HONEYWELL INTERNATIONAL INC (ALD.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ALD - US4385161066 - Common Stock
165.68 EUR
-1.78 (-1.06%)
We assign a fundamental rating of 6 out of 10 to ALD. ALD was compared to 15 industry peers in the Industrial Conglomerates industry. ALD scores excellent on profitability, but there are some minor concerns on its financial health. ALD has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ALD was profitable.
ALD had a positive operating cash flow in the past year.
Each year in the past 5 years ALD has been profitable.
Each year in the past 5 years ALD had a positive operating cash flow.
1.2 Ratios
ALD has a better Return On Assets (7.57%) than 86.67% of its industry peers.
ALD has a Return On Equity of 36.52%. This is amongst the best in the industry. ALD outperforms 86.67% of its industry peers.
ALD has a better Return On Invested Capital (9.86%) than 93.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ALD is significantly above the industry average of 6.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.57% | ||
| ROE | 36.52% | ||
| ROIC | 9.86% |
ROA(3y)8.25%
ROA(5y)8.15%
ROE(3y)32.02%
ROE(5y)30.63%
ROIC(3y)12.23%
ROIC(5y)11.94%
1.3 Margins
With an excellent Profit Margin value of 15.07%, ALD belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
In the last couple of years the Profit Margin of ALD has declined.
With an excellent Operating Margin value of 19.89%, ALD belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
In the last couple of years the Operating Margin of ALD has remained more or less at the same level.
ALD's Gross Margin of 36.94% is on the low side compared to the rest of the industry. ALD is outperformed by 73.33% of its industry peers.
In the last couple of years the Gross Margin of ALD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.89% | ||
| PM (TTM) | 15.07% | ||
| GM | 36.94% |
OM growth 3Y-1.26%
OM growth 5Y0.55%
PM growth 3Y-2.75%
PM growth 5Y-2.4%
GM growth 3Y6%
GM growth 5Y2.48%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ALD is still creating some value.
Compared to 1 year ago, ALD has less shares outstanding
The number of shares outstanding for ALD has been reduced compared to 5 years ago.
ALD has a worse debt/assets ratio than last year.
2.2 Solvency
ALD has an Altman-Z score of 3.04. This indicates that ALD is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.04, ALD belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
ALD has a debt to FCF ratio of 6.01. This is a slightly negative value and a sign of low solvency as ALD would need 6.01 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 6.01, ALD is doing good in the industry, outperforming 80.00% of the companies in the same industry.
ALD has a Debt/Equity ratio of 2.20. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.20, ALD is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 6.01 | ||
| Altman-Z | 3.04 |
ROIC/WACC1.3
WACC7.6%
2.3 Liquidity
A Current Ratio of 1.36 indicates that ALD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.36, ALD is doing worse than 80.00% of the companies in the same industry.
A Quick Ratio of 1.04 indicates that ALD should not have too much problems paying its short term obligations.
ALD's Quick ratio of 1.04 is in line compared to the rest of the industry. ALD outperforms 46.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
ALD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.35%.
ALD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.71% yearly.
The Revenue has been growing slightly by 7.45% in the past year.
ALD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.96% yearly.
EPS 1Y (TTM)6.35%
EPS 3Y6.74%
EPS 5Y3.71%
EPS Q2Q%9.3%
Revenue 1Y (TTM)7.45%
Revenue growth 3Y3.83%
Revenue growth 5Y0.96%
Sales Q2Q%6.99%
3.2 Future
Based on estimates for the next years, ALD will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.36% on average per year.
ALD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.94% yearly.
EPS Next Y9.85%
EPS Next 2Y4.61%
EPS Next 3Y6.29%
EPS Next 5Y9.36%
Revenue Next Year6.54%
Revenue Next 2Y2.26%
Revenue Next 3Y3.37%
Revenue Next 5Y4.94%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.51, ALD is valued on the expensive side.
ALD's Price/Earnings ratio is a bit cheaper when compared to the industry. ALD is cheaper than 66.67% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.50, ALD is valued a bit cheaper.
The Price/Forward Earnings ratio is 18.23, which indicates a rather expensive current valuation of ALD.
Based on the Price/Forward Earnings ratio, ALD is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
ALD's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.93.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.51 | ||
| Fwd PE | 18.23 |
4.2 Price Multiples
ALD's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ALD is more expensive than 60.00% of the companies in the same industry.
ALD's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.11 | ||
| EV/EBITDA | 14.56 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ALD does not grow enough to justify the current Price/Earnings ratio.
ALD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.88
PEG (5Y)4.99
EPS Next 2Y4.61%
EPS Next 3Y6.29%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.40%, ALD has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.29, ALD has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.87, ALD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
5.2 History
The dividend of ALD has a limited annual growth rate of 5.64%.
Dividend Growth(5Y)5.64%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
ALD pays out 48.21% of its income as dividend. This is a bit on the high side, but may be sustainable.
ALD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP48.21%
EPS Next 2Y4.61%
EPS Next 3Y6.29%
FRA:ALD (12/23/2025, 7:00:00 PM)
165.68
-1.78 (-1.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners80.63%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap105.19B
Revenue(TTM)40.67B
Net Income(TTM)6.13B
Analysts74.38
Price Target207.37 (25.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
Yearly Dividend3.81
Dividend Growth(5Y)5.64%
DP48.21%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.64%
Min EPS beat(2)2.48%
Max EPS beat(2)8.81%
EPS beat(4)4
Avg EPS beat(4)7.24%
Min EPS beat(4)2.48%
Max EPS beat(4)12.31%
EPS beat(8)7
Avg EPS beat(8)4.36%
EPS beat(12)10
Avg EPS beat(12)3.47%
EPS beat(16)13
Avg EPS beat(16)3.05%
Revenue beat(2)2
Avg Revenue beat(2)1.69%
Min Revenue beat(2)1.59%
Max Revenue beat(2)1.79%
Revenue beat(4)4
Avg Revenue beat(4)1.59%
Min Revenue beat(4)1.37%
Max Revenue beat(4)1.79%
Revenue beat(8)5
Avg Revenue beat(8)0.08%
Revenue beat(12)6
Avg Revenue beat(12)-0.04%
Revenue beat(16)8
Avg Revenue beat(16)-0.09%
PT rev (1m)-5.18%
PT rev (3m)-5.04%
EPS NQ rev (1m)-0.32%
EPS NQ rev (3m)-6.24%
EPS NY rev (1m)-0.12%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)-4.18%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.51 | ||
| Fwd PE | 18.23 | ||
| P/S | 3.05 | ||
| P/FCF | 20.11 | ||
| P/OCF | 16.56 | ||
| P/B | 7.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.56 |
EPS(TTM)8.95
EY5.4%
EPS(NY)9.09
Fwd EY5.49%
FCF(TTM)8.24
FCFY4.97%
OCF(TTM)10
OCFY6.04%
SpS54.35
BVpS22.43
TBVpS-18.83
PEG (NY)1.88
PEG (5Y)4.99
Graham Number67.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.57% | ||
| ROE | 36.52% | ||
| ROCE | 13.88% | ||
| ROIC | 9.86% | ||
| ROICexc | 12.4% | ||
| ROICexgc | 30.7% | ||
| OM | 19.89% | ||
| PM (TTM) | 15.07% | ||
| GM | 36.94% | ||
| FCFM | 15.16% |
ROA(3y)8.25%
ROA(5y)8.15%
ROE(3y)32.02%
ROE(5y)30.63%
ROIC(3y)12.23%
ROIC(5y)11.94%
ROICexc(3y)15.24%
ROICexc(5y)15.49%
ROICexgc(3y)37.17%
ROICexgc(5y)37.38%
ROCE(3y)16.37%
ROCE(5y)16.08%
ROICexgc growth 3Y-3.6%
ROICexgc growth 5Y-3.76%
ROICexc growth 3Y-5.53%
ROICexc growth 5Y-5.14%
OM growth 3Y-1.26%
OM growth 5Y0.55%
PM growth 3Y-2.75%
PM growth 5Y-2.4%
GM growth 3Y6%
GM growth 5Y2.48%
F-Score4
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 6.01 | ||
| Debt/EBITDA | 3.83 | ||
| Cap/Depr | 85.12% | ||
| Cap/Sales | 3.25% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.63% | ||
| Profit Quality | 100.57% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 3.04 |
F-Score4
WACC7.6%
ROIC/WACC1.3
Cap/Depr(3y)79.74%
Cap/Depr(5y)80.57%
Cap/Sales(3y)2.67%
Cap/Sales(5y)2.68%
Profit Quality(3y)84.42%
Profit Quality(5y)91.4%
High Growth Momentum
Growth
EPS 1Y (TTM)6.35%
EPS 3Y6.74%
EPS 5Y3.71%
EPS Q2Q%9.3%
EPS Next Y9.85%
EPS Next 2Y4.61%
EPS Next 3Y6.29%
EPS Next 5Y9.36%
Revenue 1Y (TTM)7.45%
Revenue growth 3Y3.83%
Revenue growth 5Y0.96%
Sales Q2Q%6.99%
Revenue Next Year6.54%
Revenue Next 2Y2.26%
Revenue Next 3Y3.37%
Revenue Next 5Y4.94%
EBIT growth 1Y3.23%
EBIT growth 3Y2.52%
EBIT growth 5Y1.51%
EBIT Next Year22.93%
EBIT Next 3Y9.85%
EBIT Next 5Y10.87%
FCF growth 1Y60.73%
FCF growth 3Y-1.38%
FCF growth 5Y-4.03%
OCF growth 1Y57.55%
OCF growth 3Y0.32%
OCF growth 5Y-2.44%
HONEYWELL INTERNATIONAL INC / ALD.DE FAQ
Can you provide the ChartMill fundamental rating for HONEYWELL INTERNATIONAL INC?
ChartMill assigns a fundamental rating of 6 / 10 to ALD.DE.
What is the valuation status of HONEYWELL INTERNATIONAL INC (ALD.DE) stock?
ChartMill assigns a valuation rating of 3 / 10 to HONEYWELL INTERNATIONAL INC (ALD.DE). This can be considered as Overvalued.
Can you provide the profitability details for HONEYWELL INTERNATIONAL INC?
HONEYWELL INTERNATIONAL INC (ALD.DE) has a profitability rating of 8 / 10.
What is the financial health of HONEYWELL INTERNATIONAL INC (ALD.DE) stock?
The financial health rating of HONEYWELL INTERNATIONAL INC (ALD.DE) is 5 / 10.
What is the earnings growth outlook for HONEYWELL INTERNATIONAL INC?
The Earnings per Share (EPS) of HONEYWELL INTERNATIONAL INC (ALD.DE) is expected to grow by 9.85% in the next year.