Watsco, Inc.
WSOIndustrials · Stock · quarterly payer
Forward Yield
4.06%
Annual Dividend
$13.20
Payout Ratio
105%
5-Yr Growth
11.1%
Ex-Date
Jul 16, 2026
Frequency
Quarterly
Summary
As of September 2026, Watsco, Inc. (WSO) yields 4.06% ($13.20 per share annually), with a blended fair-value estimate of $284.41 — -9% downside, so it screens as fairly valued. Dividend safety grade: B (70/100). 12 years of dividend growth.
Is WSO a good dividend stock?
Yes, with caveatsWatsco, Inc. (WSO) pays a quarterly dividend yielding 4.06% ($13.20/yr), with 12 years of growth and a dividend-safety grade of B. It's a solid income payer, but check the caveats below before buying.
Advantages
- 12 consecutive years of dividend growth
- Strong 11.1% 5-yr dividend growth
Risks
- Cut its dividend in 2013
- Elevated payout ratio (105%)
Key Data
- Dividend Yield
- 4.06%
- Payout Ratio
- 105%
- Annual Dividend
- $13.20
- 5-Yr Avg Growth
- 11.1%
- Ex-Dividend Date
- Jul 16, 2026
- Years of Growth
- 12
- Frequency
- quarterly
- Beta
- 1.04
- Market Cap
- $13.3B
- P/E Ratio
- 27.6
- 5-Yr Total Return
- 8%
- 52-Week Range
- $295.75 – $459.00
- Dividend Safety
- B · 70/100
- Ever Cut?
- Yes (2013)
Frequently Asked Questions
WSO Price — Last 12 Months
Daily close
Price Return
1 Year
-15%
3 Years
-11%
5 Years
+8%
52-Week Range
$295.75 – $459.00
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is WSO worth?
Fairly valuedhigh confidenceOur blended fair-value estimate for Watsco, Inc. is $284.41 per share, versus a market price of $311.77. That implies the stock is roughly fairly priced.
Fair Value
$284.41
Current Price
$311.77
Gap
-9%
Margin of Safety
-10%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about 8.1% annual free-cash-flow growth. We model 8.4% — below our estimate, leaving room for upside if the business executes.
Assumptions: 9.5% discount rate (CAPM), 8.4% stage-1 growth, 2.5% terminal growth, $11.66 EPS, $13.20 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
WSO Dividend Safety Score
Safe
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
Full WSO dividend history →| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Jul 16, 2026 | — | $3.3000 | regular |
| Apr 16, 2026 | — | $3.3000 | regular |
| Jan 16, 2026 | — | $3.0000 | regular |
| Oct 16, 2025 | — | $3.0000 | regular |
| Jul 16, 2025 | — | $3.0000 | regular |
| Apr 15, 2025 | — | $3.0000 | regular |
| Jan 17, 2025 | — | $2.7000 | regular |
| Oct 16, 2024 | — | $2.7000 | regular |
| Jul 16, 2024 | — | $2.7000 | regular |
| Apr 12, 2024 | — | $2.7000 | regular |
| Jan 16, 2024 | — | $2.4500 | regular |
| Oct 16, 2023 | — | $2.4500 | regular |
| Jul 14, 2023 | — | $2.4500 | regular |
| Apr 14, 2023 | — | $2.4500 | regular |
Income Calculator
At $13.20 / yr per share
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