Watsco (NYSE:WSO) Azioni

Watsco

Watsco is the largest heating, ventilation, air conditioning, and refrigeration products distributor in North America. The company primarily operates in the United States (90% of revenue) with significant exposure in the Sunbelt states. Watsco also has operations in Canada (5% of sales) and Latin America (5% of sales). The company's customer base consists of more than 125,000 contractors that serve the replacement and new construction HVACR markets for residential and light commercial applications.

In the current session, Watsco Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) is trading at $429.67, after a 0.36% drop. Over the past month, the stock decreased by 4.95%, and in the past year, by 8.87%. With performance like this, long-term shareholders are more likely to start looking into the company's price-to-earnings ratio. 

<img src="https://www.benzinga.com/files/images/story/2025/1750870878_0.png" alt="Past Year Chart" />

<h3>Comparing Watsco P/E Against Its Peers</h3>
The P/E ratio is used by long-term shareholders to assess the company's market performance against aggregate market data, historical earnings, and the industry at large. A lower P/E could indicate that shareholders do not expect the stock to perform better in the future or it could mean that the company is undervalued. 
Watsco has a lower P/E than the aggregate P/E of 105.09 of the Trading Companies &amp; Distributors industry. Ideally, one might believe that the stock might perform worse than its peers, but it's also probable that the stock is undervalued. 

<img src="https://www.benzinga.com/files/images/story/2025/1750870879_1.png" alt="Guage" />

In summary, while the price-to-earnings ratio is a valuable tool for investors to evaluate a company's market performance, it should be used with caution. A low P/E ratio can be an indication of undervaluation, but it can also suggest weak growth prospects or financial instability. Moreover, the P/E ratio is just one of many metrics that investors should consider when making investment decisions, and it should be evaluated alongside other financial ratios, industry trends, and qualitative factors. By taking a comprehensive approach to analyzing a company's financial health, investors can make well-informed decisions that are more likely to lead to successful outcomes.

News

Intraday Update

Markets

P/E Ratio Insights for Watsco

UBS analyst Damian Karas maintains Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) with a Neutral and lowers the price target from $455 to $450.

Price Target

Analyst Ratings

UBS Maintains Neutral on Watsco, Lowers Price Target to $450

JP Morgan analyst Stephen Tusa maintains Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) with a Neutral and raises the price target from $445 to $460.

JP Morgan Maintains Neutral on Watsco, Raises Price Target to $460

Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) has outperformed the market over the past 20 years by 4.41% on an annualized basis producing an average annual return of 12.72%. Currently, Watsco has a market capitalization of $19.38 billion. 
Buying $1000 In WSO: If an investor had bought $1000 of WSO stock 20 years ago, it would be worth $10,813.62 today based on a price of $478.40 for WSO at the time of writing.
<h3>Watsco's Performance Over Last 20 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1747324827_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Trading Ideas

Here's How Much You Would Have Made Owning Watsco Stock In The Last 20 Years

Watsco's (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) short percent of float has risen 9.78% since its last report. The company recently reported that it has 2.64 million shares sold short, which is 8.64% of all regular shares that are available for trading. Based on its trading volume, it would take traders 8.66 days to cover their short positions on average.
<h3>Why Short Interest Matters</h3>
Short interest is the number of shares that have been sold short but have not yet been covered or closed out. <a href="https://www.benzinga.com/money/how-to-short-a-stock?adType=benzinga-insights&amp;ad=short-interest&amp;campaign=wallstreetadvantage">Short selling</a> is when a trader sells shares of a company they do not own, with the hope that the price will fall. Traders make money from short selling if the price of the stock falls and they lose if it rises.
Short interest is important to track because it can act as an indicator of market sentiment towards a particular stock. An increase in short interest can signal that investors have become more bearish, while a decrease in short interest can signal they have become more bullish.
See Also: <a href="https://www.benzinga.com/short-interest?adType=benzinga-insights&amp;ad=short-interest&amp;campaign=wallstreetadvantage">List of the most shorted stocks</a>
<h3>Watsco Short Interest Graph (3 Months)</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1746558038_0.png" alt="short_fig" />
As you can see from the chart above the percentage of shares that are sold short for Watsco has grown since its last report. This does not mean that the stock is going to fall in the near-term but traders should be aware that more shares are being shorted.
<h3>Comparing Watsco's Short Interest Against Its Peers</h3>
Peer comparison is a popular technique amongst analysts and investors for gauging how well a company is performing. A company's peer is another company that has similar characteristics to it, such as industry, size, age, and financial structure. You can find a company's peer group by reading its 10-K, proxy filing, or by doing your own similarity analysis.
According to <a href="https://www.benzinga.com/pro/">Benzinga Pro</a>, Watsco's peer group average for short interest as a percentage of float is 6.10%, which means the company has more short interest than most of its peers.
Did you know that increasing short interest can actually be bullish for a stock? <a href="https://www.benzinga.com/money/how-to-make-money-on-a-short-squeeze?adType=benzinga-insights&amp;ad=short-interest&amp;campaign=wallstreetadvantage">This post by Benzinga Money explains how you can profit from it.</a>
This article was generated by Benzinga's automated content engine and was reviewed by an editor.

Short Sellers

Short Ideas

Is Watsco Gaining or Losing Market Support?

Watsco, Inc.&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) announced that it has completed the acquisition of Southern Ice Equipment Distributors as well as two other transactions completed thus far in 2025. Terms of the transactions were not disclosed.
Founded in 1984 and based in Lafayette, Louisiana, Southern Ice is a leading distributor of food-service and commercial refrigeration equipment, parts and supplies, including products manufactured by Manitowoc Ice, a division of Pentair plc. The Company operates seven locations in key Sunbelt markets including Louisiana, Mississippi, Arkansas, Texas, New Mexico and Arizona. Southern Ice will operate under its existing name and under the direction of its current leadership team to provide continuity to customers, employees and OEM partners.
In addition to Southern Ice, Watsco completed two other acquisitions earlier in the year:
<ul>
<li>Lashley &amp; Associates, a distributor of commercial supplies and custom air movement products based in Houston, Texas, was purchased in January 2025.</li>
<li>Hawkins HVAC Distributors, a distributor of HVAC equipment and supplies with locations in Charlotte, North Carolina and Columbia, South Carolina was acquired in April 2025.</li>
</ul>
With these acquisitions, Watsco has added 10 new locations and approximately $47 million in annualized sales in high-growth Sunbelt markets that provide new brands, broader product offerings and expanded distribution points to better serve customers.

Watsco Announces Acquisition Of Southern Ice Equipment Distributors: Terms Not Disclosed

These twelve large-cap stocks were the worst performers in the last week. Are they in your portfolio?
<ol>
<li>Fiserv, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FI#NYSE">FI</a>) stock tumbled 14.92% after the company issued FY25 adjusted EPS guidance with its midpoint below estimates. Analysts changed <a href="https://www.benzinga.com//node/45013364" target="_blank" rel="noreferrer noopener">their price forecasts</a>.</li>
<li>Northrop Grumman Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NOC#NYSE">NOC</a>) shares dipped 12.43% after the company reported worse-than-expected results and lowered its FY25 EPS guidance. Several analysts <a href="https://www.benzinga.com//node/44965915" target="_blank" rel="noreferrer noopener">lowered their price forecasts</a>.</li>
<li>Erie Indemnity Company (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ERIE#NASDAQ">ERIE</a>) stock plummeted 11.95% after it reported financial results <a href="https://www.benzinga.com//node/44995337" target="_blank" rel="noreferrer noopener">and missed its EPS estimate</a>.</li>
<li>T-Mobile US, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TMUS#NASDAQ">TMUS</a>) shares fell 11.17% last week following the <a href="https://www.benzinga.com//node/44995935" target="_blank" rel="noreferrer noopener">first-quarter financial results</a>.</li>
<li>Watsco, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) shares dipped 9.98% after the company reported first-quarter results and <a href="https://www.benzinga.com//node/44945784" target="_blank" rel="noreferrer noopener">missed its EPS and sales estimates</a>. Analysts <a href="https://www.benzinga.com/quote/wso/analyst-ratings" target="_blank" rel="noreferrer noopener">revised the price forecast</a>.</li>
<li>Gold Fields (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GFI#NYSE">GFI</a>) shares decreased 9.13%, probably because gold prices dropped after President Trump said he had no intention of firing Fed Chair Powell and indicated that the final tariff rate with China would be &#8220;substantially&#8221; lower than the current 145%.</li>
<li>Aon plc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AON#NYSE">AON</a>) stock fell 8.59% after the company reported financial results and missed its adjusted <a href="https://www.benzinga.com//node/45003204" target="_blank" rel="noreferrer noopener">EPS and revenue estimates</a>.</li>
<li>AngloGold Ashanti PLC (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AU#NYSE">AU</a>) shares fell 8.44%, probably because gold prices dropped after President Trump said he had no intention of firing Fed Chair Powell and indicated that the final tariff rate with China would be &#8220;substantially&#8221; lower than the current 145%.</li>
<li>Ryan Specialty Holdings, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RYAN#NYSE">RYAN</a>) stock was down 8.17%. The company inked a deal to acquire certain assets of USQRisk <a href="https://www.benzinga.com//node/44910617" target="_blank" rel="noreferrer noopener">Holdings for an undisclosed amount</a>.</li>
<li>Tyler Technologies, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TYL#NYSE">TYL</a>) stock fell 7.99% last week after the company reported first-quarter results. Several analysts <a href="https://www.benzinga.com/quote/TYL/analyst-ratings" target="_blank" rel="noreferrer noopener">lowered their price forecasts</a>.</li>
<li>Kimberly-Clark Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KMB#NYSE">KMB</a>) stock declined 7.84% after it reported weaker-than-expected first-quarter sales, and several <a href="https://www.benzinga.com//node/44959233" target="_blank" rel="noreferrer noopener">analysts slashed their price forecast</a>.</li>
<li>UnitedHealth Group Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UNH#NYSE">UNH</a>) shares decreased 7.81%. The company reported disappointing first-quarter results last week, and <a href="https://www.benzinga.com//node/44913470" target="_blank" rel="noreferrer noopener">analysts revised the price forecast</a>.</li>
</ol>
Photo by Ken Wolter via Shutterstock

Earnings

Equities

Large Cap

Movers

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TMUS

UnitedHealth, T-Mobile And Fiserv Are Among Top 12 Large-Cap Losers Last Week (Apr 21-Apr 25): Are The Others In Your Portfolio?

Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) has outperformed the market over the past 5 years by 8.33% on an annualized basis producing an average annual return of 22.18%. Currently, Watsco has a market capitalization of $18.30 billion. 
Buying $1000 In WSO: If an investor had bought $1000 of WSO stock 5 years ago, it would be worth $2,770.86 today based on a price of $453.09 for WSO at the time of writing.
<h3>Watsco's Performance Over Last 5 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1745593214_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Here's How Much $1000 Invested In Watsco 5 Years Ago Would Be Worth Today

UBS analyst Damian Karas maintains Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) with a Neutral and lowers the price target from $475 to $455.

UBS Maintains Neutral on Watsco, Lowers Price Target to $455

Baird analyst David Manthey maintains Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) with a Outperform and lowers the price target from $560 to $540.

Baird Maintains Outperform on Watsco, Lowers Price Target to $540

<h3>Gainers</h3>
<ul>
<li>Jayud Global Logistics (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/JYD#NASDAQ">JYD</a>) shares moved upwards by 132.4% to $0.24 during Wednesday's regular session. The company's market cap stands at $22.6 million. </li>
<li>American Rebel Holdings (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AREB#NASDAQ">AREB</a>) stock moved upwards by 66.96% to $3.69. The company's market cap stands at $8.7 million. </li>
<li>SunPower (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SPWR#NASDAQ">SPWR</a>) shares increased by 23.25% to $2.01. The company's market cap stands at $148.1 million. </li>
<li>Healthcare Services Group (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HCSG#NASDAQ">HCSG</a>) shares increased by 21.14% to $11.4. The company's market cap stands at $831.2 million. As per the news, the Q1 earnings report came out today. </li>
<li>Graphex Gr (AMEX:<a class="ticker" href="https://www.benzinga.com/stock/GRFX#AMEX">GRFX</a>) shares rose 16.66% to $1.05. The market value of their outstanding shares is at $21.9 million. </li>
<li>Power Solutions Intl (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PSIX#NASDAQ">PSIX</a>) stock rose 15.91% to $24.36. The company's market cap stands at $560.5 million. </li>
</ul>
<h3>Losers</h3>
<ul>
<li>Quest Resource Holding (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QRHC#NASDAQ">QRHC</a>) stock declined by 11.0% to $2.15 during Wednesday's regular session. The market value of their outstanding shares is at $44.4 million. </li>
<li>Toppoint Holdings (AMEX:<a class="ticker" href="https://www.benzinga.com/stock/TOPP#AMEX">TOPP</a>) shares decreased by 10.61% to $1.18. The market value of their outstanding shares is at $20.6 million. </li>
<li>Dragonfly Energy Hldgs (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DFLI#NASDAQ">DFLI</a>) shares decreased by 10.58% to $0.52. The company's market cap stands at $3.8 million. </li>
<li>Erayak Power Solution Gr (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RAYA#NASDAQ">RAYA</a>) shares declined by 8.92% to $1.45. The company's market cap stands at $40.6 million. </li>
<li>Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) stock declined by 8.84% to $458.71. The company's market cap stands at $18.5 billion. The company's, Q1 earnings came out today. </li>
<li>Advent Technologies Hldgs (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ADN#NASDAQ">ADN</a>) shares declined by 8.28% to $2.1. The company's market cap stands at $5.5 million. 
See Also: <a href="http://www.benzinga.com/money/best-industrials-stocks/" title="www.benzinga.com/money/best-industrials-stocks/">www.benzinga.com/money/best-industrials-stocks/</a></li>
</ul>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

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12 Industrials Stocks Moving In Wednesday's Intraday Session

WIIM

Watsco shares are trading lower after the company reported Q1 financial results and missed its EPS and sales estimates.

U.S. stock futures were higher this morning, with the Dow futures gaining around 700 points on Wednesday.
Shares of Enphase Energy, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ENPH#NASDAQ">ENPH</a>) fell sharply in today's pre-market trading after the company reported worse-than-expected quarterly <a href="https://www.benzinga.com/quote/ENPH">financial results</a>.
Enphase Energy reported first-quarter revenue of $356.1 million, missing the consensus estimate of $361.43 million. The solar company reported adjusted earnings of 68 cents per share, missing analyst estimates of 70 cents per share, according to Benzinga Pro.
Enphase Energy shares dipped 11.5% to $47.22 in the pre-market trading session.
Here are some other stocks moving lower in pre-market trading.
<ul>
<li>Gelteq Limited (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GELS#NASDAQ">GELS</a>) shares dipped 17.7% to $2.3709 in pre-market trading after jumping 211% on Tuesday.</li>
<li>Forge Global Holdings, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FRGE#NYSE">FRGE</a>) shares tumbled 12.1% to $10.38 in pre-market trading after falling 4% on Tuesday.</li>
<li>NovaGold Resources Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NG#NYSE">NG</a>) fell 10.6% to $3.89 in today's pre-market trading after jumping 40% on Tuesday.</li>
<li>Akso Health Group (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AHG#NASDAQ">AHG</a>) dipped 9.4% to $1.2500 in pre-market trading.</li>
<li>SolarEdge Technologies, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SEDG#NASDAQ">SEDG</a>) dipped 7.2% to $12.11 in pre-market trading. SolarEdge Technologies will report financial results for the first quarter before market open on Tuesday, May 6.</li>
<li>Orla Mining Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORLA#NYSE">ORLA</a>) fell 5.2% to $10.51 in pre-market trading.</li>
<li>Watsco, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) declined 4.7% to $479.67 in pre-market trading following downbeat first-quarter results.</li>
</ul>
Now Read This: 
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<li><a href="https://www.benzinga.com/25/04/44920101/top-2-tech-and-telecom-stocks-you-may-want-to-dump-this-quarter">Top 2 Tech And Telecom Stocks You May Want To Dump This Quarter</a> </li>
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Photo via Shutterstock

Pre-Market Outlook

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Enphase Energy Posts Downbeat Results, Joins Watsco And Other Big Stocks Moving Lower In Wednesday's Pre-Market Session

<h3>Gainers</h3>
<ul>
<li>Jayud Global Logistics (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/JYD#NASDAQ">JYD</a>) shares rose 40.7% to $0.14 during Wednesday's pre-market session. The company's market cap stands at $13.7 million. </li>
<li>CleanCore Solutions (AMEX:<a class="ticker" href="https://www.benzinga.com/stock/ZONE#AMEX">ZONE</a>) stock rose 19.68% to $1.44. The company's market cap stands at $11.4 million. </li>
<li>Vertiv Holdings (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VRT#NYSE">VRT</a>) shares increased by 16.95% to $84.0. The market value of their outstanding shares is at $31.9 billion. The company's, Q1 earnings came out today. </li>
<li>Fusion Fuel Green (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HTOO#NASDAQ">HTOO</a>) shares rose 16.25% to $0.28. The company's market cap stands at $7.1 million. </li>
<li>AirJoule Technologies (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AIRJ#NASDAQ">AIRJ</a>) stock rose 11.35% to $5.69. The company's market cap stands at $321.2 million. </li>
<li>Hyperscale Data (AMEX:<a class="ticker" href="https://www.benzinga.com/stock/GPUS#AMEX">GPUS</a>) shares rose 9.92% to $2.22. The company's market cap stands at $3.3 million. </li>
</ul>
<h3>Losers</h3>
<ul>
<li>Northann (AMEX:<a class="ticker" href="https://www.benzinga.com/stock/NCL#AMEX">NCL</a>) stock decreased by 14.2% to $0.24 during Wednesday's pre-market session. The company's market cap stands at $13.0 million. </li>
<li>Odyssey Marine Explr (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OMEX#NASDAQ">OMEX</a>) stock decreased by 5.81% to $0.43. The company's market cap stands at $12.5 million. </li>
<li>Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) shares fell 5.6% to $475.0. The market value of their outstanding shares is at $19.1 billion. The company's, Q1 earnings came out today. </li>
<li>Orion Energy Sys (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OESX#NASDAQ">OESX</a>) stock decreased by 5.53% to $0.74. The market value of their outstanding shares is at $24.5 million. 
See Also: <a href="http://www.benzinga.com/money/best-industrials-stocks/" title="www.benzinga.com/money/best-industrials-stocks/">www.benzinga.com/money/best-industrials-stocks/</a></li>
</ul>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

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10 Industrials Stocks Moving In Wednesday's Pre-Market Session

Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) reported quarterly earnings of $1.93 per share which missed the analyst consensus estimate of $2.25 by 14.22 percent. This is a 11.06 percent decrease over earnings of $2.17 per share from the same period last year. The company reported quarterly sales of $1.53 billion which missed the analyst consensus estimate of $1.65 billion by 7.46 percent. This is a 2.17 percent decrease over sales of $1.56 billion the same period last year.

Earnings Misses

Watsco Q1 EPS $1.93 Misses $2.25 Estimate, Sales $1.53B Miss $1.65B Estimate

AMTB

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EGBN

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Earnings Scheduled For April 23, 2025

Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) is gearing up to announce its quarterly earnings on Wednesday, 2025-04-23. Here's a quick overview of what investors should know before the release.
Analysts are estimating that Watsco will report an earnings per share (EPS) of $2.24.
The market awaits Watsco's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
<h3>Earnings History Snapshot</h3>
In the previous earnings release, the company beat EPS by $0.21, leading to a 3.59% drop in the share price the following trading session.
Here's a look at Watsco's past performance and the resulting price change:

<table>
<thead>
<tr>
<th>Quarter</th>
<th>Q4 2024</th>
<th>Q3 2024</th>
<th>Q2 2024</th>
<th>Q1 2024</th>
</tr>
</thead>
<tbody>
<tr>
<td>EPS Estimate</td>
<td>2.16</td>
<td>4.73</td>
<td>4.67</td>
<td>2.28</td>
</tr>
<tr>
<td>EPS Actual</td>
<td>2.37</td>
<td>4.22</td>
<td>4.49</td>
<td>2.17</td>
</tr>
<tr>
<td>Price Change %</td>
<td>-4.0%</td>
<td>3.0%</td>
<td>2.0%</td>
<td>1.0%</td>
</tr>
</tbody>
</table>

<img src="https://www.benzinga.com/files/images/story/2025/1745337752_0.png" alt="eps graph" />
<h3>Performance of Watsco Shares</h3>
Shares of Watsco were trading at $494.91 as of April 21. Over the last 52-week period, shares are up 13.94%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release. 
<h3>Analyst Views on Watsco</h3>
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Watsco.
The consensus rating for Watsco is Neutral, derived from 3 analyst ratings. An average one-year price target of $511.67 implies a potential 3.39% upside.
<h3>Comparing Ratings with Competitors</h3>
The below comparison of the analyst ratings and average 1-year price targets of Core &amp; Main, FTAI Aviation and Ferguson Enterprises, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.
<ul>
<li>Analysts currently favor an Outperform trajectory for Core &amp; Main, with an average 1-year price target of $62.5, suggesting a potential 87.37% downside.</li>
<li>Analysts currently favor an Outperform trajectory for FTAI Aviation, with an average 1-year price target of $130.25, suggesting a potential 73.68% downside.</li>
<li>Analysts currently favor an Outperform trajectory for Ferguson Enterprises, with an average 1-year price target of $188.17, suggesting a potential 61.98% downside.</li>
</ul>
<h3>Comprehensive Peer Analysis Summary</h3>
Within the peer analysis summary, vital metrics for Core &amp; Main, FTAI Aviation and Ferguson Enterprises are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

<table>
<thead>
<tr>
<th>Company</th>
<th>Consensus</th>
<th>Revenue Growth</th>
<th>Gross Profit</th>
<th>Return on Equity</th>
</tr>
</thead>
<tbody>
<tr>
<td>Watsco</td>
<td>Neutral</td>
<td>9.40%</td>
<td>$468.08M</td>
<td>3.37%</td>
</tr>
<tr>
<td>Core &amp; Main</td>
<td>Outperform</td>
<td>17.92%</td>
<td>$451M</td>
<td>3.80%</td>
</tr>
<tr>
<td>FTAI Aviation</td>
<td>Outperform</td>
<td>59.50%</td>
<td>$186.41M</td>
<td>86.86%</td>
</tr>
<tr>
<td>Ferguson Enterprises</td>
<td>Outperform</td>
<td>2.98%</td>
<td>$2.04B</td>
<td>4.95%</td>
</tr>
</tbody>
</table>

Key Takeaway:
Watsco ranks at the bottom for Revenue Growth among its peers. It is in the middle for Gross Profit and Return on Equity.
<h3>All You Need to Know About Watsco</h3>
Watsco is the largest heating, ventilation, air conditioning, and refrigeration products distributor in North America. The company primarily operates in the United States (90% of revenue) with significant exposure in the Sunbelt states. Watsco also has operations in Canada (5% of sales) and Latin America (5% of sales). The company's customer base consists of more than 125,000 contractors that serve the replacement and new construction HVACR markets for residential and light commercial applications.
<h3>Unraveling the Financial Story of Watsco</h3>
Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.
Positive Revenue Trend: Examining Watsco's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 9.4% as of 31 December, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: Watsco's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 5.14%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Watsco's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 3.37%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 2.0%, the company showcases effective utilization of assets.
Debt Management: With a below-average debt-to-equity ratio of 0.17, Watsco adopts a prudent financial strategy, indicating a balanced approach to debt management.
<a href="https://www.benzinga.com/quote/WSO/earnings">To track all earnings releases for Watsco visit their earnings calendar on our site.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

What to Expect from Watsco's Earnings

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Shares of companies within the broader industrial sector are trading lower amid overall market weakness after Fed Chair Powell made remarks at the Economic Club. Stocks across sectors may also be weighed down on trade tension fears after after the United States informed NVIDIA that it may require a license to export chips to China.

It&#8217;s been a week since the <a href="https://www.benzinga.com/etfs">Schwab U.S. Dividend Equity ETF</a> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SCHD#NYSE">SCHD</a>) jumped 5.39% by afternoon in a surprise midday rally, up from an intraday low of $23.88 to a high of $25.79, before closing further up at $25.87. The price has remained elevated, albeit 1.7% lower than last Wednesday.
Also Read: <a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/04/44824711/etfs-for-the-brave-are-these-high-octane-funds-your-best-bet-to-ride-an-upward-market-">ETFs For The Brave: Are These High-Octane Funds Your Best Bet To Ride An Upward Market Swing?</a>
The spike, which caught traders off guard after a relatively quiet morning of April 9, suggested a potential surge of institutional buying or tactical reallocations—possibly tied to rebalancing or changing interest rate expectations.
While the specific volume figures have not yet been validated, the distinctive price action was noteworthy, particularly relative to key benchmarks such as the S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and the Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), both of which also had positive momentum that day. Neither one, however, even came close to SCHD&#8217;s stunning percentage increase.
Market observers suspect this action could be indicative of a wider value and dividend-rich stock rotation, as inflationary anxiety and interest rate uncertainty drive investors onto firmer ground. With mega-cap growth leaders such as Apple (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>), Amazon (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) and Meta (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) experiencing double-digit intraday gains, sentiment among ETFs was positive. However, SCHD&#8217;s strength could also be an indicator of something more profound: a reversion to fundamentals.
A Decade Of Discipline: Why SCHD Matters Now
While Wall Street weathers yet another round of tariff-induced volatility, investors yearn for consistency. Boasting a 3.96% SEC 30-day <a href="https://www.schwabassetmanagement.com/products/schd">yield</a>, dividend <a href="https://stockanalysis.com/etf/schd/history/">yield </a>of 4.09%, a sub-0.06% expense ratio, and a long-term value-oriented approach, SCHD has quietly established itself as a steady performer in trying times.
Following the Dow Jones U.S. Dividend 100 Index, SCHD filters for U.S. stocks with 10 or more years of unbroken dividend growth, sorting them by financial stability, cash flow health, return on equity and dividend track record. The outcome? A concentrated portfolio of dividend champions such as Chevron (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CVX#NYSE">CVX</a>) and Altria (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MO#NYSE">MO</a>)—names that have performed better than broader benchmarks through previous crises, including the 2008 meltdown.
Structure Built For Stability
SCHD&#8217;s durability is supported by its diversified strategy. Diversified over 103 holdings in seven sectors—financials (19%), healthcare (17%) and consumer staples (14%), the ETF is sector-diversified while remaining underweight in tech, which overhangs competitors such as the S&amp;P 500, where tech companies alone constitute almost 30%.
This conservative bias translates to a lower beta of 0.81 (a beta of less than 1 means lower vulnerability to volatility) and less downside risk. During previous downturns, staples sectors fell only 20% versus 30%+ declines in tech-heavy indexes, according to Money Morning. When Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) fell 17% earlier this year, SCHD remained steadfast, thanks to its sector capping (no sector >25%) and single-stock exposure limits (no stock >4%).
What&#8217;s Next?
SCHD&#8217;s performance will be shaped by the prospects of its current holdings. Among those with high upside potential are:
Inter Parfums (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/IPAR#NASDAQ">IPAR</a>)
Murphy Oil (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MUR#NYSE">MUR</a>)
Kforce (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KFRC#NYSE">KFRC</a>)
Conversely, some caution is perhaps justified with:
CNA Financial (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CNA#NYSE">CNA</a>)
The Hershey Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HSY#NYSE">HSY</a>)
Watsco (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>)
Bottom Line
SCHD doesn&#8217;t pursue hype; it accumulates quietly through consistency. With $65.6 billion in assets and a 53% 5-year total return, it continues to provide a compelling combination of income, value and stability. Its dividend payout ratio of 61.07% and its 16.67% dividend raise last year highlight the fund&#8217;s power of income.
In a world where sentiment and speculation wildly fluctuate, SCHD is a north star for long-term investors because it provides not just peace of mind but reliable outcomes.
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/general/restaurants/25/04/44823749/wall-street-sours-on-chipotle-here-are-etfs-caught-in-the-crossfire">Wall Street Sours On Chipotle: Here Are ETFs Caught In The Crossfire</a></li>
</ul>
Photo: Shutterstock

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The Dividend ETF That Just Woke Up And Why Investors Are Watching Closely

In the current market session, Watsco Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WSO#NYSE">WSO</a>) stock price is at $504.52, after a 1.14% decrease. However, over the past month, the company's stock increased by 0.20%, and in the past year, by 26.67%. Shareholders might be interested in knowing whether the stock is overvalued, even if the company is not performing up to par in the current session. 

<img src="https://www.benzinga.com/files/images/story/2025/1744812021_0.png" alt="Past Year Chart" />

<h3>How Does Watsco P/E Compare to Other Companies?</h3>
The P/E ratio is used by long-term shareholders to assess the company's market performance against aggregate market data, historical earnings, and the industry at large. A lower P/E could indicate that shareholders do not expect the stock to perform better in the future or it could mean that the company is undervalued. 
Compared to the aggregate P/E ratio of 19.92 in the Trading Companies &amp; Distributors industry, Watsco Inc. has a higher P/E ratio of 38.37. Shareholders might be inclined to think that Watsco Inc. might perform better than its industry group. It's also possible that the stock is overvalued. 

<img src="https://www.benzinga.com/files/images/story/2025/1744812021_1.png" alt="Guage" />

In conclusion, the price-to-earnings ratio is a useful metric for analyzing a company's market performance, but it has its limitations. While a lower P/E can indicate that a company is undervalued, it can also suggest that shareholders do not expect future growth. Additionally, the P/E ratio should not be used in isolation, as other factors such as industry trends and business cycles can also impact a company's stock price. Therefore, investors should use the P/E ratio in conjunction with other financial metrics and qualitative analysis to make informed investment decisions.

Price Over Earnings Overview: Watsco

Press Releases

INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Watsco, Inc. - WSO

Watsco Acquires Southern Ice Equipment Distributors

Legal

INVESTOR ALERT: Pomerantz Law Firm Investigates Claims on Behalf of Investors of Watsco, Inc. – WSO

WSO Investors Have Opportunity to Join Watsco, Inc. Fraud Investigation with the Schall Law Firm

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Watsco Declares $3.00 Quarterly Dividend

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