WATSCO INC · Hardware & Plumbing & Heating Equipment & Supplies

WSO

Low riskNext report: Around Feb 16, 2027 (est.)

View price ↗

The short version

A profitable company with steady sales.

Going well

Raised its dividend (3.8% yield)
Profitable every year for 10 years
Brings in more cash than it spends

Money moves

No insider buying or selling in the last 30 days
Institutions cut 0.4% from their holdings in the quarter ending June 2026 (333 bought, 373 sold)
Held by Ray Dalio (Bridgewater)

Facts from SEC filings, not a recommendation.

What the price means

Price as of Oct 26

$305.31-5.4% that day

Company value: $11.7B; Share price times all shares
Price vs profit (P/E): 26.3x; You pay about $26 for each $1 of yearly profit
Price vs sales: 1.6x; Company value is 1.6 times a year of sales
Dividend yield: 3.8%; Yearly dividend as a share of today's price
Cash vs value: 3%; Cash as a share of company value
Debt vs value: 3%; Debt as a share of company value

From WSO's last IEX trade and its SEC filings (profits and sales over the last four quarters). A starting point for research, not a verdict.

The business over time

Last 12 quarters, from SEC filings

Sales, Jun '26

$2.1B+2.1% vs a year earlier

Sep '23Tap a barJun '26

Last 12 months: $7.3B, down 3.0% from the 12 months before. Over 5 years, sales grew about 7.4% a year.

What the price assumes

Your guesses, our math

Move the sliders to your own view of WSO. Starting points are the company's recent numbers.

Sales growth-3% a yearRecently: -3.0% a yearProfit margin8%Last 12 months: 7.8%P/E at the end26xToday: 26.3x. Many steady companies trade at 12x to 25xShare count change0% a yearBelow zero means buybacks; above zero means new shares (dilution)

Sales in 5 years$6.3B

Profit in 5 years$500M

Price these guesses point to$340.64+12% vs $305.31 todayAbout +2.2% a year, before dividends

What today's price needs: with a 8% margin and a 26x P/E, sales could shrink about 5.1% a year for 5 years and still match today's price.

Simple math on your guesses, not a forecast or a price target. Real results depend on many things these sliders leave out.

Price

Price chart by TradingView.

Business quality

The checklist Warren Buffett-style investors use. Annual numbers for 2025.

4/6Mixed

PassReturn on equity 15%+Earns a lot on the money owners have in the business.21.6%
PassDebt under half of equityNot relying on borrowed money.0.13x equity
MissNet margin 10%+Keeps at least 10 cents of profit from each dollar of sales.8.1%
PassProfitable every yearSteady profits, not one good year.10 of 10 years
PassFree cash flow positiveBrings in more cash than it spends to run and grow.$535.1M
MissGross margin 40%+Pricing power: sells for well above what it costs to make.28.0%

Revenue: $7.2B; -5.0% vs prior year
5-year growth: +7.4%/yr; revenue, per year
Total debt: $361.6M; 0.13x equity
Current ratio: 4.12x; short-term assets / bills due

From annual reports filed with the SEC. Not in this company's SEC data, so not scored: share count not growing. A checklist is a starting point for research, not a verdict.

Latest quarter

Quarter ended Sep 30, 2026

Reported Oct 27Before open7:30 am ET

Revenue: $2.2B; +7.4% YoY
EPS: $3.77; vs $3.98
Op. margin: 10.1%; -1.3 pts
Gross margin: 26.4%; -1.1 pts

From the press release, checked against last year's SEC filing. Cash flow and share count update with the 10-Q.

Insider rating

Last 90 days

No open-market insider buys or sells in the last 90 days.

Weekly insider trend

No trades to chart yet.

Filing buzz

Last 7 days vs normal

0/ 100

This week: 1
Normal week: 0.7
vs normal: 1.4x

SEC filings of any kind. 50 means a normal week.

Institutional ownership

Steady-0.4%

Institutions cut 0.4% from their holdings. 333 bought, 373 sold.

Shares held by institutions37.9M

Sep '24Jun '26

Safety check

From SEC filings

Cash runwayAt last year's cash burn

Cash flow positive

Debt to equityLatest balance sheet: debt compared with what owners have

0.1x · $368.5M debt

Shares outstandingLatest reported

38M

Why low risk

1 offering filing in 6 months (may sell new shares)

Earnings reports

Last 12

Next reportAround Feb 16, 2027 (est.)Estimated from the same quarter last year

Results filedOct 27
Results filedJul 29
Results filedApr 28
Results filedFeb 17
Results filedOct 29, 2025

Flags and big holders

Offerings 6 months, flags 12 months, holders 90 days

Unregistered share saleSep 17 · View filing ↗Offering

Insider trades

Open-market buys and sells, last 90 days

No open-market buys or sells in 90 days. Grants and option exercises are left out.

"Owns after" is the insider's holding right after the trade. Pre-planned (10b5-1) sales are set up months ahead, a weaker signal.

Latest filings

Straight from SEC EDGAR

Earnings resultsOct 27 · Form 8-K ↗

Shares withheld for taxesAlbert H NahmadChairman and CEO, Director

314,576 shares at $287.50 · $90.4M

-35% of holdings
Now owns 587,430 shares
Class B Common stock
Held See footnote
Filed 4 days after trade

Oct 15Form 4 ↗

Offering prospectusOct 14 · Form 424B7 ↗Current reportOct 14 · Form 8-K ↗Unregistered share saleOct 14 · Form 8-K/A ↗

Stock awardAaron J NahmadPresident, Director

16,078 shares at $279.90 · $4.5M

Now owns 16,078 shares
Filed 4 days after trade

Oct 9Form 4 ↗

Stock awardBarry S LoganExecutive Vice President, Director

3,573 shares at $279.90 · $1.0M

Now owns 3,573 shares
Filed 4 days after trade

Oct 9Form 4 ↗

Unregistered share saleSep 17 · Form 8-K ↗Quarterly reportAug 7 · Form 10-Q ↗Earnings resultsJul 29 · Form 8-K ↗Offering prospectusJun 4 · Form 424B7 ↗Current reportJun 4 · Form 8-K ↗Unregistered share saleJun 4 · Form 8-K/A ↗Shareholder vote resultsJun 3 · Form 8-K ↗New 5%+ holder (passive)May 14 · Form SCHEDULE 13G ↗

Source: SEC EDGAR filings. For informational purposes. Not investment advice.

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