239.84 USD
+1.46 (+0.61%)
At close: Feb 9, 2026
239.4 USD
-0.44 (-0.18%)
After Hours: 2/9/2026, 6:29:27 PM
We assign a fundamental rating of 5 out of 10 to HON. HON was compared to 7 industry peers in the Industrial Conglomerates industry. While HON has a great profitability rating, there are some minor concerns on its financial health. HON has a correct valuation and a medium 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.
- HON had positive earnings in each of the past 5 years.
- Each year in the past 5 years HON had a positive operating cash flow.
1.2 Ratios
- HON has a better Return On Assets (6.93%) than 85.71% of its industry peers.
- With an excellent Return On Equity value of 33.28%, HON belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
- The Return On Invested Capital of HON (11.16%) is better than 85.71% of its industry peers.
- HON had an Average Return On Invested Capital over the past 3 years of 11.77%. This is above the industry average of 8.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.93% | ||
| ROE | 33.28% | ||
| ROIC | 11.16% |
ROA(3y)7.91%
ROA(5y)8.06%
ROE(3y)33.2%
ROE(5y)31.84%
ROIC(3y)11.77%
ROIC(5y)12.21%
1.3 Margins
- Looking at the Profit Margin, with a value of 12.74%, HON belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
- In the last couple of years the Profit Margin of HON has remained more or less at the same level.
- HON has a better Operating Margin (19.33%) than 100.00% of its industry peers.
- HON's Operating Margin has been stable in the last couple of years.
- The Gross Margin of HON (36.75%) is better than 85.71% of its industry peers.
- HON's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.33% | ||
| PM (TTM) | 12.74% | ||
| GM | 36.75% |
OM growth 3Y0.38%
OM growth 5Y0.62%
PM growth 3Y-0.66%
PM growth 5Y-1.29%
GM growth 3Y4.01%
GM growth 5Y2.86%
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.
- The number of shares outstanding for HON has been reduced compared to 5 years ago.
- HON has a worse debt/assets ratio than last year.
2.2 Solvency
- HON has a debt to FCF ratio of 6.38. This is a slightly negative value and a sign of low solvency as HON would need 6.38 years to pay back of all of its debts.
- HON's Debt to FCF ratio of 6.38 is amongst the best of the industry. HON outperforms 100.00% of its industry peers.
- A Debt/Equity ratio of 2.14 is on the high side and indicates that HON has dependencies on debt financing.
- HON has a Debt to Equity ratio of 2.14. This is in the better half of the industry: HON outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 6.38 | ||
| Altman-Z | N/A |
ROIC/WACC1.39
WACC8.01%
2.3 Liquidity
- A Current Ratio of 1.32 indicates that HON should not have too much problems paying its short term obligations.
- HON has a Current ratio (1.32) which is in line with its industry peers.
- HON has a Quick Ratio of 1.05. This is a normal value and indicates that HON is financially healthy and should not expect problems in meeting its short term obligations.
- With a Quick ratio value of 1.05, HON perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 8.99% over the past year.
- HON shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.49% yearly.
- Looking at the last year, HON shows a small growth in Revenue. The Revenue has grown by 7.35% in the last year.
- The Revenue has been growing slightly by 2.79% on average over the past years.
EPS 1Y (TTM)8.99%
EPS 3Y6.71%
EPS 5Y8.49%
EPS Q2Q%4.86%
Revenue 1Y (TTM)7.35%
Revenue growth 3Y1.82%
Revenue growth 5Y2.79%
Sales Q2Q%-3.27%
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 9.45% on average per year.
- HON is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.27% yearly.
EPS Next Y-0.91%
EPS Next 2Y4.01%
EPS Next 3Y5.87%
EPS Next 5Y9.45%
Revenue Next Year5.23%
Revenue Next 2Y5.4%
Revenue Next 3Y5.38%
Revenue Next 5Y5.27%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same 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 22.48, HON is valued on the expensive side.
- The rest of the industry has a similar Price/Earnings ratio as HON.
- HON is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.06, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 22.68, the valuation of HON can be described as rather expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of HON is on the same level as its industry peers.
- When comparing the Price/Forward Earnings ratio of HON to the average of the S&P500 Index (27.86), we can say HON is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.48 | ||
| Fwd PE | 22.68 |
4.2 Price Multiples
- HON's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. HON is cheaper than 71.43% of the companies in the same industry.
- 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 | 28.08 | ||
| EV/EBITDA | 18.14 |
4.3 Compensation for Growth
- The excellent profitability rating of HON may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.65
EPS Next 2Y4.01%
EPS Next 3Y5.87%
5. Dividend
5.1 Amount
- HON has a Yearly Dividend Yield of 2.04%. Purely for dividend investing, there may be better candidates out there.
- HON's Dividend Yield is rather good when compared to the industry average which is at 4.52. HON pays more dividend than 85.71% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.80, HON has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
5.2 History
- The dividend of HON has a limited annual growth rate of 4.70%.
- HON has paid a dividend for at least 10 years, which is a reliable track record.
- The dividend of HON decreased in the last 3 years.
Dividend Growth(5Y)4.7%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- HON pays out 57.91% of its income as dividend. 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.
DP57.91%
EPS Next 2Y4.01%
EPS Next 3Y5.87%
239.84
+1.46 (+0.61%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)01-29 2026-01-29/bmo
Earnings (Next)04-27 2026-04-27
Inst Owners80.8%
Inst Owner Change0.01%
Ins Owners0.04%
Ins Owner Change0.14%
Market Cap152.27B
Revenue(TTM)40.34B
Net Income(TTM)5.14B
Analysts73.71
Price Target243.96 (1.72%)
Short Float %1.85%
Short Ratio2.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
Yearly Dividend4.63
Dividend Growth(5Y)4.7%
DP57.91%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.89%
Min EPS beat(2)0.97%
Max EPS beat(2)8.81%
EPS beat(4)4
Avg EPS beat(4)6.14%
Min EPS beat(4)0.97%
Max EPS beat(4)12.31%
EPS beat(8)8
Avg EPS beat(8)4.58%
EPS beat(12)11
Avg EPS beat(12)3.59%
EPS beat(16)14
Avg EPS beat(16)3.13%
Revenue beat(2)1
Avg Revenue beat(2)-0.18%
Min Revenue beat(2)-1.95%
Max Revenue beat(2)1.59%
Revenue beat(4)3
Avg Revenue beat(4)0.7%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)1.79%
Revenue beat(8)5
Avg Revenue beat(8)0.28%
Revenue beat(12)6
Avg Revenue beat(12)-0.06%
Revenue beat(16)8
Avg Revenue beat(16)-0.1%
PT rev (1m)1%
PT rev (3m)-3.11%
EPS NQ rev (1m)-3.51%
EPS NQ rev (3m)-3.7%
EPS NY rev (1m)-1.3%
EPS NY rev (3m)-1.9%
Revenue NQ rev (1m)-1.61%
Revenue NQ rev (3m)-1.1%
Revenue NY rev (1m)-1.34%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.48 | ||
| Fwd PE | 22.68 | ||
| P/S | 3.77 | ||
| P/FCF | 28.08 | ||
| P/OCF | 23.76 | ||
| P/B | 9.86 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.14 |
EPS(TTM)10.67
EY4.45%
EPS(NY)10.57
Fwd EY4.41%
FCF(TTM)8.54
FCFY3.56%
OCF(TTM)10.09
OCFY4.21%
SpS63.54
BVpS24.32
TBVpS-19.49
PEG (NY)N/A
PEG (5Y)2.65
Graham Number76.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.93% | ||
| ROE | 33.28% | ||
| ROCE | 15.38% | ||
| ROIC | 11.16% | ||
| ROICexc | 14.47% | ||
| ROICexgc | 39.86% | ||
| OM | 19.33% | ||
| PM (TTM) | 12.74% | ||
| GM | 36.75% | ||
| FCFM | 13.44% |
ROA(3y)7.91%
ROA(5y)8.06%
ROE(3y)33.2%
ROE(5y)31.84%
ROIC(3y)11.77%
ROIC(5y)12.21%
ROICexc(3y)14.68%
ROICexc(5y)15.51%
ROICexgc(3y)37.23%
ROICexgc(5y)38.5%
ROCE(3y)15.68%
ROCE(5y)16.22%
ROICexgc growth 3Y-1.4%
ROICexgc growth 5Y1.11%
ROICexc growth 3Y-5.1%
ROICexc growth 5Y-1.76%
OM growth 3Y0.38%
OM growth 5Y0.62%
PM growth 3Y-0.66%
PM growth 5Y-1.29%
GM growth 3Y4.01%
GM growth 5Y2.86%
F-Score6
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 6.38 | ||
| Debt/EBITDA | 3.6 | ||
| Cap/Depr | 71.04% | ||
| Cap/Sales | 2.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.76% | ||
| Profit Quality | 105.51% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | N/A |
F-Score6
WACC8.01%
ROIC/WACC1.39
Cap/Depr(3y)82.21%
Cap/Depr(5y)76.69%
Cap/Sales(3y)2.94%
Cap/Sales(5y)2.72%
Profit Quality(3y)89.33%
Profit Quality(5y)90.31%
High Growth Momentum
Growth
EPS 1Y (TTM)8.99%
EPS 3Y6.71%
EPS 5Y8.49%
EPS Q2Q%4.86%
EPS Next Y-0.91%
EPS Next 2Y4.01%
EPS Next 3Y5.87%
EPS Next 5Y9.45%
Revenue 1Y (TTM)7.35%
Revenue growth 3Y1.82%
Revenue growth 5Y2.79%
Sales Q2Q%-3.27%
Revenue Next Year5.23%
Revenue Next 2Y5.4%
Revenue Next 3Y5.38%
Revenue Next 5Y5.27%
EBIT growth 1Y-2.33%
EBIT growth 3Y2.21%
EBIT growth 5Y3.42%
EBIT Next Year18.29%
EBIT Next 3Y11.58%
EBIT Next 5Y13.52%
FCF growth 1Y9.91%
FCF growth 3Y6.35%
FCF growth 5Y0.45%
OCF growth 1Y5.1%
OCF growth 3Y6.71%
OCF growth 5Y0.64%
HONEYWELL INTERNATIONAL INC / HON FAQ
What is the fundamental rating for HON stock?
ChartMill assigns a fundamental rating of 5 / 10 to HON.
What is the valuation status for HON stock?
ChartMill assigns a valuation rating of 4 / 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 PE and PB ratios for HON stock?
The Price/Earnings (PE) ratio for HONEYWELL INTERNATIONAL INC (HON) is 22.48 and the Price/Book (PB) ratio is 9.86.
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 57.91%.