ARROW ELECTRONICS, INC. vs WATSCO INC, two Distribution stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where ARW and WSO diverge most: on revenue growth, ARW reads +20.5% and WSO reads -4.4%; on return on assets, ARW reads 2.0% and WSO reads 10.7%. The rest of the comparable metrics sit closer together. What ARW's price implies is a bet that sits within the historical range (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | ARW | WSO |
|---|---|---|
| Price | $216.73 | $309.39 |
| Market cap | $11.2B | $11.7B |
| Sector | Distribution | Distribution |
| Stage | Growth | Mature |
| Implied growth (priced in) | — | +13.2% |
| P/E | 15.5 | 25.4 |
| P/B | 1.64 | 3.65 |
| P/S | 0.33 | 1.62 |
| EV/EBITDA | 11.5 | 16.1 |
| Revenue growth | +20.5% | -4.4% |
| Gross margin | 11.5% | 27.9% |
| Operating margin | 3.8% | 7.2% |
| Net margin | 2.2% | 6.8% |
| Return on equity | 10.7% | 15.4% |
| Return on assets | 2.0% | 10.7% |
| Return on invested capital | 8.5% | 16.0% |
| FCF yield | 2.7% | 5.9% |
| Dividend yield | — | 3.8% |
| Debt / equity | 0.36 | 0.11 |
| Current ratio | 1.24 | 3.34 |
| Altman Z (solvency) | 7.44 | 8.60 |
| Piotroski F (quality) | 6 / 9 | 5 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.