GWW vs. WTS: W.W. Grainger vs. Watts Water Stock Comparison
How do W.W. Grainger (GWW) and Watts Water (WTS) 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
W.W. Grainger (GWW) and Watts Water (WTS) both fall under the Capital Goods industry group, but GWW is classified in Trading Companies & Distributors while WTS is classified in Machinery.
| Profile Item | GWW | WTS |
|---|---|---|
| Name | W.W. Grainger Inc. | Watts Water Technologies, Inc. Class A Common Stock |
| Country/Region | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry Group | Capital Goods | Capital Goods |
| GICS Industry | Trading Companies & Distributors | Machinery |
| GICS Sub-Industry | Trading Companies & Distributors | Industrial Machinery & Supplies & Components |
| Market Capitalization | 67.45 billion USD | 11.55 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | February 21, 1973 | August 21, 1986 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | GWW | WTS |
|---|---|---|
| Total Return (1Y) | 54.07% | 33.85% |
| Total Return (3Y, Annualized) | 24.16% | 25.59% |
| Total Return (5Y, Annualized) | 25.95% | 12.56% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | GWW | WTS |
|---|---|---|
| Volatility (1Y, Annualized) | 24.49% | 27.38% |
| Beta (5Y) | 0.93 | 1.11 |
| Max Drawdown (5Y) | -24.50% | -44.08% |
| Avg. Volume (3M) | 250.35K | 225.08K |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | GWW | WTS |
|---|---|---|
| Sharpe Ratio (1Y) | 2.03 | 1.08 |
| Sortino Ratio (1Y) | 3.31 | 1.78 |
Profitability
ROE (TTM)
Both companies show strong equity returns, but W.W. Grainger (GWW) at 52.33% is the standout with ROE above its industry range; Watts Water (WTS) at 20.91% also sits in the top quartile.
GWW
Capital Goods industry group
52.33%
- GWW
- 52.33%
- Max
- 40.55%
- Q3
- 19.29%
- Median
- 12.12%
- Q1
- 4.08%
- Min
- -17.12%
WTS
Capital Goods industry group
20.91%
- Max
- 40.55%
- WTS
- 20.91%
- Q3
- 19.29%
- Median
- 12.12%
- Q1
- 4.08%
- Min
- -17.12%
Net Margin (TTM)
Watts Water (WTS) at 16.00% retains a top-quartile share of revenue as profit, ahead of W.W. Grainger (GWW) at 11.17%, which keeps about the industry-typical share.
GWW
Capital Goods industry group
11.17%
- Max
- 27.47%
- Q3
- 12.10%
- GWW
- 11.17%
- Median
- 6.30%
- Q1
- 1.40%
- Min
- -12.89%
WTS
Capital Goods industry group
16.00%
- Max
- 27.47%
- WTS
- 16.00%
- Q3
- 12.10%
- Median
- 6.30%
- Q1
- 1.40%
- Min
- -12.89%
Operating Margin (TTM)
Watts Water (WTS) at 20.85% operates in the top operating margin quartile, ahead of W.W. Grainger (GWW) at 16.14%, which runs around its industry’s norm.
GWW
Capital Goods industry group
16.14%
- Max
- 36.60%
- Q3
- 18.33%
- GWW
- 16.14%
- Median
- 11.12%
- Q1
- 5.14%
- Min
- -12.63%
WTS
Capital Goods industry group
20.85%
- Max
- 36.60%
- WTS
- 20.85%
- Q3
- 18.33%
- Median
- 11.12%
- Q1
- 5.14%
- Min
- -12.63%
Profitability Metrics
| Metric | GWW | WTS |
|---|---|---|
| ROE (TTM) | 52.33% | 20.91% |
| ROA (TTM) | 20.34% | 12.05% |
| Net Margin (TTM) | 11.17% | 16.00% |
| Operating Margin (TTM) | 16.14% | 20.85% |
| Gross Margin (TTM) | 39.43% | 49.09% |
Growth
Revenue Growth
Both W.W. Grainger (GWW) at 4.51% and Watts Water (WTS) at 8.27% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Both W.W. Grainger (GWW) at -8.55% and Watts Water (WTS) at 17.03% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | GWW | WTS |
|---|---|---|
| Revenue Growth (YoY) | 4.51% | 8.27% |
| Revenue Growth (3Y CAGR) | 5.62% | 7.20% |
| EPS Growth (YoY) | -8.55% | 17.03% |
| EPS Growth (3Y CAGR) | 5.60% | 10.78% |
Financial Strength
Current Ratio (MRQ)
Both W.W. Grainger (GWW) at 2.61 and Watts Water (WTS) at 2.80 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.
GWW
Capital Goods industry group
2.61
- Max
- 5.22
- Q3
- 2.95
- GWW
- 2.61
- Median
- 2.08
- Q1
- 1.43
- Min
- 0.36
WTS
Capital Goods industry group
2.80
- Max
- 5.22
- Q3
- 2.95
- WTS
- 2.80
- Median
- 2.08
- Q1
- 1.43
- Min
- 0.36
Debt / Equity (MRQ)
Watts Water (WTS) at 0.08 keeps leverage in the lower industry quartile, while W.W. Grainger (GWW) at 0.65 runs a more typical debt-to-equity mix.
GWW
Capital Goods industry group
0.65
- Max
- 2.33
- Q3
- 1.12
- GWW
- 0.65
- Median
- 0.60
- Q1
- 0.29
- Min
- 0.00
WTS
Capital Goods industry group
0.08
- Max
- 2.33
- Q3
- 1.12
- Median
- 0.60
- Q1
- 0.29
- WTS
- 0.08
- Min
- 0.00
Financial Strength Metrics
| Metric | GWW | WTS |
|---|---|---|
| Current Ratio (MRQ) | 2.61 | 2.80 |
| Debt / Equity (MRQ) | 0.65 | 0.08 |
| Net Debt / EBITDA | 0.69 | -0.40 |
Dividends
Dividend Yield (TTM)
Both W.W. Grainger (GWW) at 0.65% and Watts Water (WTS) at 0.66% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.
GWW
Capital Goods industry group
0.65%
- Max
- 2.66%
- Q3
- 1.14%
- GWW
- 0.65%
- Median
- 0.24%
- Q1
- 0.00%
- Min
- 0.00%
WTS
Capital Goods industry group
0.66%
- Max
- 2.66%
- Q3
- 1.14%
- WTS
- 0.66%
- Median
- 0.24%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both W.W. Grainger (GWW) at 20.87% and Watts Water (WTS) at 17.24% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.
GWW
Capital Goods industry group
20.87%
- Max
- 67.39%
- Q3
- 28.02%
- GWW
- 20.87%
- Median
- 6.86%
- Q1
- 0.00%
- Min
- 0.00%
WTS
Capital Goods industry group
17.24%
- Max
- 67.39%
- Q3
- 28.02%
- WTS
- 17.24%
- Median
- 6.86%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | GWW | WTS |
|---|---|---|
| Dividend Yield (TTM) | 0.65% | 0.66% |
| Dividend Payout Ratio (TTM) | 20.87% | 17.24% |
Valuation
P/E Ratio (TTM)
Both W.W. Grainger (GWW) at 31.66 and Watts Water (WTS) at 25.95 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
GWW
Capital Goods industry group
31.66
- Max
- 59.38
- Q3
- 35.92
- GWW
- 31.66
- Median
- 25.41
- Q1
- 19.47
- Min
- 3.03
WTS
Capital Goods industry group
25.95
- Max
- 59.38
- Q3
- 35.92
- WTS
- 25.95
- Median
- 25.41
- Q1
- 19.47
- Min
- 3.03
P/S Ratio (TTM)
W.W. Grainger (GWW) at 3.48 is priced about in line with its industry on P/S ratio, while Watts Water (WTS) at 4.14 sits in the pricier quartile — WTS costs more per dollar of sales.
GWW
Capital Goods industry group
3.48
- Max
- 7.54
- Q3
- 3.76
- GWW
- 3.48
- Median
- 2.15
- Q1
- 1.03
- Min
- 0.03
WTS
Capital Goods industry group
4.14
- Max
- 7.54
- WTS
- 4.14
- Q3
- 3.76
- Median
- 2.15
- Q1
- 1.03
- Min
- 0.03
P/B Ratio (MRQ)
Watts Water (WTS) at 4.98 sits near its industry’s typical P/B ratio, while W.W. Grainger (GWW) at 15.56 prices above its benchmark range — GWW looks rich relative to book.
GWW
Capital Goods industry group
15.56
- GWW
- 15.56
- Max
- 9.66
- Q3
- 5.00
- Median
- 3.12
- Q1
- 1.81
- Min
- -1.08
WTS
Capital Goods industry group
4.98
- Max
- 9.66
- Q3
- 5.00
- WTS
- 4.98
- Median
- 3.12
- Q1
- 1.81
- Min
- -1.08
Valuation Metrics
| Metric | GWW | WTS |
|---|---|---|
| P/E Ratio (TTM) | 31.66 | 25.95 |
| P/S Ratio (TTM) | 3.48 | 4.14 |
| P/B Ratio (MRQ) | 15.56 | 4.98 |
| Free Cash Flow Yield (TTM) | 1.97% | 2.21% |