W.W. GRAINGER, INC. vs WESCO International, Inc., two Distribution stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where GWW and WCC diverge most: on p/s, GWW reads 3.55 and WCC reads 0.68; on return on assets, GWW reads 18.8% and WCC reads 4.0%. The rest of the comparable metrics sit closer together. On valuation, today's GWW price has a different growth bar priced in than WCC (+19.5% implied for GWW vs +20.3% for WCC); the higher figure is the steeper assumption to clear, not a better or worse stock. What GWW's price implies is a bet that sits within the historical range (whole-company basis). What WCC'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 | GWW | WCC |
|---|---|---|
| Price | $1375.79 | $334.98 |
| Market cap | $65.2B | $16.6B |
| Sector | Distribution | Distribution |
| Stage | Mature | Mature |
| Implied growth (priced in) | +19.5% | +20.3% |
| P/E | 37.0 | 23.8 |
| P/B | 15.02 | 3.25 |
| P/S | 3.55 | 0.68 |
| EV/EBITDA | 22.7 | 15.0 |
| Revenue growth | +6.6% | +11.2% |
| Gross margin | 40.0% | — |
| Operating margin | 16.7% | 4.8% |
| Net margin | 9.7% | 2.8% |
| Return on equity | 41.0% | 13.2% |
| Return on assets | 18.8% | 4.0% |
| Return on invested capital | 29.0% | 9.3% |
| FCF yield | 2.1% | 1.3% |
| Dividend yield | 0.6% | — |
| Debt / equity | 0.56 | 1.13 |
| Current ratio | 2.69 | 2.12 |
| Altman Z (solvency) | 10.00 | 3.16 |
| Piotroski F (quality) | 8 / 9 | 7 / 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.