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WAB vs. WSO: A Head-to-Head Stock Comparison

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Here’s a clear look at WAB and WSO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolWABWSO
Company NameWestinghouse Air Brake Technologies CorporationWatsco, Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryMachineryTrading Companies & Distributors
Market Capitalization33.94 billion USD16.35 billion USD
ExchangeNYSENYSE
Listing DateJune 16, 1995June 7, 1984
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of WAB and WSO by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

WAB vs. WSO: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolWABWSO
5-Day Price Return4.24%3.49%
13-Week Price Return-4.24%-8.45%
26-Week Price Return6.81%-21.22%
52-Week Price Return9.99%-18.48%
Month-to-Date Return3.60%0.48%
Year-to-Date Return5.74%-14.68%
10-Day Avg. Volume1.22M0.53M
3-Month Avg. Volume1.07M0.37M
3-Month Volatility23.57%28.46%
Beta1.100.94

Profitability

Return on Equity (TTM)

WAB

11.11%

Machinery Industry

Max
33.68%
Q3
20.05%
Median
12.37%
Q1
8.67%
Min
-7.69%

WAB’s Return on Equity of 11.11% is on par with the norm for the Machinery industry, indicating its profitability relative to shareholder equity is typical for the sector.

WSO

19.73%

Trading Companies & Distributors Industry

Max
32.99%
Q3
19.66%
Median
13.72%
Q1
9.74%
Min
-0.34%

In the upper quartile for the Trading Companies & Distributors industry, WSO’s Return on Equity of 19.73% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

WAB vs. WSO: A comparison of their Return on Equity (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Net Profit Margin (TTM)

WAB

10.92%

Machinery Industry

Max
19.72%
Q3
11.07%
Median
7.62%
Q1
5.05%
Min
-1.52%

WAB’s Net Profit Margin of 10.92% is aligned with the median group of its peers in the Machinery industry. This indicates its ability to convert revenue into profit is typical for the sector.

WSO

7.08%

Trading Companies & Distributors Industry

Max
16.11%
Q3
9.48%
Median
5.89%
Q1
3.68%
Min
-1.09%

WSO’s Net Profit Margin of 7.08% is aligned with the median group of its peers in the Trading Companies & Distributors industry. This indicates its ability to convert revenue into profit is typical for the sector.

WAB vs. WSO: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Operating Profit Margin (TTM)

WAB

16.22%

Machinery Industry

Max
26.63%
Q3
15.99%
Median
11.27%
Q1
7.72%
Min
-0.51%

An Operating Profit Margin of 16.22% places WAB in the upper quartile for the Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

WSO

10.26%

Trading Companies & Distributors Industry

Max
26.26%
Q3
14.59%
Median
7.05%
Q1
4.94%
Min
-8.06%

WSO’s Operating Profit Margin of 10.26% is around the midpoint for the Trading Companies & Distributors industry, indicating that its efficiency in managing core business operations is typical for the sector.

WAB vs. WSO: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Profitability at a Glance

SymbolWABWSO
Return on Equity (TTM)11.11%19.73%
Return on Assets (TTM)6.00%11.69%
Net Profit Margin (TTM)10.92%7.08%
Operating Profit Margin (TTM)16.22%10.26%
Gross Profit Margin (TTM)33.57%27.54%

Financial Strength

Current Ratio (MRQ)

WAB

1.76

Machinery Industry

Max
3.13
Q3
2.12
Median
1.72
Q1
1.34
Min
0.77

WAB’s Current Ratio of 1.76 aligns with the median group of the Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

WSO

3.08

Trading Companies & Distributors Industry

Max
3.32
Q3
2.27
Median
1.60
Q1
1.41
Min
0.26

WSO’s Current Ratio of 3.08 is in the upper quartile for the Trading Companies & Distributors industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

WAB vs. WSO: A comparison of their Current Ratio (MRQ) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Debt-to-Equity Ratio (MRQ)

WAB

0.44

Machinery Industry

Max
1.56
Q3
0.79
Median
0.44
Q1
0.27
Min
0.00

WAB’s Debt-to-Equity Ratio of 0.44 is typical for the Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

WSO

0.01

Trading Companies & Distributors Industry

Max
1.93
Q3
1.24
Median
0.79
Q1
0.61
Min
0.01

Falling into the lower quartile for the Trading Companies & Distributors industry, WSO’s Debt-to-Equity Ratio of 0.01 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

WAB vs. WSO: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Interest Coverage Ratio (TTM)

WAB

7.65

Machinery Industry

Max
81.58
Q3
37.68
Median
13.76
Q1
7.97
Min
-1.43

In the lower quartile for the Machinery industry, WAB’s Interest Coverage Ratio of 7.65 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

WSO

140.00

Trading Companies & Distributors Industry

Max
15.13
Q3
7.93
Median
5.67
Q1
2.04
Min
-1.67

With an Interest Coverage Ratio of 140.00, WSO demonstrates a superior capacity to service its debt, placing it well above the typical range for the Trading Companies & Distributors industry. This stems from either robust earnings or a conservative debt load.

WAB vs. WSO: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Financial Strength at a Glance

SymbolWABWSO
Current Ratio (MRQ)1.763.08
Quick Ratio (MRQ)1.051.26
Debt-to-Equity Ratio (MRQ)0.440.01
Interest Coverage Ratio (TTM)7.65140.00

Growth

Revenue Growth

WAB vs. WSO: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

WAB vs. WSO: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

WAB

0.46%

Machinery Industry

Max
4.55%
Q3
2.66%
Median
1.90%
Q1
1.23%
Min
0.00%

WAB’s Dividend Yield of 0.46% is in the lower quartile for the Machinery industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

WSO

2.71%

Trading Companies & Distributors Industry

Max
5.25%
Q3
2.95%
Median
2.06%
Q1
1.11%
Min
0.00%

WSO’s Dividend Yield of 2.71% is consistent with its peers in the Trading Companies & Distributors industry, providing a dividend return that is standard for its sector.

WAB vs. WSO: A comparison of their Dividend Yield (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Dividend Payout Ratio (TTM)

WAB

13.53%

Machinery Industry

Max
198.34%
Q3
101.42%
Median
62.79%
Q1
29.85%
Min
0.00%

WAB’s Dividend Payout Ratio of 13.53% is in the lower quartile for the Machinery industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

WSO

84.37%

Trading Companies & Distributors Industry

Max
136.12%
Q3
71.34%
Median
47.49%
Q1
22.56%
Min
0.00%

WSO’s Dividend Payout Ratio of 84.37% is in the upper quartile for the Trading Companies & Distributors industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

WAB vs. WSO: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Dividend at a Glance

SymbolWABWSO
Dividend Yield (TTM)0.46%2.71%
Dividend Payout Ratio (TTM)13.53%84.37%

Valuation

Price-to-Earnings Ratio (TTM)

WAB

29.57

Machinery Industry

Max
47.95
Q3
30.11
Median
22.35
Q1
16.56
Min
6.48

WAB’s P/E Ratio of 29.57 is within the middle range for the Machinery industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

WSO

31.18

Trading Companies & Distributors Industry

Max
42.69
Q3
25.21
Median
16.99
Q1
13.13
Min
5.35

A P/E Ratio of 31.18 places WSO in the upper quartile for the Trading Companies & Distributors industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

WAB vs. WSO: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Price-to-Sales Ratio (TTM)

WAB

3.23

Machinery Industry

Max
4.97
Q3
2.76
Median
1.65
Q1
1.04
Min
0.04

WAB’s P/S Ratio of 3.23 is in the upper echelon for the Machinery industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

WSO

2.21

Trading Companies & Distributors Industry

Max
4.90
Q3
2.71
Median
1.06
Q1
0.70
Min
0.30

WSO’s P/S Ratio of 2.21 aligns with the market consensus for the Trading Companies & Distributors industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

WAB vs. WSO: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Price-to-Book Ratio (MRQ)

WAB

3.32

Machinery Industry

Max
7.29
Q3
4.06
Median
2.67
Q1
1.54
Min
0.52

WAB’s P/B Ratio of 3.32 is within the conventional range for the Machinery industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

WSO

6.47

Trading Companies & Distributors Industry

Max
7.55
Q3
4.63
Median
2.09
Q1
1.30
Min
0.31

WSO’s P/B Ratio of 6.47 is in the upper tier for the Trading Companies & Distributors industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

WAB vs. WSO: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Trading Companies & Distributors industry benchmarks.

Valuation at a Glance

SymbolWABWSO
Price-to-Earnings Ratio (TTM)29.5731.18
Price-to-Sales Ratio (TTM)3.232.21
Price-to-Book Ratio (MRQ)3.326.47
Price-to-Free Cash Flow Ratio (TTM)23.4822.31