Watsco Inc (WSO) - Net Assets
Based on the latest financial reports, Watsco Inc (WSO) has net assets worth $3.21 Billion USD as of March 2026. Net assets (also known as shareholders' equity or book value) represent the difference between a company's total assets ($4.65 Billion) and total liabilities ($1.43 Billion). This figure indicates the residual interest in the assets after deducting liabilities, essentially showing what would remain for shareholders if all assets were liquidated and all debts paid off. Check Watsco Inc (WSO) tangible net worth to evaluate the tangible quality of the company's equity base.
Key Net Assets Metrics
| Metric | Value |
|---|---|
| Current Net Assets | $3.21 Billion |
| % of Total Assets | 69.15% |
| Annual Growth Rate | 15.23% |
| 5-Year Change | 61.31% |
| 10-Year Change | 157.4% |
| Growth Volatility | 21.36 |
Watsco Inc - Net Assets Trend (1985–2025)
This chart illustrates how Watsco Inc's net assets have evolved over time, based on quarterly financial data. See WSO cash and liquid assets coverage to measure how many days the company can operate on defensive assets alone.
Annual Net Assets for Watsco Inc (1985–2025)
The table below shows the annual net assets of Watsco Inc from 1985 to 2025. For live valuation and market cap data, see market cap of Watsco Inc.
| Year | Net Assets | Change |
|---|---|---|
| 2025-12-31 | $3.22 Billion | +5.15% |
| 2024-12-31 | $3.06 Billion | +17.13% |
| 2023-12-31 | $2.62 Billion | +16.36% |
| 2022-12-31 | $2.25 Billion | +12.56% |
| 2021-12-31 | $2.00 Billion | +12.23% |
| 2020-12-31 | $1.78 Billion | +3.79% |
| 2019-12-31 | $1.71 Billion | +7.06% |
| 2018-12-31 | $1.60 Billion | +3.27% |
| 2017-12-31 | $1.55 Billion | +23.90% |
| 2016-12-31 | $1.25 Billion | +3.99% |
| 2015-12-31 | $1.20 Billion | +6.33% |
| 2014-12-31 | $1.13 Billion | +0.41% |
| 2013-12-31 | $1.13 Billion | +10.31% |
| 2012-12-31 | $1.02 Billion | +2.03% |
| 2011-12-31 | $1.00 Billion | +10.13% |
| 2010-12-31 | $909.60 Million | +1.65% |
| 2009-12-31 | $894.81 Million | +56.80% |
| 2008-12-31 | $570.66 Million | +3.76% |
| 2007-12-31 | $549.96 Million | +6.50% |
| 2006-12-31 | $516.39 Million | +14.59% |
| 2005-12-31 | $450.65 Million | +11.90% |
| 2004-12-31 | $402.74 Million | +11.60% |
| 2003-12-31 | $360.87 Million | +9.62% |
| 2002-12-31 | $329.20 Million | +2.10% |
| 2001-12-31 | $322.42 Million | +6.00% |
| 2000-12-31 | $304.16 Million | +0.82% |
| 1999-12-31 | $301.70 Million | +9.87% |
| 1998-12-31 | $274.60 Million | +21.72% |
| 1997-12-31 | $225.60 Million | +85.07% |
| 1996-12-31 | $121.90 Million | +83.58% |
| 1995-12-31 | $66.40 Million | +13.12% |
| 1994-12-31 | $58.70 Million | +9.93% |
| 1993-12-31 | $53.40 Million | +59.40% |
| 1992-12-31 | $33.50 Million | +18.79% |
| 1991-12-31 | $28.20 Million | +49.21% |
| 1990-12-31 | $18.90 Million | +47.66% |
| 1989-12-31 | $12.80 Million | +9.40% |
| 1988-12-31 | $11.70 Million | -0.85% |
| 1987-12-31 | $11.80 Million | -4.84% |
| 1986-12-31 | $12.40 Million | +11.71% |
| 1985-12-31 | $11.10 Million | -- |
Equity Component Analysis
This analysis shows how different components contribute to Watsco Inc's total equity over time. Equity components include common stock, retained earnings, additional paid-in capital, and other elements.
Equity Composition Insights
- Retained earnings have grown by 13361.2% over the analyzed period, indicating profitable operations and earnings retention.
Current Equity Component Breakdown (December 2025)
| Component | Amount | Percentage |
|---|---|---|
| Retained Earnings | $1.32 Billion | 47.43% |
| Common Stock | $22.32 Million | 0.80% |
| Other Comprehensive Income | $-50.30 Million | -1.81% |
| Other Components | $1.49 Billion | 53.58% |
| Total Equity | $2.78 Billion | 100.00% |
Watsco Inc Competitors by Market Cap
The table below lists competitors of Watsco Inc ranked by their market capitalization.
| Company | Market Cap |
|---|---|
|
Leidos Holdings Inc
NYSE:LDOS
|
$13.67 Billion |
|
Ningbo Deye Technology Co Ltd
SHG:605117
|
$13.69 Billion |
|
Grab Holdings Ltd
NASDAQ:GRAB
|
$13.69 Billion |
|
Shanghai Electric Group Co Ltd
SHG:601727
|
$13.70 Billion |
|
PICC Property and Casualty Company Limited
F:PJC
|
$13.66 Billion |
|
IES Holdings Inc
NASDAQ:IESC
|
$13.65 Billion |
|
CVC Capital Partners PLC
AS:CVC
|
$13.65 Billion |
|
Nexchip Semiconductor Corp. A
SHG:688249
|
$13.64 Billion |
Equity Growth Attribution
This analysis shows how different factors contributed to changes in Watsco Inc's equity between the two most recent reporting periods.
Equity Growth Insights
- From 2024 to 2025, total equity changed from 2,656,990,000 to 2,781,376,000, a change of 124,386,000 (4.7%).
- Net income of 496,994,000 contributed positively to equity growth.
- Dividend payments of 473,765,000 reduced retained earnings.
- Share repurchases of 3,657,000 reduced equity.
- Other comprehensive income increased equity by 9,588,000.
- Other factors increased equity by 95,226,000.
Equity Change Factors (2024 to 2025)
| Factor | Impact | Contribution |
|---|---|---|
| Net Income | $496.99 Million | +17.87% |
| Dividends Paid | $473.76 Million | -17.03% |
| Share Repurchases | $3.66 Million | -0.13% |
| Other Comprehensive Income | $9.59 Million | +0.34% |
| Other Changes | $95.23 Million | +3.42% |
| Total Change | $- | 4.68% |
Book Value vs Market Value Analysis
This analysis compares Watsco Inc's book value (net assets) with its market value over time. The relationship between these values can provide insights into investor sentiment and company valuation.
Valuation Insights
- Current price-to-book ratio: 5.24x
- The company is trading at a significant premium to its book value, suggesting the market values its earnings potential, brand, or other intangibles highly.
- The price-to-book ratio has decreased from 247.35x to 5.24x over the analyzed period, indicating reduced market premium.
Historical Price-to-Book Ratios
| Date | Book Value per Share | Market Price | P/B Ratio |
|---|---|---|---|
| 1985-12-31 | $1.55 | $384.38 | x |
| 1986-12-31 | $1.63 | $384.38 | x |
| 1987-12-31 | $1.46 | $384.38 | x |
| 1988-12-31 | $1.61 | $384.38 | x |
| 1989-12-31 | $1.62 | $384.38 | x |
| 1990-12-31 | $2.36 | $384.38 | x |
| 1991-12-31 | $2.29 | $384.38 | x |
| 1992-12-31 | $2.53 | $384.38 | x |
| 1993-12-31 | $3.04 | $384.38 | x |
| 1994-12-31 | $3.25 | $384.38 | x |
| 1995-12-31 | $3.44 | $384.38 | x |
| 1996-12-31 | $5.71 | $384.38 | x |
| 1997-12-31 | $8.38 | $384.38 | x |
| 1998-12-31 | $9.70 | $384.38 | x |
| 1999-12-31 | $10.12 | $384.38 | x |
| 2000-12-31 | $10.94 | $384.38 | x |
| 2001-12-31 | $11.83 | $384.38 | x |
| 2002-12-31 | $12.34 | $384.38 | x |
| 2003-12-31 | $13.86 | $384.38 | x |
| 2004-12-31 | $14.95 | $384.38 | x |
| 2005-12-31 | $16.23 | $384.38 | x |
| 2006-12-31 | $18.56 | $384.38 | x |
| 2007-12-31 | $19.77 | $384.38 | x |
| 2008-12-31 | $20.57 | $384.38 | x |
| 2009-12-31 | $25.88 | $384.38 | x |
| 2010-12-31 | $28.03 | $384.38 | x |
| 2011-12-31 | $24.32 | $384.38 | x |
| 2012-12-31 | $29.61 | $384.38 | x |
| 2013-12-31 | $32.46 | $384.38 | x |
| 2014-12-31 | $25.25 | $384.38 | x |
| 2015-12-31 | $34.09 | $384.38 | x |
| 2016-12-31 | $35.23 | $384.38 | x |
| 2017-12-31 | $41.66 | $384.38 | x |
| 2018-12-31 | $42.76 | $384.38 | x |
| 2019-12-31 | $49.45 | $384.38 | x |
| 2020-12-31 | $50.63 | $384.38 | x |
| 2021-12-31 | $56.39 | $384.38 | x |
| 2022-12-31 | $63.01 | $384.38 | x |
| 2023-12-31 | $61.04 | $384.38 | x |
| 2024-12-31 | $70.83 | $384.38 | x |
| 2025-12-31 | $73.39 | $384.38 | x |
Capital Efficiency Dashboard
This dashboard shows how efficiently Watsco Inc utilizes its equity to generate returns, including Return on Equity (ROE) and its components based on the DuPont analysis framework.
Capital Efficiency Insights
- Current Return on Equity (ROE): 17.87%
- The company demonstrates strong efficiency in generating profits from shareholder equity.
- DuPont Analysis Breakdown:
- • Net Profit Margin: 6.87%
- • Asset Turnover: 1.62x
- • Equity Multiplier: 1.60x
- Recent ROE (17.87%) is above the historical average (12.72%), indicating improving capital efficiency.
Historical Capital Efficiency Metrics
| Year | Return on Equity | Net Profit Margin | Asset Turnover | Equity Multiplier | Economic Value Added |
|---|---|---|---|---|---|
| 1985 | 9.01% | 8.26% | 0.63x | 1.73x | $-110.00K |
| 1986 | 12.90% | 10.60% | 0.58x | 2.10x | $360.00K |
| 1987 | 14.41% | 11.33% | 0.62x | 2.06x | $520.00K |
| 1988 | 6.84% | 6.40% | 0.45x | 2.38x | $-370.00K |
| 1989 | 11.72% | 1.59% | 1.98x | 3.72x | $220.00K |
| 1990 | 10.58% | 1.70% | 1.41x | 4.42x | $110.00K |
| 1991 | 9.62% | 1.18% | 2.07x | 3.93x | $-80.00K |
| 1992 | 11.46% | 1.49% | 2.40x | 3.21x | $370.00K |
| 1993 | 11.96% | 2.17% | 2.10x | 2.62x | $820.00K |
| 1994 | 12.39% | 2.04% | 2.37x | 2.56x | $1.12 Million |
| 1995 | 13.38% | 2.18% | 2.28x | 2.69x | $1.82 Million |
| 1996 | 10.66% | 3.06% | 2.09x | 1.67x | $810.00K |
| 1997 | 8.16% | 2.90% | 1.49x | 1.89x | $-4.16 Million |
| 1998 | 9.18% | 2.50% | 1.90x | 1.94x | $-2.26 Million |
| 1999 | 9.78% | 2.37% | 2.12x | 1.95x | $-670.00K |
| 2000 | 6.28% | 1.46% | 2.32x | 1.85x | $-11.30 Million |
| 2001 | 7.58% | 1.97% | 2.38x | 1.62x | $-7.80 Million |
| 2002 | 8.67% | 2.42% | 2.34x | 1.53x | $-4.38 Million |
| 2003 | 9.67% | 2.83% | 2.30x | 1.48x | $-1.19 Million |
| 2004 | 11.94% | 3.66% | 2.16x | 1.51x | $7.83 Million |
| 2005 | 15.54% | 4.16% | 2.48x | 1.51x | $24.95 Million |
| 2006 | 15.95% | 4.57% | 2.53x | 1.38x | $30.73 Million |
| 2007 | 11.92% | 3.73% | 2.35x | 1.36x | $10.58 Million |
| 2008 | 10.58% | 3.55% | 2.37x | 1.25x | $3.30 Million |
| 2009 | 5.87% | 2.16% | 1.72x | 1.57x | $-30.49 Million |
| 2010 | 8.88% | 2.84% | 2.30x | 1.36x | $-10.20 Million |
| 2011 | 11.27% | 3.04% | 2.35x | 1.58x | $10.17 Million |
| 2012 | 10.11% | 3.01% | 2.04x | 1.65x | $1.13 Million |
| 2013 | 11.33% | 3.41% | 2.24x | 1.48x | $14.98 Million |
| 2014 | 17.13% | 3.84% | 2.20x | 2.03x | $62.99 Million |
| 2015 | 14.37% | 4.20% | 2.30x | 1.49x | $52.56 Million |
| 2016 | 14.60% | 4.33% | 2.25x | 1.50x | $57.64 Million |
| 2017 | 13.43% | 4.80% | 2.12x | 1.32x | $53.12 Million |
| 2018 | 15.17% | 5.34% | 2.10x | 1.35x | $82.76 Million |
| 2019 | 14.34% | 5.16% | 1.87x | 1.49x | $74.47 Million |
| 2020 | 15.15% | 5.33% | 2.02x | 1.40x | $91.60 Million |
| 2021 | 20.97% | 6.67% | 2.04x | 1.54x | $219.20 Million |
| 2022 | 26.74% | 8.26% | 2.09x | 1.55x | $376.34 Million |
| 2023 | 24.05% | 7.36% | 1.95x | 1.67x | $313.35 Million |
| 2024 | 20.18% | 7.04% | 1.68x | 1.71x | $270.59 Million |
| 2025 | 17.87% | 6.87% | 1.62x | 1.60x | $218.86 Million |
Industry Comparison
This section compares Watsco Inc's net assets metrics with peer companies in the Industrial Distribution industry.
Industry Context
- Industry: Industrial Distribution
- Average net assets among peers: $1,256,134,738
- Average return on equity (ROE) among peers: 3.32%
Peer Company Comparison
| Company | Net Assets | Return on Equity | Debt-to-Equity | Market Cap |
|---|---|---|---|---|
| Watsco Inc (WSO) | $3.21 Billion | 9.01% | 0.45x | $13.66 Billion |
| Applied Industrial Technologies (AIT) | $133.90 Million | 1.64% | 0.73x | $11.93 Billion |
| Beacon Roofing Supply Inc (BECN) | $817.10 Million | 6.59% | 0.75x | $7.72 Billion |
| BlueLinx Holdings Inc (BXC) | $-14.66 Million | 0.00% | 0.00x | $423.36 Million |
| Core & Main Inc (CNM) | $1.77 Billion | 23.17% | 2.31x | $8.74 Billion |
| Now Inc (DNOW) | $2.24 Billion | -3.98% | 0.75x | $2.47 Billion |
| Distribution Solutions Group Inc (DSGR) | $150.00 Million | 15.93% | 0.44x | $1.27 Billion |
| DXP Enterprises Inc (DXPE) | $361.14 Million | -8.10% | 1.40x | $2.23 Billion |
| EVI Industries Inc (EVI) | $2.60 Million | 3.85% | 0.92x | $221.18 Million |
| Fastenal Company (FAST) | $1.46 Billion | 24.53% | 0.15x | $51.52 Billion |
| Ferguson Plc (FERG) | $5.64 Billion | -30.42% | 1.68x | $44.22 Billion |
About Watsco Inc
Watsco, Inc., together with its subsidiaries, engages in the distribution of air conditioning, heating, and refrigeration equipment, and related parts and supplies in the United States, Canada, Latin America, and the Caribbean. It distributes equipment, including residential ducted and ductless air conditioners, such as gas, electric, and oil furnaces; commercial air conditioning and heating equi… Read more