Honeywell International Inc. (HON) AI Stock Analysis

Honeywell International Inc. is a diversified conglomerate with operations in more than 70 countries, headquartered in Charlotte, North Carolina. The company operates across aerospace, building technologies, performance materials and technologies, and safety and productivity solutions. Its aerospace unit supplies aviation engines, avionics, and aircraft systems. The building technologies division provides heating, ventilation, air conditioning, and security systems. The performance materials and technologies segment specializes in chemicals, advanced materials, and plastics, while safety and productivity solutions offers workplace safety equipment and asset management tools. The company prioritizes research and development investments and maintains sustainability goals.

Honeywell grew revenue from $34.39B in FY2021 to $37.44B in FY2025, representing a 5-year compound annual growth rate of 2.8%. Over this period, annual revenue growth fluctuated from 5.4% in FY2021 to a decline of 5.3% in FY2024, followed by a 7.8% recovery in FY2025. Gross margin expanded from 35.9% in FY2021 to 38.5% in FY2024 before settling at 36.9% in FY2025. Annual net income was $5.54B in FY2021 and $4.73B in FY2025, producing a net margin of 12.6%. For the latest quarter ended June 30, 2026, quarterly revenue grew 4.3% year-over-year, while quarterly earnings grew 263.9%.

As of June 30, 2026, Honeywell held $9.20B in cash and short-term investments against $33.99B in total debt, resulting in net debt of $24.79B. The company recorded a current ratio of 1.21 and a debt-to-equity ratio of 1.83 on shareholders' equity of $18.54B. In FY2025, operating cash flow reached $6.38B. Honeywell allocated capital by spending $986.0M on capital expenditures, repurchasing $3.80B of common shares, and paying $2.98B in dividends.

At a share price of $211.41, Honeywell holds a market capitalization of $67.00B and an enterprise value of $88.93B. The stock trades at a trailing price-to-earnings multiple of 7.8x, compared to 32.4x for the median of its Nasdaq-100 Industrials peers. Its forward price-to-earnings ratio is 22.2x, below the peer median of 27.3x, while enterprise value-to-EBITDA sits at 6.6x versus the peer median of 20.3x. Over the past year, Honeywell gained 7.3%, trailing the S&P 500 return of 16.8%, and its 5-year return of 7.4% lagged the index return of 83.0%.

Honeywell pays a quarterly dividend totaling an annualized $2.80 per share, representing a dividend yield of 1.32%. The company maintains a payout ratio of 22.1% and has paid dividends for 57 consecutive years. Over the past 5 years, its dividend grew at an annualized rate of 5.1%. The stock's last ex-dividend date is November 13, 2026.

Wall Street coverage consists of 11 Strong Buy, 3 Buy, 9 Hold, and 1 Sell ratings, with 0 Strong Sell recommendations. The mean price target is $254.91, indicating an implied upside of 20.6% compared to the last close of $211.41. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $20.15B and earnings per share of $8.30. Honeywell beat earnings estimates in each of the last 4 quarters, with its next earnings date scheduled for October 22, 2026.

This page is an AI-written research summary of Honeywell International Inc. (HON). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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