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NXT vs. WSO.B: Nextracker vs. Watsco Stock Comparison

How do Nextracker (NXT) 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

Nextracker (NXT) and Watsco (WSO.B) both fall under the Capital Goods industry group, but NXT is classified in Electrical Equipment while WSO.B is classified in Trading Companies & Distributors.

Watsco (WSO.B) has more than two decades of public-market history since March 17, 1980, whereas Nextracker (NXT) listed on February 9, 2023 and has a much shorter record to draw on.

Company profile comparison for Nextracker (NXT) and Watsco (WSO.B)
Profile ItemNXTWSO.B
NameNextpower Inc. Class A Common StockWatsco Inc. Class B Common Stock
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryElectrical EquipmentTrading Companies & Distributors
GICS Sub-IndustryElectrical Components & EquipmentTrading Companies & Distributors
Market Capitalization16.00 billion USD12.92 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateFebruary 9, 2023March 17, 1980
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

NXT
WSO.B
GSPC
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Nextracker (NXT) 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

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Trailing total returns for Nextracker (NXT) and Watsco (WSO.B). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Nextracker (NXT) and Watsco (WSO.B). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
Total Return (1Y)0.06%-11.21%
Total Return (3Y, Annualized)45.51%-3.05%
Total Return (5Y, Annualized)--4.30%

Risk Profile

Drawdown History

NXT
WSO.B
GSPC
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Nextracker (NXT) 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

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Distribution of monthly total returns for Nextracker (NXT) and Watsco (WSO.B). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Nextracker (NXT) has an aggressive beta of 1.66, indicating higher sensitivity to broad-market moves, while Watsco (WSO.B) is defensive at 0.64 and tends to be less market-sensitive — they sit on opposite ends of the beta spectrum.

Nextracker (NXT) trades around 2.38M 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 Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
Volatility (1Y, Annualized)68.10%40.28%
Beta (5Y)1.660.64
Max Drawdown (5Y)-51.10%-43.41%
Avg. Volume (3M)2.38M74

Risk-Adjusted Performance

Risk-Return Positioning

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NXT 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 Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
Sharpe Ratio (1Y)-0.06-0.38
Sortino Ratio (1Y)-0.09-0.57

Profitability

ROE (TTM)

Nextracker (NXT) at 26.46% sits in the top ROE quartile, while Watsco (WSO.B) at 16.21% is closer to the peer norm — stronger capital efficiency for NXT.

NXT

Capital Goods industry group

26.46%

Max
40.55%
NXT
26.46%
Q3
19.29%
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%
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Nextracker (NXT) at 15.98% retains a top-quartile share of revenue as profit, ahead of Watsco (WSO.B) at 6.31%, which keeps about the industry-typical share.

NXT

Capital Goods industry group

15.98%

Max
27.47%
NXT
15.98%
Q3
12.10%
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%
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Nextracker (NXT) at 20.06% operates in the top operating margin quartile, ahead of Watsco (WSO.B) at 10.14%, which runs around its industry’s norm.

NXT

Capital Goods industry group

20.06%

Max
36.60%
NXT
20.06%
Q3
18.33%
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%
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
ROE (TTM)26.46%16.21%
ROA (TTM)10.75%8.27%
Net Margin (TTM)15.98%6.31%
Operating Margin (TTM)20.06%10.14%
Gross Margin (TTM)21.84%27.18%

Growth

Revenue Growth

Nextracker (NXT) at 20.28% sits in the top revenue growth quartile, while Watsco (WSO.B) at -4.98% is in the bottom quartile, showing a clear gap in revenue momentum.

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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Nextracker (NXT) at 10.66% 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.

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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
Revenue Growth (YoY)20.28%-4.98%
Revenue Growth (3Y CAGR)23.23%-0.16%
EPS Growth (YoY)10.66%-7.47%
EPS Growth (3Y CAGR)476.90%-6.89%

Financial Strength

Current Ratio (MRQ)

Nextracker (NXT) at 2.23 keeps current ratio within its industry’s typical mid-range, while Watsco (WSO.B) at 3.15 sits above its industry’s typical mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.

NXT

Capital Goods industry group

2.23

Max
5.22
Q3
2.95
NXT
2.23
Median
2.08
Q1
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
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Both Nextracker (NXT) at 0.02 and Watsco (WSO.B) at 0.16 keep leverage in the lower quartile of their industries, with less balance-sheet debt relative to equity than most peers.

NXT

Capital Goods industry group

0.02

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
NXT
0.02
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
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Nextracker (NXT) 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 Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
Current Ratio (MRQ)2.233.15
Debt / Equity (MRQ)0.020.16
Net Debt / EBITDA-1.30-0.14

Dividends

Dividend Yield (TTM)

Nextracker (NXT) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Watsco (WSO.B) reports a yield of 4.02%, ranking against industry peers normally.

NXT

Capital Goods industry group

0.00%

Max
2.66%
Q3
1.14%
Median
0.24%
NXT
0.00%
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%
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Nextracker (NXT) 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; Nextracker (NXT) pays no dividend (payout 0.00%).

NXT

Capital Goods industry group

0.00%

Max
67.39%
Q3
28.02%
Median
6.86%
NXT
0.00%
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%
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
Dividend Yield (TTM)0.00%4.02%
Dividend Payout Ratio (TTM)0.00%109.66%

Valuation

P/E Ratio (TTM)

Both Nextracker (NXT) at 26.42 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.

NXT

Capital Goods industry group

26.42

Max
59.38
Q3
35.92
NXT
26.42
Median
25.41
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
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Watsco (WSO.B) at 1.74 is priced about in line with its industry on P/S ratio, while Nextracker (NXT) at 4.17 sits in the pricier quartile — NXT costs more per dollar of sales.

NXT

Capital Goods industry group

4.17

Max
7.54
NXT
4.17
Q3
3.76
Median
2.15
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
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Watsco (WSO.B) at 3.99 is valued about in line with its industry on P/B ratio, while Nextracker (NXT) at 5.98 carries an above-peer premium to book — NXT is pricier on assets.

NXT

Capital Goods industry group

5.98

Max
9.66
NXT
5.98
Q3
5.00
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
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Nextracker (NXT) vs. Watsco (WSO.B): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Nextracker (NXT) and Watsco (WSO.B)
MetricNXTWSO.B
P/E Ratio (TTM)26.4227.26
P/S Ratio (TTM)4.171.74
P/B Ratio (MRQ)5.983.99
Free Cash Flow Yield (TTM)2.32%3.50%