Honeywell International Inc. (HON) Stock Analysis — Fair Value, Risk & Moat Rating
NMS · Industrials · Conglomerates
Is Honeywell International Inc. a safe investment right now?
Honeywell International Inc.'s Altman Z-Score of 3.32 places it in the safe zone. Our fair value estimate is $215.73 (Fairly Valued). Moat rating: 3.4/5 stars.
Could Honeywell International Inc. go bankrupt? Altman Z-Score analysis
Z-Score of 3.32 is above 3.0, indicating the company is financially healthy by this metric.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives HON's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.0946 | 1.2 | 0.11 |
| B · Retained Earnings / Total Assets | RE / TA | 0.6917 | 1.4 | 0.97 |
| C · EBIT / Total Assets | EBIT / TA | 0.0926 | 3.3 | 0.31 |
| D · Market Cap / Total Liabilities | MCap / TL | 2.3765 | 0.6 | 1.43 |
| E · Revenue / Total Assets | Rev / TA | 0.5082 | 1.0 | 0.51 |
How has HON's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 3.9 | Safe |
| 2023 | 3.95 | Safe |
| 2024 | 3.33 | Safe |
| 2025 | 3.32 | Safe |
Source: Calculated from HON's latest 10-K filing on SEC EDGAR.
What is Honeywell International Inc. actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $7.99 | Proprietary blend of reported actuals (4Q actual) + analyst consensus, weighted by α |
| Last Year EPS | $8.71 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $10.52 | 25 analysts consensus |
| Trailing P/E | 31.7x | Current market pricing |
| Fair P/E (β discount) | 27.0x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $251.50 (25 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does Honeywell International Inc. have a durable competitive advantage?
Moat rating: 3.4/5.
What makes up HON's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 4/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 3/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is HON's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | 18.7% | — |
| 2023 | 19.1% | Stable |
| 2024 | 14.7% | Declining |
| 2025 | 14.1% | Stable |
Source: ROIC calculated from SEC EDGAR filings.
Is Honeywell International Inc.'s dividend safe?
Can Honeywell International Inc. afford its dividend?
Payout ratio is 66.0%. FCF covers the dividend 1.7x. 65 consecutive years of payments.
Honeywell International Inc.'s key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $37.4B | $34.7B | $35.5B | Rising |
| Net Income | $4.7B | $5.7B | $5.0B | Stable |
| Free Cash Flow | $5.4B | $5.2B | $4.5B | Rising |
| Gross Margin | 36.9% | 38.5% | 37.0% | Stable |
Recent events that affect our HON analysis
HON earnings report scheduled
Upcoming report. Consensus EPS estimate: $2.32. Revenue estimate: $9.28B. Our current Fair Value: $215.73 — a significant beat or miss could shift this estimate.
HON analyst consensus: 58% bullish (15 of 26 analysts)
3 Strong Buy, 12 Buy, 9 Hold, 0 Sell, 2 Strong Sell. Consensus target: $251.50 (14.3% upside). Compare with our independent Fair Value: $215.73.
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON paid $1.1900/share dividend
Dividend Safety Grade: A. Payout ratio: 66.0%.
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
HON beat EPS estimates by 2.1%
Reported EPS: $2.59 vs estimate $2.54. Earnings strength supports our Fair Value of $215.73 (1.9% below current price).
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON paid $1.1900/share dividend
Dividend Safety Grade: A. Payout ratio: 66.0%.
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON stock split 1:1
Stock splits don't change fundamental value, but they can affect per-share metrics. Our models automatically adjust for splits.
HON beat EPS estimates by 9.9%
Reported EPS: $2.82 vs estimate $2.57. Earnings strength supports our Fair Value of $215.73 (1.9% below current price).
HON filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON paid $1.0650/share dividend
Dividend Safety Grade: A. Payout ratio: 66.0%.
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON beat EPS estimates by 3.4%
Reported EPS: $2.75 vs estimate $2.66. Earnings strength supports our Fair Value of $215.73 (1.9% below current price).
HON filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON paid $1.0650/share dividend
Dividend Safety Grade: A. Payout ratio: 66.0%.
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON beat EPS estimates by 13.6%
Reported EPS: $2.51 vs estimate $2.21. Earnings strength supports our Fair Value of $215.73 (1.9% below current price).
HON filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON paid $1.0650/share dividend
Dividend Safety Grade: A. Payout ratio: 66.0%.
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
HON filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
HON beat EPS estimates by 5.3%
Reported EPS: $2.47 vs estimate $2.35. Earnings strength supports our Fair Value of $215.73 (1.9% below current price).
HON filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
Common questions about Honeywell International Inc.
What is Honeywell International Inc. stock price today?
Honeywell International Inc. (HON) stock price is $219.97 as of the latest market close, traded on the NASDAQ exchange.
What does Honeywell International Inc. do?
Honeywell International Inc. engages in the aerospace technologies, industrial automation, building automation, and energy and sustainable solutions businesses in the United States, Europe, and internationally. The company's Aerospace Technologies segment offers auxiliary power units, propulsion engines, integrated avionics, connectivity services, electric power systems, management and technical services, environmental control and electric power systems, engine controls, flight safety, communications, navigation hardware, data and software applications, radar and surveillance systems, aircraft lighting, advanced systems and instruments, satellite and space components, and aircraft wheels and brakes; thermal systems; and spare parts; repair, overhaul, and maintenance services.
What is Honeywell International Inc. market cap?
Honeywell International Inc. has a market capitalization of $139.38B, classifying it as a large-cap stock in the Industrials sector.
What sector and industry is HON in?
Honeywell International Inc. operates in the Industrials sector, specifically within the Conglomerates industry. It trades on the NASDAQ under the ticker symbol HON.
Is HON stock overvalued or undervalued?
Based on our valuation model, Honeywell International Inc. trades 2.0% above our fair value estimate — potentially overvalued.
- FairValueLabs Fair Value: $215.73
- Current Price: $219.97
- Valuation Zone: Fairly Valued
What is HON stock forecast and analyst target price?
Based on 25 Wall Street analysts, the consensus price target for Honeywell International Inc. is $251.50, implying upside of 14.3% from the current price.
- Analyst High Target: $296.00
- Analyst Low Target: $198.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is Honeywell International Inc. revenue and earnings growing?
Here are the analyst consensus growth estimates for Honeywell International Inc.:
- Revenue growth (current year est.): 5.5%
- EPS growth (current year est.): 7.5%
- Revenue growth (next year est.): 6.0%
- EPS growth (next year est.): 9.1%
What are Honeywell International Inc.'s key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $37.4B | Rising |
| Net Income | $4.7B | Stable |
| Free Cash Flow | $5.4B | Rising |
| Gross Margin | 36.9% | Stable |
What is HON's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 31.7x
- Forward P/E (next 12 months est.): 19.2x
- FairValueLabs Fair P/E: 27.0x
How volatile is HON stock?
Honeywell International Inc. has a beta of 0.92, meaning it is roughly in line with overall market volatility. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does Honeywell International Inc. have?
Honeywell International Inc.'s balance sheet shows:
- Total Cash: $12.93B
- Total Debt: $35.56B
- Net Cash Position: $-22.63B
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is Honeywell International Inc.'s free cash flow?
Honeywell International Inc. generated $4.66B in trailing twelve-month free cash flow (from $6.41B in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does Honeywell International Inc. pay a dividend, and is it safe?
Yes, Honeywell International Inc. pays a regular dividend. Here are the key metrics:
- Dividend Yield: 2.1%
- Payout Ratio: 66.0%
- Consecutive Years Paid: 65
- 5-Year Dividend Growth: -19.7%
- FairValueLabs Safety Grade: A
Is Honeywell International Inc. at risk of going bankrupt?
Honeywell International Inc.'s Altman Z-Score is 3.32, placing it in the safe zone (above 3.0) — bankruptcy risk is low. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does Honeywell International Inc. have a durable competitive advantage?
Honeywell International Inc. scores 3.4/5 stars (Narrow moat) in our moat analysis:
- ROIC Stability: 4/5
- Gross Margin Trend: 3/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
What is HON's return on equity (ROE)?
Honeywell International Inc.'s return on equity is 26.1%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy HON stock?
HON shares can be purchased through any brokerage account that provides access to the NASDAQ. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol HON
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is HON a value stock or speculative?
FairValueLabs classifies Honeywell International Inc. as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
Who is the CEO of Honeywell International Inc.?
The current CEO of Honeywell International Inc. is Mr. Vimal M. Kapur.
What is HON's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $6.93
- Forward EPS (next 12 months est.): $11.47
- Analyst consensus EPS (this year): $10.52
- Analyst consensus EPS (next year): $11.47
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FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
HON analysis methodology: How we calculate fair value, Z-Scores, and moat ratings