Seek Returns

GD vs. WSO.B: General Dynamics vs. Watsco Stock Comparison

How do General Dynamics (GD) and Watsco (WSO.B) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

General Dynamics (GD) and Watsco (WSO.B) both fall under the Capital Goods industry group, but GD is classified in Aerospace & Defense while WSO.B is classified in Trading Companies & Distributors.

Company profile comparison for General Dynamics (GD) and Watsco (WSO.B)
Profile ItemGDWSO.B
NameGeneral Dynamics Corp.Watsco Inc. Class B Common Stock
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryAerospace & DefenseTrading Companies & Distributors
GICS Sub-IndustryAerospace & DefenseTrading Companies & Distributors
Market Capitalization95.68 billion USD12.92 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962March 17, 1980
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

GD
WSO.B
GSPC
Loading price history…
General Dynamics (GD) vs. Watsco (WSO.B), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

Loading price history…
Trailing total returns for General Dynamics (GD) and Watsco (WSO.B). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for General Dynamics (GD) and Watsco (WSO.B). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
Total Return (1Y)6.52%-11.21%
Total Return (3Y, Annualized)16.95%-3.05%
Total Return (5Y, Annualized)14.65%4.30%

Risk Profile

Drawdown History

GD
WSO.B
GSPC
Loading price history…
General Dynamics (GD) vs. Watsco (WSO.B), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

Loading price history…
Distribution of monthly total returns for General Dynamics (GD) and Watsco (WSO.B). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

General Dynamics (GD) trades around 1.19M shares per day on average, while Watsco (WSO.B) sees only 74 — a volume gap that can matter for position sizing, exit liquidity, and order execution.

Risk profile metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
Volatility (1Y, Annualized)23.03%40.28%
Beta (5Y)0.300.64
Max Drawdown (5Y)-22.55%-43.41%
Avg. Volume (3M)1.19M74

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
GD and WSO.B are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
Sharpe Ratio (1Y)0.10-0.38
Sortino Ratio (1Y)0.15-0.57

Profitability

ROE (TTM)

Both General Dynamics (GD) at 18.01% and Watsco (WSO.B) at 16.21% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

GD

Capital Goods industry group

18.01%

Max
40.55%
Q3
19.29%
GD
18.01%
Median
12.12%
Q1
4.08%
Min
-17.12%

WSO.B

Capital Goods industry group

16.21%

Max
40.55%
Q3
19.29%
WSO.B
16.21%
Median
12.12%
Q1
4.08%
Min
-17.12%
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Both General Dynamics (GD) at 8.24% and Watsco (WSO.B) at 6.31% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

GD

Capital Goods industry group

8.24%

Max
27.47%
Q3
12.10%
GD
8.24%
Median
6.30%
Q1
1.40%
Min
-12.89%

WSO.B

Capital Goods industry group

6.31%

Max
27.47%
Q3
12.10%
WSO.B
6.31%
Median
6.30%
Q1
1.40%
Min
-12.89%
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both General Dynamics (GD) at 10.49% and Watsco (WSO.B) at 10.14% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

GD

Capital Goods industry group

10.49%

Max
36.60%
Q3
18.33%
Median
11.12%
GD
10.49%
Q1
5.14%
Min
-12.63%

WSO.B

Capital Goods industry group

10.14%

Max
36.60%
Q3
18.33%
Median
11.12%
WSO.B
10.14%
Q1
5.14%
Min
-12.63%
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
ROE (TTM)18.01%16.21%
ROA (TTM)6.23%8.27%
Net Margin (TTM)8.24%6.31%
Operating Margin (TTM)10.49%10.14%
Gross Margin (TTM)15.42%27.18%

Growth

Revenue Growth

General Dynamics (GD) at 10.13% is around its peer norm for revenue growth, while Watsco (WSO.B) at -4.98% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both General Dynamics (GD) at 13.35% and Watsco (WSO.B) at -7.47% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
Revenue Growth (YoY)10.13%-4.98%
Revenue Growth (3Y CAGR)10.07%-0.16%
EPS Growth (YoY)13.35%-7.47%
EPS Growth (3Y CAGR)8.22%-6.89%

Financial Strength

Current Ratio (MRQ)

Watsco (WSO.B) at 3.15 carries current ratio above its industry’s typical mid-range, while General Dynamics (GD) at 1.43 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.

GD

Capital Goods industry group

1.43

Max
5.22
Q3
2.95
Median
2.08
Q1
1.43
GD
1.43
Min
0.36

WSO.B

Capital Goods industry group

3.15

Max
5.22
WSO.B
3.15
Q3
2.95
Median
2.08
Q1
1.43
Min
0.36
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Watsco (WSO.B) at 0.16 keeps leverage in the lower industry quartile, while General Dynamics (GD) at 0.33 runs a more typical debt-to-equity mix.

GD

Capital Goods industry group

0.33

Max
2.33
Q3
1.12
Median
0.60
GD
0.33
Q1
0.29
Min
0.00

WSO.B

Capital Goods industry group

0.16

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
WSO.B
0.16
Min
0.00
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
Current Ratio (MRQ)1.433.15
Debt / Equity (MRQ)0.330.16
Net Debt / EBITDA0.68-0.14

Dividends

Dividend Yield (TTM)

General Dynamics (GD) at 1.76% earns its spot in the top quartile of its industry’s yields; Watsco (WSO.B) at 4.02% is past the top of its own peer range — territory where a dividend-safety check matters more than the headline number.

GD

Capital Goods industry group

1.76%

Max
2.66%
GD
1.76%
Q3
1.14%
Median
0.24%
Q1
0.00%
Min
0.00%

WSO.B

Capital Goods industry group

4.02%

WSO.B
4.02%
Max
2.66%
Q3
1.14%
Median
0.24%
Q1
0.00%
Min
0.00%
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Watsco (WSO.B) reports payout ratio above 100% at 109.66%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile General Dynamics (GD) reports 36.90%, ranking against industry peers normally.

GD

Capital Goods industry group

36.90%

Max
67.39%
GD
36.90%
Q3
28.02%
Median
6.86%
Q1
0.00%
Min
0.00%

WSO.B

Capital Goods industry group

109.66%

WSO.B
109.66%
Max
67.39%
Q3
28.02%
Median
6.86%
Q1
0.00%
Min
0.00%
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
Dividend Yield (TTM)1.76%4.02%
Dividend Payout Ratio (TTM)36.90%109.66%

Valuation

P/E Ratio (TTM)

Both General Dynamics (GD) at 20.84 and Watsco (WSO.B) at 27.26 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

GD

Capital Goods industry group

20.84

Max
59.38
Q3
35.92
Median
25.41
GD
20.84
Q1
19.47
Min
3.03

WSO.B

Capital Goods industry group

27.26

Max
59.38
Q3
35.92
WSO.B
27.26
Median
25.41
Q1
19.47
Min
3.03
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both General Dynamics (GD) at 1.69 and Watsco (WSO.B) at 1.74 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

GD

Capital Goods industry group

1.69

Max
7.54
Q3
3.76
Median
2.15
GD
1.69
Q1
1.03
Min
0.03

WSO.B

Capital Goods industry group

1.74

Max
7.54
Q3
3.76
Median
2.15
WSO.B
1.74
Q1
1.03
Min
0.03
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both General Dynamics (GD) at 3.50 and Watsco (WSO.B) at 3.99 are valued close to their industries’ norm against book — neither stands out from peers.

GD

Capital Goods industry group

3.50

Max
9.66
Q3
5.00
GD
3.50
Median
3.12
Q1
1.81
Min
-1.08

WSO.B

Capital Goods industry group

3.99

Max
9.66
Q3
5.00
WSO.B
3.99
Median
3.12
Q1
1.81
Min
-1.08
Loading chart…
General Dynamics (GD) vs. Watsco (WSO.B): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for General Dynamics (GD) and Watsco (WSO.B)
MetricGDWSO.B
P/E Ratio (TTM)20.8427.26
P/S Ratio (TTM)1.691.74
P/B Ratio (MRQ)3.503.99
Free Cash Flow Yield (TTM)4.76%3.50%