as well as plumbing and bathroom remodeling supplies. It serves contractors and dealers that service the replacement and new construction markets for residential and light commercial central air conditioning, heating, and refrigeration systems. Watsco, Inc. was incorporated in 1956 and is headquartered in Miami, Florida.
Sector
Industrials
Industry
Industrial Distribution
Location
Miami, United States
Employees
6,950