EME vs. WSO: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at EME and WSO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | EME | WSO |
|---|---|---|
| Company Name | EMCOR Group, Inc. | Watsco, Inc. |
| Country | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry | Construction & Engineering | Trading Companies & Distributors |
| Market Capitalization | 27.61 billion USD | 17.55 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 10, 1995 | June 7, 1984 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of EME and WSO by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | EME | WSO |
|---|---|---|
| 5-Day Price Return | -0.13% | 3.91% |
| 13-Week Price Return | 34.86% | -10.78% |
| 26-Week Price Return | 32.01% | -8.62% |
| 52-Week Price Return | 73.33% | -7.39% |
| Month-to-Date Return | -1.72% | -4.06% |
| Year-to-Date Return | 35.87% | -8.72% |
| 10-Day Avg. Volume | 0.38M | 0.37M |
| 3-Month Avg. Volume | 0.47M | 0.33M |
| 3-Month Volatility | 29.57% | 27.56% |
| Beta | 1.27 | 0.96 |
Profitability
Return on Equity (TTM)
EME
37.80%
Construction & Engineering Industry
- Max
- 29.61%
- Q3
- 17.18%
- Median
- 10.42%
- Q1
- 8.10%
- Min
- -0.10%
EME’s Return on Equity of 37.80% is exceptionally high, placing it well beyond the typical range for the Construction & Engineering industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
WSO
19.73%
Trading Companies & Distributors Industry
- Max
- 32.33%
- Q3
- 19.92%
- Median
- 14.05%
- Q1
- 11.46%
- Min
- 0.91%
WSO’s Return on Equity of 19.73% is on par with the norm for the Trading Companies & Distributors industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
EME
7.07%
Construction & Engineering Industry
- Max
- 11.14%
- Q3
- 6.17%
- Median
- 3.85%
- Q1
- 2.40%
- Min
- -0.05%
A Net Profit Margin of 7.07% places EME in the upper quartile for the Construction & Engineering industry, signifying strong profitability and more effective cost management than most of its peers.
WSO
7.08%
Trading Companies & Distributors Industry
- Max
- 17.73%
- Q3
- 10.81%
- Median
- 6.13%
- Q1
- 4.33%
- Min
- 2.09%
WSO’s Net Profit Margin of 7.08% is aligned with the median group of its peers in the Trading Companies & Distributors industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
EME
9.50%
Construction & Engineering Industry
- Max
- 17.56%
- Q3
- 9.36%
- Median
- 5.46%
- Q1
- 3.47%
- Min
- -1.93%
An Operating Profit Margin of 9.50% places EME in the upper quartile for the Construction & Engineering industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
WSO
10.26%
Trading Companies & Distributors Industry
- Max
- 25.50%
- Q3
- 15.13%
- Median
- 7.46%
- Q1
- 5.44%
- Min
- 3.55%
WSO’s Operating Profit Margin of 10.26% is around the midpoint for the Trading Companies & Distributors industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | EME | WSO |
|---|---|---|
| Return on Equity (TTM) | 37.80% | 19.73% |
| Return on Assets (TTM) | 14.03% | 11.69% |
| Net Profit Margin (TTM) | 7.07% | 7.08% |
| Operating Profit Margin (TTM) | 9.50% | 10.26% |
| Gross Profit Margin (TTM) | 19.49% | 27.54% |
Financial Strength
Current Ratio (MRQ)
EME
1.18
Construction & Engineering Industry
- Max
- 1.98
- Q3
- 1.53
- Median
- 1.24
- Q1
- 1.05
- Min
- 0.66
EME’s Current Ratio of 1.18 aligns with the median group of the Construction & Engineering industry, indicating that its short-term liquidity is in line with its sector peers.
WSO
3.08
Trading Companies & Distributors Industry
- Max
- 2.82
- Q3
- 2.13
- Median
- 1.60
- Q1
- 1.43
- Min
- 0.46
WSO’s Current Ratio of 3.08 is exceptionally high, placing it well outside the typical range for the Trading Companies & Distributors industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
Debt-to-Equity Ratio (MRQ)
EME
0.08
Construction & Engineering Industry
- Max
- 2.49
- Q3
- 1.19
- Median
- 0.63
- Q1
- 0.29
- Min
- 0.00
Falling into the lower quartile for the Construction & Engineering industry, EME’s Debt-to-Equity Ratio of 0.08 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
WSO
0.04
Trading Companies & Distributors Industry
- Max
- 1.88
- Q3
- 1.18
- Median
- 0.74
- Q1
- 0.54
- Min
- 0.00
Falling into the lower quartile for the Trading Companies & Distributors industry, WSO’s Debt-to-Equity Ratio of 0.04 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio (TTM)
EME
490.27
Construction & Engineering Industry
- Max
- 23.59
- Q3
- 14.49
- Median
- 8.20
- Q1
- 5.26
- Min
- -6.49
With an Interest Coverage Ratio of 490.27, EME demonstrates a superior capacity to service its debt, placing it well above the typical range for the Construction & Engineering industry. This stems from either robust earnings or a conservative debt load.
WSO
140.00
Trading Companies & Distributors Industry
- Max
- 15.13
- Q3
- 7.93
- Median
- 5.75
- Q1
- 2.70
- Min
- -1.67
With an Interest Coverage Ratio of 140.00, WSO demonstrates a superior capacity to service its debt, placing it well above the typical range for the Trading Companies & Distributors industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | EME | WSO |
|---|---|---|
| Current Ratio (MRQ) | 1.18 | 3.08 |
| Quick Ratio (MRQ) | 1.13 | 1.26 |
| Debt-to-Equity Ratio (MRQ) | 0.08 | 0.04 |
| Interest Coverage Ratio (TTM) | 490.27 | 140.00 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
EME
0.17%
Construction & Engineering Industry
- Max
- 6.28%
- Q3
- 3.25%
- Median
- 2.02%
- Q1
- 0.23%
- Min
- 0.00%
EME’s Dividend Yield of 0.17% is in the lower quartile for the Construction & Engineering industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
WSO
2.58%
Trading Companies & Distributors Industry
- Max
- 4.99%
- Q3
- 3.04%
- Median
- 1.94%
- Q1
- 1.22%
- Min
- 0.00%
WSO’s Dividend Yield of 2.58% is consistent with its peers in the Trading Companies & Distributors industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
EME
4.14%
Construction & Engineering Industry
- Max
- 139.17%
- Q3
- 69.47%
- Median
- 40.99%
- Q1
- 10.51%
- Min
- 0.00%
EME’s Dividend Payout Ratio of 4.14% is in the lower quartile for the Construction & Engineering industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.
WSO
84.37%
Trading Companies & Distributors Industry
- Max
- 95.14%
- Q3
- 62.08%
- Median
- 51.17%
- Q1
- 26.24%
- Min
- 0.00%
WSO’s Dividend Payout Ratio of 84.37% is in the upper quartile for the Trading Companies & Distributors industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | EME | WSO |
|---|---|---|
| Dividend Yield (TTM) | 0.17% | 2.58% |
| Dividend Payout Ratio (TTM) | 4.14% | 84.37% |
Valuation
Price-to-Earnings Ratio (TTM)
EME
24.61
Construction & Engineering Industry
- Max
- 36.96
- Q3
- 24.81
- Median
- 15.45
- Q1
- 12.51
- Min
- 2.74
EME’s P/E Ratio of 24.61 is within the middle range for the Construction & Engineering industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
WSO
32.64
Trading Companies & Distributors Industry
- Max
- 48.55
- Q3
- 26.73
- Median
- 17.17
- Q1
- 10.78
- Min
- 1.62
A P/E Ratio of 32.64 places WSO in the upper quartile for the Trading Companies & Distributors industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
EME
1.74
Construction & Engineering Industry
- Max
- 3.22
- Q3
- 1.63
- Median
- 0.61
- Q1
- 0.48
- Min
- 0.11
EME’s P/S Ratio of 1.74 is in the upper echelon for the Construction & Engineering industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
WSO
2.31
Trading Companies & Distributors Industry
- Max
- 4.88
- Q3
- 2.56
- Median
- 1.02
- Q1
- 0.60
- Min
- 0.29
WSO’s P/S Ratio of 2.31 aligns with the market consensus for the Trading Companies & Distributors industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
EME
7.85
Construction & Engineering Industry
- Max
- 5.74
- Q3
- 3.33
- Median
- 1.49
- Q1
- 1.20
- Min
- 0.23
At 7.85, EME’s P/B Ratio is at an extreme premium to the Construction & Engineering industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
WSO
6.47
Trading Companies & Distributors Industry
- Max
- 8.77
- Q3
- 4.33
- Median
- 2.00
- Q1
- 1.11
- Min
- 0.35
WSO’s P/B Ratio of 6.47 is in the upper tier for the Trading Companies & Distributors industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | EME | WSO |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 24.61 | 32.64 |
| Price-to-Sales Ratio (TTM) | 1.74 | 2.31 |
| Price-to-Book Ratio (MRQ) | 7.85 | 6.47 |
| Price-to-Free Cash Flow Ratio (TTM) | 22.51 | 23.35 |