Watsco (WSO) fundamentals: P/E, valuation, undervalued?
Watsco · Industrials · ref. ETF XLI · price $291.5
In short — Watsco trades at 25.0× earnings (P/E), 22.0× forward, with a net margin of 6.5 % and revenue growth of +2 %. Read: Average P/E (P/E 25 (near the ~20-25 average)).
Is Watsco stock cheap or undervalued? A good time to buy? Here are its fundamentals — P/E, PEG, margin and income statement — to judge its valuation.
📈 1-year price
$291.5-20.4% over range
Oct 14, 25low $279.9 · high $456.86Oct 13, 26
📏 Click 2 points (left → right) to measure the change · click again to clear.
SellBuy
Buy
50% recommend buying · 4 analysts
Valuation : Average P/E — P/E 25 (near the ~20-25 average)
Valuation
25.0
P/E (price/earnings)
22.0
Forward P/E
—
PEG
3.8
Price/book (P/B)
$12.0B
Market cap
11.67
EPS
Profitability & growth
6.5 %
Net margin
+2 %
Revenue growth
-12 %
Earnings growth
$535M
Total debt
Watsco income statement
| Fiscal year | Revenue | Net income | Margin |
|---|---|---|---|
| 2022 | $7.3B | $550M | 7.6 % |
| 2023 | $7.3B | $499M | 6.9 % |
| 2024 | $7.6B | $499M | 6.5 % |
| 2025 | $7.2B | $464M | 6.4 % |
⚠️ Indicative financial data (Yahoo Finance), not investment advice. Amounts in $.
Frequently asked questions
What is Watsco's P/E and is the stock undervalued? What's a good P/E?
Watsco's P/E is 25.0 (forward 22.0). Below ~15 = fairly cheap, above ~30 = expensive. Our valuation verdict: "Average P/E".
Is Watsco profitable?
Watsco has a net margin of 6.5 % (EPS 11.67). The company is profitable.
Is WSO stock expensive?
Our read: "Average P/E" — P/E 25 (near the ~20-25 average). Cross-check with growth and sector.
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