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Watsco's gross profit for the
three
months ended in Jun. 2026 was MXN10,102 Mil. Watsco's gross profit for the trailing twelve months (TTM) ended in Jun. 2026 was MXN35,962 Mil.
Gross Margin % is calculated as gross profit divided by its revenue. Watsco's gross profit for the
three
months ended in Jun. 2026 was MXN10,102 Mil. Watsco's Revenue for the
three
months ended in Jun. 2026 was MXN36,728 Mil. Therefore, Watsco's Gross Margin % for the quarter that ended in Jun. 2026 was 27.50%.
Watsco had a gross margin of 27.50% for the quarter that ended in Jun. 2026 => Competition eroding margins
During the past 13 years, the highestGross Margin % of Watsco was 28.05%. The lowest was 24.19%. And the median was 25.60%.
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Watsco had a gross margin of 27.50% for the quarter that ended in Jun. 2026 => Competition eroding margins
Watsco Gross Profit Related Terms
Watsco Gross Profit Historical Data
* Premium members only.
The historical data trend for Watsco's Gross Profit can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Industrial Distribution subindustry, Watsco's Gross Profit, along with its competitors' market caps and Gross Profit data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Watsco Gross Profit vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Watsco's Gross Profit distribution charts can be found below:
* The bar in red indicates where Watsco's Gross Profit falls into.
Gross Profit for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was MXN35,962 Mil.
Gross Profit is the numerator in the calculation of Gross Margin.
Watsco's Gross Margin % for the quarter that ended in Jun. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Watsco (MEX:WSO) has a Gross Profit of MXN35,962 Mil as of Jun. 2026. Gross Profit equals net sales less total cost of goods sold. View historical data on Watsco and its competitors.
Is Watsco's Gross Profit too high?
Watsco's current Gross Profit is MXN35,962 Mil. Overall, Watsco has a GF Score™ of 57/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Watsco's Gross Profit compare to ?
Watsco's Gross Profit of MXN35,962 Mil can be compared against companies in the Industrial Distribution industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Profit for an Industrial Distribution company?
A good Gross Profit depends on the Industrial Distribution industry context. However, Gross Profit should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Profit mean?
A high Gross Profit can signal that a stock is expensive relative to its fundamentals. Gross Profit equals net sales less total cost of goods sold. View historical data on Watsco and its competitors. Watsco's current Gross Profit is MXN35,962 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watsco stock overvalued right now?
Based on GuruFocus' analysis, Watsco (MEX:WSO) is currently considered Modestly Undervalued. The stock's GF Value™ is MXN7,335.95, compared to a current price of MXN5,527.80 — trading 24.6% below its estimated fair value. The current Gross Profit is MXN35,962 Mil. Watsco's overall GF Score™ is 57/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Profit calculated?
Gross Profit is calculated from a company's financial statements. For Watsco (MEX:WSO), the current Gross Profit is MXN35,962 Mil as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Watsco (MEX:WSO) Overvalued in 2026?
Based on GuruFocus' analysis, Watsco stock appears to be undervalued.
The current stock price of MXN5,527.80 is trading 24.6% below its estimated GF Value™ of MXN7,335.95.
GuruFocus considers Watsco to be Modestly Undervalued.
Key valuation signals for MEX:WSO:
Gross Profit: MXN35,962 Mil
GF Value™: MXN7,335.95 vs. price of MXN5,527.80 (24.6% below fair value)
No single metric tells the full story. See the MEX:WSO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Watsco is the largest HVAC and refrigeration products distributor in North America with approximately 13% market share. The company primarily operates in the United States (90% of revenue) with significant exposure in the Sunbelt states. Watsco also has operations in Canada, Latin America, and the Caribbean. The company's customer base comprises more than 120,000 dealers and contractors serving the replacement and new-construction HVAC/R markets for residential and light-commercial applications. As much as 20% of residential HVAC units are distributed through Watsco in any given year. Revenue is approximately 75%-80% residential HVAC and 20%-25% commercial, with relatively small exposure to more complex "applied" solutions.
57GF Score
Get the complete analysis for MEX:WSO
Gross Profit is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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