Seek Returns

LHX vs. WSO.B: L3Harris vs. Watsco Stock Comparison

How do L3Harris (LHX) 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

L3Harris (LHX) and Watsco (WSO.B) both fall under the Capital Goods industry group, but LHX is classified in Aerospace & Defense while WSO.B is classified in Trading Companies & Distributors.

Company profile comparison for L3Harris (LHX) and Watsco (WSO.B)
Profile ItemLHXWSO.B
NameL3Harris Technologies, Inc.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 Capitalization48.39 billion USD12.92 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateDecember 31, 1981March 17, 1980
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

LHX
WSO.B
GSPC
Loading price history…
L3Harris (LHX) 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 L3Harris (LHX) and Watsco (WSO.B). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for L3Harris (LHX) and Watsco (WSO.B). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
Total Return (1Y)-5.21%-11.21%
Total Return (3Y, Annualized)16.68%-3.05%
Total Return (5Y, Annualized)5.91%4.30%

Risk Profile

Drawdown History

LHX
WSO.B
GSPC
Loading price history…
L3Harris (LHX) 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 L3Harris (LHX) and Watsco (WSO.B). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

L3Harris (LHX) trades around 1.70M 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 L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
Volatility (1Y, Annualized)29.75%40.28%
Beta (5Y)0.460.64
Max Drawdown (5Y)-38.16%-43.41%
Avg. Volume (3M)1.70M74

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
LHX 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 L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
Sharpe Ratio (1Y)-0.32-0.38
Sortino Ratio (1Y)-0.45-0.57

Profitability

ROE (TTM)

Both L3Harris (LHX) at 10.03% 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.

LHX

Capital Goods industry group

10.03%

Max
40.55%
Q3
19.29%
Median
12.12%
LHX
10.03%
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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Both L3Harris (LHX) at 8.76% 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.

LHX

Capital Goods industry group

8.76%

Max
27.47%
Q3
12.10%
LHX
8.76%
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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both L3Harris (LHX) at 14.34% and Watsco (WSO.B) at 10.14% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

LHX

Capital Goods industry group

14.34%

Max
36.60%
Q3
18.33%
LHX
14.34%
Median
11.12%
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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
ROE (TTM)10.03%16.21%
ROA (TTM)4.56%8.27%
Net Margin (TTM)8.76%6.31%
Operating Margin (TTM)14.34%10.14%
Gross Margin (TTM)25.55%27.18%

Growth

Revenue Growth

L3Harris (LHX) at 2.53% 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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both L3Harris (LHX) at 8.39% 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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
Revenue Growth (YoY)2.53%-4.98%
Revenue Growth (3Y CAGR)8.62%-0.16%
EPS Growth (YoY)8.39%-7.47%
EPS Growth (3Y CAGR)15.82%-6.89%

Financial Strength

Current Ratio (MRQ)

Watsco (WSO.B) at 3.15 carries current ratio above its industry’s typical mid-range, while L3Harris (LHX) at 1.20 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.

LHX

Capital Goods industry group

1.20

Max
5.22
Q3
2.95
Median
2.08
Q1
1.43
LHX
1.20
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…
L3Harris (LHX) 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 L3Harris (LHX) at 0.52 runs a more typical debt-to-equity mix.

LHX

Capital Goods industry group

0.52

Max
2.33
Q3
1.12
Median
0.60
LHX
0.52
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…
L3Harris (LHX) 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 L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
Current Ratio (MRQ)1.203.15
Debt / Equity (MRQ)0.520.16
Net Debt / EBITDA1.88-0.14

Dividends

Dividend Yield (TTM)

L3Harris (LHX) at 1.92% 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.

LHX

Capital Goods industry group

1.92%

Max
2.66%
LHX
1.92%
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…
L3Harris (LHX) 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 L3Harris (LHX) reports 46.09%, ranking against industry peers normally.

LHX

Capital Goods industry group

46.09%

Max
67.39%
LHX
46.09%
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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
Dividend Yield (TTM)1.92%4.02%
Dividend Payout Ratio (TTM)46.09%109.66%

Valuation

P/E Ratio (TTM)

Both L3Harris (LHX) at 24.20 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.

LHX

Capital Goods industry group

24.20

Max
59.38
Q3
35.92
Median
25.41
LHX
24.20
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…
L3Harris (LHX) 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 L3Harris (LHX) at 2.07 and Watsco (WSO.B) at 1.74 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

LHX

Capital Goods industry group

2.07

Max
7.54
Q3
3.76
Median
2.15
LHX
2.07
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…
L3Harris (LHX) 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 L3Harris (LHX) at 2.39 and Watsco (WSO.B) at 3.99 are valued close to their industries’ norm against book — neither stands out from peers.

LHX

Capital Goods industry group

2.39

Max
9.66
Q3
5.00
Median
3.12
LHX
2.39
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…
L3Harris (LHX) vs. Watsco (WSO.B): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for L3Harris (LHX) and Watsco (WSO.B)
MetricLHXWSO.B
P/E Ratio (TTM)24.2027.26
P/S Ratio (TTM)2.071.74
P/B Ratio (MRQ)2.393.99
Free Cash Flow Yield (TTM)7.09%3.50%