Seek Returns

PCAR vs. WSO.B: PACCAR vs. Watsco Stock Comparison

How do PACCAR (PCAR) 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

PACCAR (PCAR) and Watsco (WSO.B) both fall under the Capital Goods industry group, but PCAR is classified in Machinery while WSO.B is classified in Trading Companies & Distributors.

Company profile comparison for PACCAR (PCAR) and Watsco (WSO.B)
Profile ItemPCARWSO.B
NamePACCAR Inc.Watsco Inc. Class B Common Stock
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryMachineryTrading Companies & Distributors
GICS Sub-IndustryConstruction Machinery & Heavy Transportation EquipmentTrading Companies & Distributors
Market Capitalization53.69 billion USD12.92 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateMarch 17, 1980March 17, 1980
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

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

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
Total Return (1Y)9.49%-11.21%
Total Return (3Y, Annualized)11.04%-3.05%
Total Return (5Y, Annualized)16.64%4.30%

Risk Profile

Drawdown History

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

Risk Metrics

PACCAR (PCAR) trades around 3.33M 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 PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
Volatility (1Y, Annualized)27.23%40.28%
Beta (5Y)0.940.64
Max Drawdown (5Y)-27.75%-43.41%
Avg. Volume (3M)3.33M74

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
PCAR 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 PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
Sharpe Ratio (1Y)0.19-0.38
Sortino Ratio (1Y)0.30-0.57

Profitability

ROE (TTM)

Both PACCAR (PCAR) at 13.71% 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.

PCAR

Capital Goods industry group

13.71%

Max
40.55%
Q3
19.29%
PCAR
13.71%
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…
PACCAR (PCAR) vs. Watsco (WSO.B): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Both PACCAR (PCAR) at 9.50% 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.

PCAR

Capital Goods industry group

9.50%

Max
27.47%
Q3
12.10%
PCAR
9.50%
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…
PACCAR (PCAR) vs. Watsco (WSO.B): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both PACCAR (PCAR) at 12.59% and Watsco (WSO.B) at 10.14% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

PCAR

Capital Goods industry group

12.59%

Max
36.60%
Q3
18.33%
PCAR
12.59%
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…
PACCAR (PCAR) vs. Watsco (WSO.B): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
ROE (TTM)13.71%16.21%
ROA (TTM)4.53%8.27%
Net Margin (TTM)9.50%6.31%
Operating Margin (TTM)12.59%10.14%
Gross Margin (TTM)14.21%27.18%

Growth

Revenue Growth

Both PACCAR (PCAR) at -15.50% and Watsco (WSO.B) at -4.98% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.

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

EPS Growth

Watsco (WSO.B) at -7.47% is around its peer norm for EPS growth, while PACCAR (PCAR) at -42.91% drops into the bottom quartile, signaling weaker earnings momentum.

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

Growth Metrics

Growth metrics for PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
Revenue Growth (YoY)-15.50%-4.98%
Revenue Growth (3Y CAGR)-0.44%-0.16%
EPS Growth (YoY)-42.91%-7.47%
EPS Growth (3Y CAGR)-7.80%-6.89%

Financial Strength

Current Ratio (MRQ)

Both PACCAR (PCAR) at 5.47 and Watsco (WSO.B) at 3.15 post current ratio above their industries’ typical mid-ranges — short-term liquidity appears comfortable, though unusually high readings can point to idle current assets.

PCAR

Capital Goods industry group

5.47

PCAR
5.47
Max
5.22
Q3
2.95
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
Loading chart…
PACCAR (PCAR) 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 PACCAR (PCAR) at 0.72 runs a more typical debt-to-equity mix.

PCAR

Capital Goods industry group

0.72

Max
2.33
Q3
1.12
PCAR
0.72
Median
0.60
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…
PACCAR (PCAR) 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 PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
Current Ratio (MRQ)5.473.15
Debt / Equity (MRQ)0.720.16
Net Debt / EBITDA1.62-0.14

Dividends

Dividend Yield (TTM)

PACCAR (PCAR) at 1.30% 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.

PCAR

Capital Goods industry group

1.30%

Max
2.66%
PCAR
1.30%
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…
PACCAR (PCAR) 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 PACCAR (PCAR) reports 25.95%, ranking against industry peers normally.

PCAR

Capital Goods industry group

25.95%

Max
67.39%
Q3
28.02%
PCAR
25.95%
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…
PACCAR (PCAR) vs. Watsco (WSO.B): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
Dividend Yield (TTM)1.30%4.02%
Dividend Payout Ratio (TTM)25.95%109.66%

Valuation

P/E Ratio (TTM)

PACCAR (PCAR) at 19.46 sits in the cheaper P/E ratio quartile, while Watsco (WSO.B) at 27.26 is closer to its industry’s usual earnings multiple — a discount for PCAR, though growth and earnings durability still matter.

PCAR

Capital Goods industry group

19.46

Max
59.38
Q3
35.92
Median
25.41
Q1
19.47
PCAR
19.46
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…
PACCAR (PCAR) 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 PACCAR (PCAR) at 1.85 and Watsco (WSO.B) at 1.74 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

PCAR

Capital Goods industry group

1.85

Max
7.54
Q3
3.76
Median
2.15
PCAR
1.85
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…
PACCAR (PCAR) 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 PACCAR (PCAR) at 2.57 and Watsco (WSO.B) at 3.99 are valued close to their industries’ norm against book — neither stands out from peers.

PCAR

Capital Goods industry group

2.57

Max
9.66
Q3
5.00
Median
3.12
PCAR
2.57
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…
PACCAR (PCAR) vs. Watsco (WSO.B): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for PACCAR (PCAR) and Watsco (WSO.B)
MetricPCARWSO.B
P/E Ratio (TTM)19.4627.26
P/S Ratio (TTM)1.851.74
P/B Ratio (MRQ)2.573.99
Free Cash Flow Yield (TTM)3.23%3.50%