Applied Industrial Technologies (AIT)vsWatsco Inc (WSO)
AIT
Applied Industrial Technologies
$266.00
+0.70%
INDUSTRIALS · Cap: $9.96B
WSO
Watsco Inc
$367.15
+1.01%
INDUSTRIALS · Cap: $14.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Watsco Inc generates 52% more annual revenue ($7.24B vs $4.75B). AIT leads profitability with a 8.5% profit margin vs 6.9%. WSO appears more attractively valued with a PEG of 1.48. AIT earns a higher WallStSmart Score of 52/100 (C-).
AIT
Buy52
out of 100
Grade: C-
WSO
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-86.6%
Fair Value
$155.55
Current Price
$266.00
$110.45 premium
Margin of Safety
-413.3%
Fair Value
$83.30
Current Price
$367.15
$283.85 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Every $100 of equity generates 22 in profit
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Moderate valuation
6.9% margin — thin
Weak financial health signals
Revenue declined 10.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : AIT
The strongest argument for AIT centers on Altman Z-Score, Return on Equity.
Bull Case : WSO
The strongest argument for WSO centers on Altman Z-Score. PEG of 1.48 suggests the stock is reasonably priced for its growth.
Bear Case : AIT
The primary concerns for AIT are PEG Ratio, P/E Ratio, Piotroski F-Score.
Bear Case : WSO
The primary concerns for WSO are P/E Ratio, Profit Margin, Piotroski F-Score.
Key Dynamics to Monitor
WSO carries more volatility with a beta of 1.01 — expect wider price swings.
AIT is growing revenue faster at 8.4% — sustainability is the question.
WSO generates stronger free cash flow (389M), providing more financial flexibility.
Monitor INDUSTRIAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AIT scores higher overall (52/100 vs 45/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Applied Industrial Technologies
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Applied Industrial Technologies, Inc. distributes industrial products in North America, Australia, New Zealand, and Singapore. The company is headquartered in Cleveland, Ohio.
Visit Website →Watsco Inc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Watsco, Inc. distributes air conditioning, heating and refrigeration equipment; and related parts and supplies in the United States, Canada, Mexico and Puerto Rico. The company is headquartered in Miami, Florida.
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