WSOWatsco, Inc.
Is the price fair?
Neither cheap nor expensive: growth expectations in line with delivery and in its normal P/E range.
Priced for ~8% a year FCF growth. Moderate growth expectations are priced in.
In its normal range: P/E 24.1 vs a 23.2 median over 41 quarters (+4% vs median).
Sector median 23.3× across 246 covered peers. EV/EBIT counts debt as part of the price, so a cash-rich and a borrowed company can be compared on the same footing.
Unless marked, from derived, as of Jun 30, 2026.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The growth-implied estimate assumes a fixed discount rate; capital-heavy sectors look structurally rich on it.
What WSO's price assumes
Watsco, Inc. trades at 24.1× earnings against 25.8× for the median Industrial Distribution name, cheaper than its own group.
Trailing P/E · Industrial Distribution median 25.8 · cheaper than the typical name in its group
- Price / sales
- 2.33
Price / sales · today's price, trailing year to Jun 30, 2026
- Free cash flow yield
- 4.1%
Free cash flow yield · Industrial Distribution median 4.1%
- Growth the price implies
- +8.3%
Growth the price implies · The price pays for +8.3% free cash flow growth a year for a decade; the business has delivered +23% a year over the last three.
Details›
- Price / booktoday's price, trailing year to Jun 30, 2026
- 5.67
- EV / EBITtoday's price, trailing year to Jun 30, 2026
- 24.3
- EV / salestoday's price, trailing year to Jun 30, 2026
- 2.28
- Industrials median P/E440 names
- 26.5
- Industrial Distribution median P/E20 names
- 25.8
- Free cash flow, trailing twelve months
- $697M
- Market capitalisation
- $17.0B
- 3-year revenue growth
- +0.52%
- 3-year free cash flow growth
- +23%
| Method | Per share |
|---|---|
| Its own P/E history, lower quartile | $244.90 |
| Its own P/E history, median | $269.73 |
| Its own P/E history, upper quartile | $345.32 |
| 52-week range | $280.01 – $456.86 |
| Today | $280.01 |
Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.
Industrial Distribution
Ranks #7 of 17 by RyuScore