193.61 USD
+0.46 (+0.24%)
Taking everything into account, HON scores 6 out of 10 in our fundamental rating. HON was compared to 7 industry peers in the Industrial Conglomerates industry. While HON belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. HON is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HON was profitable.
HON had a positive operating cash flow in the past year.
In the past 5 years HON has always been profitable.
HON had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.57%, HON belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
HON has a better Return On Equity (36.52%) than 85.71% of its industry peers.
With an excellent Return On Invested Capital value of 9.86%, HON belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HON is above the industry average of 7.93%.
| 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%, HON belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
HON's Profit Margin has declined in the last couple of years.
HON's Operating Margin of 19.89% is amongst the best of the industry. HON outperforms 85.71% of its industry peers.
HON's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 36.94%, HON belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
HON's Gross Margin has improved in the last couple of years.
| 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 HON is still creating some value.
HON has less shares outstanding than it did 1 year ago.
HON has less shares outstanding than it did 5 years ago.
HON has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.03 indicates that HON is not in any danger for bankruptcy at the moment.
HON has a better Altman-Z score (3.03) than 85.71% of its industry peers.
HON has a debt to FCF ratio of 6.01. This is a slightly negative value and a sign of low solvency as HON would need 6.01 years to pay back of all of its debts.
The Debt to FCF ratio of HON (6.01) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 2.20 is on the high side and indicates that HON has dependencies on debt financing.
The Debt to Equity ratio of HON (2.20) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 6.01 | ||
| Altman-Z | 3.03 |
ROIC/WACC1.28
WACC7.68%
2.3 Liquidity
A Current Ratio of 1.36 indicates that HON should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.36, HON is in line with its industry, outperforming 57.14% of the companies in the same industry.
HON has a Quick Ratio of 1.04. This is a normal value and indicates that HON is financially healthy and should not expect problems in meeting its short term obligations.
HON's Quick ratio of 1.04 is in line compared to the rest of the industry. HON outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.35% over the past year.
HON 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.
The Revenue has been growing slightly by 0.96% on average over the past years.
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, HON will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.36% on average per year.
HON is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.94% yearly.
EPS Next Y9.98%
EPS Next 2Y4.92%
EPS Next 3Y6.23%
EPS Next 5Y9.36%
Revenue Next Year6.51%
Revenue Next 2Y2.11%
Revenue Next 3Y3.21%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.35 indicates a rather expensive valuation of HON.
Based on the Price/Earnings ratio, HON is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.15. HON is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 17.96 indicates a rather expensive valuation of HON.
Based on the Price/Forward Earnings ratio, HON is valued a bit cheaper than 71.43% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.22. HON is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.35 | ||
| Fwd PE | 17.96 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HON is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HON is valued cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.94 | ||
| EV/EBITDA | 14.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of HON may justify a higher PE ratio.
PEG (NY)1.84
PEG (5Y)4.95
EPS Next 2Y4.92%
EPS Next 3Y6.23%
5. Dividend
5.1 Amount
HON has a Yearly Dividend Yield of 2.51%.
HON's Dividend Yield is rather good when compared to the industry average which is at 6.27. HON pays more dividend than 85.71% of the companies in the same industry.
HON's Dividend Yield is comparable with the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
5.2 History
The dividend of HON has a limited annual growth rate of 5.64%.
HON has paid a dividend for at least 10 years, which is a reliable track record.
HON has decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.64%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
48.21% of the earnings are spent on dividend by HON. This is a bit on the high side, but may be sustainable.
HON's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP48.21%
EPS Next 2Y4.92%
EPS Next 3Y6.23%
NASDAQ:HON (12/3/2025, 2:46:56 PM)
193.61
+0.46 (+0.24%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners80.87%
Inst Owner Change-0.99%
Ins Owners0.04%
Ins Owner Change0.07%
Market Cap122.92B
Revenue(TTM)40.67B
Net Income(TTM)6.13B
Analysts76.25
Price Target248.99 (28.6%)
Short Float %1.36%
Short Ratio1.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
Yearly Dividend4.46
Dividend Growth(5Y)5.64%
DP48.21%
Div Incr Years2
Div Non Decr Years2
Ex-Date
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)-1.11%
PT rev (3m)-3.52%
EPS NQ rev (1m)-0.7%
EPS NQ rev (3m)-5.93%
EPS NY rev (1m)1.18%
EPS NY rev (3m)0.83%
Revenue NQ rev (1m)-0.89%
Revenue NQ rev (3m)-4.1%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.35 | ||
| Fwd PE | 17.96 | ||
| P/S | 3.02 | ||
| P/FCF | 19.94 | ||
| P/OCF | 16.42 | ||
| P/B | 7.32 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.42 |
EPS(TTM)10.55
EY5.45%
EPS(NY)10.78
Fwd EY5.57%
FCF(TTM)9.71
FCFY5.01%
OCF(TTM)11.79
OCFY6.09%
SpS64.06
BVpS26.43
TBVpS-22.19
PEG (NY)1.84
PEG (5Y)4.95
Graham Number79.21
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 | 3.03 |
F-Score4
WACC7.68%
ROIC/WACC1.28
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 Y9.98%
EPS Next 2Y4.92%
EPS Next 3Y6.23%
EPS Next 5Y9.36%
Revenue 1Y (TTM)7.45%
Revenue growth 3Y3.83%
Revenue growth 5Y0.96%
Sales Q2Q%6.99%
Revenue Next Year6.51%
Revenue Next 2Y2.11%
Revenue Next 3Y3.21%
Revenue Next 5Y4.94%
EBIT growth 1Y3.23%
EBIT growth 3Y2.52%
EBIT growth 5Y1.51%
EBIT Next Year23.61%
EBIT Next 3Y12.26%
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 / HON FAQ
What is the fundamental rating for HON stock?
ChartMill assigns a fundamental rating of 6 / 10 to HON.
What is the valuation status of HONEYWELL INTERNATIONAL INC (HON) stock?
ChartMill assigns a valuation rating of 6 / 10 to HONEYWELL INTERNATIONAL INC (HON). This can be considered as Fairly Valued.
Can you provide the profitability details for HONEYWELL INTERNATIONAL INC?
HONEYWELL INTERNATIONAL INC (HON) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for HON stock?
The Earnings per Share (EPS) of HONEYWELL INTERNATIONAL INC (HON) is expected to grow by 9.98% in the next year.
Is the dividend of HONEYWELL INTERNATIONAL INC sustainable?
The dividend rating of HONEYWELL INTERNATIONAL INC (HON) is 5 / 10 and the dividend payout ratio is 48.21%.