MSC Industrial Direct Company Inc (MSM)vsWatsco Inc (WSO)
MSM
MSC Industrial Direct Company Inc
$91.90
+1.52%
INDUSTRIALS · Cap: $5.13B
WSO
Watsco Inc
$367.15
+1.01%
INDUSTRIALS · Cap: $14.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Watsco Inc generates 90% more annual revenue ($7.24B vs $3.81B). WSO leads profitability with a 6.9% profit margin vs 5.4%. WSO appears more attractively valued with a PEG of 1.48. MSM earns a higher WallStSmart Score of 51/100 (C-).
MSM
Buy51
out of 100
Grade: C-
WSO
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-0.8%
Fair Value
$94.25
Current Price
$91.90
$2.35 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
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Moderate valuation
4.0% revenue growth
5.4% margin — thin
Moderate valuation
6.9% margin — thin
Weak financial health signals
Revenue declined 10.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : MSM
The strongest argument for MSM centers on Altman Z-Score.
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 : MSM
The primary concerns for MSM are PEG Ratio, P/E Ratio, Revenue Growth.
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.
MSM is growing revenue faster at 4.0% — 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
MSM scores higher overall (51/100 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.
MSC Industrial Direct Company Inc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
MSC Industrial Direct Co., Inc., distributes metalworking and maintenance, repair and operations (MRO) products in the United States, Canada, Mexico, and the United Kingdom. The company is headquartered in Melville, New York.
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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