VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Wednesday, January 7, 2026

Stock Comparison

The Trade Desk, Inc. vs Watsco, Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

The Trade Desk, Inc.

TTD · NASDAQ

Market cap (USD)$19.7B
Gross margin (TTM)78.8%
Operating margin (TTM)18.9%
Net margin (TTM)15.7%
SectorCommunication Services
IndustrySoftware - Application
CountryUS
Data as of2025-12-26
Moat score
62/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into The Trade Desk, Inc.'s moat claims, evidence, and risks.

View TTD analysis

Watsco, Inc.

WSO · New York Stock Exchange

Market cap (USD)$14.4B
Gross margin (TTM)28.3%
Operating margin (TTM)10.2%
Net margin (TTM)7.4%
SectorIndustrials
IndustryIndustrial - Distribution
CountryUS
Data as of2026-01-05
Moat score
72/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Watsco, Inc.'s moat claims, evidence, and risks.

View WSO analysis

Comparison highlights

  • Moat score gap: Watsco, Inc. leads (72 / 100 vs 62 / 100 for The Trade Desk, Inc.).
  • Segment focus: The Trade Desk, Inc. has 1 segment (100% in Advertising Technology Platform (DSP)); Watsco, Inc. has 1 segment (100% in HVAC/R Distribution).
  • Moat breadth: The Trade Desk, Inc. has 4 moat types across 2 domains; Watsco, Inc. has 4 across 3.

Primary market context

The Trade Desk, Inc.

Advertising Technology Platform (DSP)

Market

Demand-side platforms (DSP) for programmatic advertising (open internet)

Geography

Global

Customer

Advertising agencies and advertisers

Role

Buy-side platform / demand aggregation

Revenue share

100%

Watsco, Inc.

HVAC/R Distribution

Market

HVAC/R equipment, parts and supplies distribution

Geography

North America (U.S., Canada, Mexico, Puerto Rico; export to Latin America/Caribbean)

Customer

Licensed HVAC and refrigeration contractors (residential & commercial)

Role

Wholesale distributor

Revenue share

100%

Side-by-side metrics

The Trade Desk, Inc.
Watsco, Inc.
Ticker / Exchange
TTD - NASDAQ
WSO - New York Stock Exchange
Market cap (USD)
$19.7B
$14.4B
Gross margin (TTM)
78.8%
28.3%
Operating margin (TTM)
18.9%
10.2%
Net margin (TTM)
15.7%
7.4%
Sector
Communication Services
Industrials
Industry
Software - Application
Industrial - Distribution
HQ country
US
US
Primary segment
Advertising Technology Platform (DSP)
HVAC/R Distribution
Market structure
Competitive
Competitive
Market share
6%-10% (implied)
9%-12% (implied)
HHI estimate
n/a
n/a
Pricing power
Moderate
Moderate
Moat score
62 / 100
72 / 100
Moat domains
Network, Demand
Supply, Legal, Demand
Last update
2025-12-26
2026-01-05

Moat coverage

Shared moat types

No overlap yet.

The Trade Desk, Inc. strengths

Interoperability HubSwitching Costs GeneralData Network EffectsStandards Registry

Watsco, Inc. strengths

Physical Network DensityContractual ExclusivityScale Economies Unit CostData Workflow Lockin

Segment mix

The Trade Desk, Inc. segments

Full profile >

Advertising Technology Platform (DSP)

Competitive

100%

Watsco, Inc. segments

Full profile >

HVAC/R Distribution

Competitive

100%

Want the full wide moat stocks list?

Browse the full ranking of wide moat stocks, updated with moat scores and segment context.

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Looking for expansion-stage stocks?

Proven models entering the expansion stage with unit economics that work.

View expansion-stage stocks

Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.