WSO.B vs. WTS: Watsco vs. Watts Water Stock Comparison
How do Watsco (WSO.B) 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
Watsco (WSO.B) and Watts Water (WTS) both fall under the Capital Goods industry group, but WSO.B is classified in Trading Companies & Distributors while WTS is classified in Machinery.
| Profile Item | WSO.B | WTS |
|---|---|---|
| Name | Watsco Inc. Class B Common Stock | 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 | 12.92 billion USD | 11.55 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 17, 1980 | August 21, 1986 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | WSO.B | WTS |
|---|---|---|
| Total Return (1Y) | -11.21% | 33.85% |
| Total Return (3Y, Annualized) | -3.05% | 25.59% |
| Total Return (5Y, Annualized) | 4.30% | 12.56% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | WSO.B | WTS |
|---|---|---|
| Volatility (1Y, Annualized) | 40.28% | 27.38% |
| Beta (5Y) | 0.64 | 1.11 |
| Max Drawdown (5Y) | -43.41% | -44.08% |
| Avg. Volume (3M) | 74 | 225.08K |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | WSO.B | WTS |
|---|---|---|
| Sharpe Ratio (1Y) | -0.38 | 1.08 |
| Sortino Ratio (1Y) | -0.57 | 1.78 |
Profitability
ROE (TTM)
Watts Water (WTS) at 20.91% sits in the top ROE quartile, while Watsco (WSO.B) at 16.21% is closer to the peer norm — stronger capital efficiency for WTS.
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%
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 Watsco (WSO.B) at 6.31%, which keeps about the industry-typical share.
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%
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 Watsco (WSO.B) at 10.14%, which runs around its industry’s norm.
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%
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 | WSO.B | WTS |
|---|---|---|
| ROE (TTM) | 16.21% | 20.91% |
| ROA (TTM) | 8.27% | 12.05% |
| Net Margin (TTM) | 6.31% | 16.00% |
| Operating Margin (TTM) | 10.14% | 20.85% |
| Gross Margin (TTM) | 27.18% | 49.09% |
Growth
Revenue Growth
Watts Water (WTS) at 8.27% 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.
EPS Growth
Both Watsco (WSO.B) at -7.47% 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 | WSO.B | WTS |
|---|---|---|
| Revenue Growth (YoY) | -4.98% | 8.27% |
| Revenue Growth (3Y CAGR) | -0.16% | 7.20% |
| EPS Growth (YoY) | -7.47% | 17.03% |
| EPS Growth (3Y CAGR) | -6.89% | 10.78% |
Financial Strength
Current Ratio (MRQ)
Watts Water (WTS) at 2.80 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.
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
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)
Both Watsco (WSO.B) at 0.16 and Watts Water (WTS) at 0.08 keep leverage in the lower quartile of their industries, with less balance-sheet debt relative to equity than most peers.
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
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 | WSO.B | WTS |
|---|---|---|
| Current Ratio (MRQ) | 3.15 | 2.80 |
| Debt / Equity (MRQ) | 0.16 | 0.08 |
| Net Debt / EBITDA | -0.14 | -0.40 |
Dividends
Dividend Yield (TTM)
Watts Water (WTS) at 0.66% pays an industry-typical yield; Watsco (WSO.B) at 4.02% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.
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%
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)
Watsco (WSO.B) reports payout ratio above 100% at 109.66%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile Watts Water (WTS) reports 17.24%, ranking against industry peers normally.
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%
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 | WSO.B | WTS |
|---|---|---|
| Dividend Yield (TTM) | 4.02% | 0.66% |
| Dividend Payout Ratio (TTM) | 109.66% | 17.24% |
Valuation
P/E Ratio (TTM)
Both Watsco (WSO.B) at 27.26 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.
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
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)
Watsco (WSO.B) at 1.74 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.
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
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)
On P/B ratio, both Watsco (WSO.B) at 3.99 and Watts Water (WTS) at 4.98 are valued close to their industries’ norm against book — neither stands out from peers.
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
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 | WSO.B | WTS |
|---|---|---|
| P/E Ratio (TTM) | 27.26 | 25.95 |
| P/S Ratio (TTM) | 1.74 | 4.14 |
| P/B Ratio (MRQ) | 3.99 | 4.98 |
| Free Cash Flow Yield (TTM) | 3.50% | 2.21% |