WSO Stock Analysis: Buy, Sell, or Hold?
WSO - Watsco, Inc.
$403.15
-12.93 (-3.11%)
▼
5d:
-4.15%
30d:
-4.44%
90d:
-3.53%
BUY
MODERATE Confidence
Analysis Updated: May 15, 2026 12:00 AM ET
Earnings: Apr 28, 2026
0d
Get Alerted When WSO Hits Your Target Price
Join 10,000+ traders who never miss a move
You're in! Check your email to confirm and set your target price.
100% Free
No spam, ever
Unsubscribe anytime
Interactive Price Chart (1 Month)
Loading chart...
Loading historical data...
Bottom Line:
💡 BUY OPPORTUNITY: WSO shows positive signals but monitor for confirmation. Market pricing in 0.3% decline. Moderate conviction.
💡 BUY OPPORTUNITY: WSO shows positive signals but monitor for confirmation. Market pricing in 0.3% decline. Moderate conviction.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$543.78
Based on 8.5% avg growth
INTRINSIC VALUE TODAY
$337.64
Trading above historical range
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 25.0x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: WSO is currently trading at $403.15, which is considered oversold relative to its 30-day fair value range of $403.86 to $438.51. The stock's valuation (Forward PE: 27.8) is in line with its historical norms (28.1). Remarkably, the market is currently pricing in an annual earnings decline of 0.3% over the next few years. This aligns with recent fundamental challenges.
Technical Outlook: Technically, WSO is in a uptrend. The price is currently testing key support at $401.68. A bounce from this level would confirm strength, while a break below could signal further downside. Short-term momentum is weak, with the stock down 3.1% recently.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Technical Outlook: Technically, WSO is in a uptrend. The price is currently testing key support at $401.68. A bounce from this level would confirm strength, while a break below could signal further downside. Short-term momentum is weak, with the stock down 3.1% recently.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Quick Decision Summary
Current Position
OVERSOLD
Historical Trading Range
$403.86 -
$438.51
Company Quality Score
50/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
70.0%
All Signals
- BULLISH: Price oversold vs 30-day range
- NEUTRAL: Mixed technical signals (40/100)
- BULLISH: High volume confirmation
- BEARISH: Downward momentum (-3.1%)
- NEUTRAL: Near Wall St target ($423.55)
Trading Range Analysis
30-Day Trading Range
$403.86 -
$438.51
Current vs Trading Range
OVERSOLD
Support & Resistance Levels
Support Level
$401.68
Resistance Level
$439.29
Current Trend
Uptrend
Technical data as of
May 15, 2026
Fundamental Context
Forward P/E (Next Year Est.)
27.81
Wall Street Target
$423.55
(+5.1%)
Revenue Growth (YoY)
0.1%
Earnings Growth (YoY)
-3.1%
Profit Margin
6.9%
Valuation Discount vs History
-0.3% cheaper
PE vs Historical
27.8 vs 28.1
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
-0.3%
(market-implied from PE analysis)
1-Year Target
$401.94
(0%)
2-Year Target
$400.73
(-1%)
3-Year Target
$399.53
(-1%)
3-Yr Target (if PE normalizes)
(PE: 28→28)
$403.70
(+0%)
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 27.8, Growth: 13.0%)
$582.20
(+44%)
Base:
(SPY PE: 22.1, Growth: 13.0%)
$462.04
(+15%)
Bear:
(PE: 18.8, Growth: 13.0%)
$392.73
(-3%)
📈
Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (34x PE), but valuation improves significantly next year (28x PE) as earnings recover.
Trailing PE: 34.13 | Current EPS (TTM): $12.19
Bull Case
$544.30
(+35%)
Analyst growth 18.9%, PE expands to 37.6
Base Case
$494.81
(+23%)
Market implied 18.9%, PE stable at 34.1
Bear Case
$282.93
(-30%)
Severe decline -20.0%, PE contracts to 29.0
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡
Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 27.8 to 28.1
Stabilization Target:
$407.36
(+1.0%)
PE Expansion Potential:
+1.0%
Share & Embed Analysis
Last updated: May 15, 2026 6:28 PM ET
Data refreshes hourly during market hours. Next update: 7:28 PM
Data refreshes hourly during market hours. Next update: 7:28 PM
🔥 Top Stocks Breaking Out Now
| Ticker | Score | Recommendation | Change % |
|---|
Technical Signals Check
Is WSO showing a specific setup today?
Insider Activity (6 Months)
0
Buys
0
Sells
0
Net
NEUTRAL
Top Rated Industrial Distribution Stocks
Top-rated stocks in Industrial Distribution by analyst ratings.
| Stock | Analyst Consensus | Analyst Target | Tradestie Score |
|---|---|---|---|
|
FERG
Ferguson Plc |
BUY
24 analysts |
$284 | 52 HOLD |
|
WCC
WESCO International Inc |
STRONG BUY
13 analysts |
$369 | 60 BUY |
|
CNM
Core & Main Inc |
STRONG BUY
14 analysts |
$61 | 47 HOLD |
|
GWW
WW Grainger Inc |
SELL
20 analysts |
$1221 | 65 BUY |
|
AIT
Applied Industrial Techn… |
STRONG BUY
8 analysts |
$330 | 57 HOLD |
