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Honeywell International

NYSE:HON
Snowflake Description

Established dividend payer with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HON
NYSE
$121B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Honeywell International Inc. operates as a diversified technology and manufacturing company worldwide. The last earnings update was 37 days ago. More info.


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HON Share Price and Events
7 Day Returns
-1.9%
NYSE:HON
-2.8%
US Industrials
-1.4%
US Market
1 Year Returns
10.6%
NYSE:HON
-11.3%
US Industrials
1.6%
US Market
HON Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Honeywell International (HON) -1.9% -2.2% 8.8% 10.6% 45.8% 78.9%
US Industrials -2.8% -8.8% -4.9% -11.3% -26.3% -14.8%
US Market -1.4% -3.9% 0.2% 1.6% 33.2% 38.2%
1 Year Return vs Industry and Market
  • HON outperformed the Industrials industry which returned -11.3% over the past year.
  • HON outperformed the Market in United States of America which returned 1.6% over the past year.
Price Volatility
HON
Industry
5yr Volatility vs Market

HON Value

 Is Honeywell International undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Honeywell International to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Honeywell International.

NYSE:HON Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 20 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:HON
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Industrials Unlevered Beta Simply Wall St/ S&P Global 0.86
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.862 (1 + (1- 21%) (13.86%))
0.971
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.97
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.971 * 5.96%)
8.52%

Discounted Cash Flow Calculation for NYSE:HON using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Honeywell International is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:HON DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.52%)
2019 5,921.08 Analyst x12 5,456.32
2020 6,280.70 Analyst x10 5,333.41
2021 6,798.17 Analyst x6 5,319.70
2022 7,251.00 Analyst x3 5,228.67
2023 8,060.00 Analyst x1 5,355.83
2024 8,586.64 Est @ 6.53% 5,257.91
2025 9,049.70 Est @ 5.39% 5,106.49
2026 9,465.44 Est @ 4.59% 4,921.84
2027 9,847.35 Est @ 4.03% 4,718.51
2028 10,206.12 Est @ 3.64% 4,506.55
Present value of next 10 years cash flows $51,205.24
NYSE:HON DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $10,206.12 × (1 + 2.73%) ÷ (8.52% – 2.73%)
$181,147.56
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $181,147.56 ÷ (1 + 8.52%)10
$79,986.42
NYSE:HON Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $51,205.24 + $79,986.42
$131,191.66
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $131,191.66 / 727.74
$180.27
NYSE:HON Discount to Share Price
Calculation Result
Value per share (USD) From above. $180.27
Current discount Discount to share price of $166.68
= -1 x ($166.68 - $180.27) / $180.27
7.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Honeywell International is available for.
Intrinsic value
8%
Share price is $166.68 vs Future cash flow value of $180.27
Current Discount Checks
For Honeywell International to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Honeywell International's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Honeywell International's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Honeywell International's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Honeywell International's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:HON PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $9.14
NYSE:HON Share Price ** NYSE (2019-05-24) in USD $166.68
United States of America Industrials Industry PE Ratio Median Figure of 5 Publicly-Listed Industrials Companies 21.19x
United States of America Market PE Ratio Median Figure of 3,084 Publicly-Listed Companies 17.44x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Honeywell International.

NYSE:HON PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:HON Share Price ÷ EPS (both in USD)

= 166.68 ÷ 9.14

18.24x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Honeywell International is good value based on earnings compared to the US Industrials industry average.
  • Honeywell International is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Honeywell International's expected growth come at a high price?
Raw Data
NYSE:HON PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.24x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts
4.9%per year
United States of America Industrials Industry PEG Ratio Median Figure of 5 Publicly-Listed Industrials Companies 1.74x
United States of America Market PEG Ratio Median Figure of 2,121 Publicly-Listed Companies 1.51x

*Line of best fit is calculated by linear regression .

NYSE:HON PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.24x ÷ 4.9%

3.72x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Honeywell International is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Honeywell International's assets?
Raw Data
NYSE:HON PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $25.79
NYSE:HON Share Price * NYSE (2019-05-24) in USD $166.68
United States of America Industrials Industry PB Ratio Median Figure of 6 Publicly-Listed Industrials Companies 4.21x
United States of America Market PB Ratio Median Figure of 5,207 Publicly-Listed Companies 1.8x
NYSE:HON PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:HON Share Price ÷ Book Value per Share (both in USD)

= 166.68 ÷ 25.79

6.46x

* Primary Listing of Honeywell International.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Honeywell International is overvalued based on assets compared to the US Industrials industry average.
X
Value checks
We assess Honeywell International's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Industrials industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Industrials industry average (and greater than 0)? (1 check)
  5. Honeywell International has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

HON Future Performance

 How is Honeywell International expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
4.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Honeywell International expected to grow at an attractive rate?
  • Honeywell International's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Honeywell International's earnings growth is positive but not above the United States of America market average.
  • Honeywell International's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:HON Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:HON Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts 4.9%
NYSE:HON Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 20 Analysts 4.1%
United States of America Industrials Industry Earnings Growth Rate Market Cap Weighted Average 15.9%
United States of America Industrials Industry Revenue Growth Rate Market Cap Weighted Average 2.9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.7%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:HON Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:HON Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 45,247 8,860 1
2022-12-31 42,791 8,069 7,064 2
2021-12-31 40,465 7,620 6,782 8
2020-12-31 38,901 7,119 6,326 19
2019-12-31 37,178 6,748 5,930 20
NYSE:HON Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 40,294 6,432 6,742
2018-12-31 41,802 6,434 6,765
2018-09-30 42,916 7,047 2,525
2018-06-30 42,275 6,576 1,533
2018-03-31 41,434 6,162 1,658
2017-12-31 40,534 5,966 1,545
2017-09-30 39,676 5,836 5,098
2017-06-30 39,359 5,983 4,992
2017-03-31 39,272 6,119 4,919
2016-12-31 39,302 5,498 4,812
2016-09-30 39,299 5,419 4,969
2016-06-30 39,106 5,592 4,993

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Honeywell International's earnings are expected to grow by 4.9% yearly, however this is not considered high growth (20% yearly).
  • Honeywell International's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:HON Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below

All data from Honeywell International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:HON Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31 9.80 9.80 9.80 1.00
2021-12-31 9.58 10.01 9.15 6.00
2020-12-31 8.79 9.18 8.40 13.00
2019-12-31 8.09 8.17 7.95 14.00
NYSE:HON Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 9.14
2018-12-31 9.10
2018-09-30 3.37
2018-06-30 2.03
2018-03-31 2.18
2017-12-31 2.03
2017-09-30 6.68
2017-06-30 6.54
2017-03-31 6.45
2016-12-31 6.30
2016-09-30 6.48
2016-06-30 6.48

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Honeywell International is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Honeywell International's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Honeywell International has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

HON Past Performance

  How has Honeywell International performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Honeywell International's growth in the last year to its industry (Industrials).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Honeywell International's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Honeywell International's 1-year earnings growth exceeds its 5-year average (306.6% vs -1%)
  • Honeywell International's earnings growth has exceeded the US Industrials industry average in the past year (306.6% vs 12.8%).
Earnings and Revenue History
Honeywell International's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Honeywell International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:HON Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 40,294.00 6,742.00 4,856.00
2018-12-31 41,802.00 6,765.00 4,854.00
2018-09-30 42,916.00 2,525.00 5,440.00
2018-06-30 42,275.00 1,533.00 5,006.00
2018-03-31 41,434.00 1,658.00 5,180.00
2017-12-31 40,534.00 1,545.00 5,191.00
2017-09-30 39,676.00 5,098.00 5,148.00
2017-06-30 39,359.00 4,992.00 5,738.00
2017-03-31 39,272.00 4,919.00 5,365.00
2016-12-31 39,302.00 4,812.00 4,937.00
2016-09-30 39,299.00 4,969.00 5,308.00
2016-06-30 39,106.00 4,993.00 5,143.00
2016-03-31 38,890.00 4,868.00 5,056.00
2015-12-31 38,581.00 4,768.00 5,006.00
2015-09-30 38,865.00 4,530.00 5,134.00
2015-06-30 39,362.00 4,433.00 5,276.00
2015-03-31 39,840.00 4,338.00 5,409.00
2014-12-31 40,306.00 4,239.00 5,518.00
2014-09-30 40,427.00 4,230.00 5,496.00
2014-06-30 39,966.00 4,053.00 5,394.00
2014-03-31 39,406.00 3,975.00 5,300.00
2013-12-31 39,055.00 3,924.00 5,190.00
2013-09-30 38,249.00 3,228.00 5,275.00
2013-06-30 37,944.00 3,188.00 5,271.00
2013-03-31 37,686.00 3,069.00 5,216.00
2012-12-31 37,665.00 2,926.00 5,218.00
2012-09-30 37,557.00 2,365.00 5,311.00
2012-06-30 37,513.00 2,100.00 5,376.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Honeywell International has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Honeywell International used its assets more efficiently than the US Industrials industry average last year based on Return on Assets.
  • Honeywell International's use of capital has not improved over the past 3 years (Return on Capital Employed).
X
Past performance checks
We assess Honeywell International's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Industrials industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Honeywell International has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

HON Health

 How is Honeywell International's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Honeywell International's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Honeywell International is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Honeywell International's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Honeywell International's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Honeywell International Company Filings, last reported 1 month ago.

NYSE:HON Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 18,963.00 16,816.00 10,684.00
2018-12-31 18,365.00 16,214.00 10,910.00
2018-09-30 18,423.00 18,251.00 11,653.00
2018-06-30 17,778.00 17,084.00 9,850.00
2018-03-31 17,779.00 18,287.00 10,280.00
2017-12-31 16,670.00 17,882.00 10,817.00
2017-09-30 21,231.00 16,783.00 10,170.00
2017-06-30 20,553.00 16,510.00 9,821.00
2017-03-31 20,478.00 15,919.00 9,595.00
2016-12-31 19,550.00 15,775.00 9,363.00
2016-09-30 19,374.00 15,858.00 8,597.00
2016-06-30 18,945.00 14,013.00 6,949.00
2016-03-31 18,375.00 13,957.00 6,369.00
2015-12-31 18,708.00 12,068.00 7,535.00
2015-09-30 18,167.00 10,567.00 10,332.00
2015-06-30 18,856.00 9,719.00 9,806.00
2015-03-31 17,919.00 9,707.00 8,919.00
2014-12-31 18,003.00 8,683.00 9,073.00
2014-09-30 19,267.00 8,889.00 8,729.00
2014-06-30 19,006.00 9,244.00 8,712.00
2014-03-31 18,219.00 9,357.00 8,126.00
2013-12-31 17,746.00 8,837.00 8,016.00
2013-09-30 15,234.00 8,608.00 6,148.00
2013-06-30 14,012.00 7,702.00 5,185.00
2013-03-31 13,685.00 7,699.00 5,083.00
2012-12-31 13,215.00 7,496.00 5,221.00
2012-09-30 13,219.00 7,989.00 5,400.00
2012-06-30 12,083.00 7,975.00 4,712.00
  • Honeywell International's level of debt (88.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (51.3% vs 88.7% today).
  • Debt is well covered by operating cash flow (38.2%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 57.1x coverage).
X
Financial health checks
We assess Honeywell International's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Honeywell International has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

HON Dividends

 What is Honeywell International's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.97%
Current annual income from Honeywell International dividends. Estimated to be 2.17% next year.
If you bought $2,000 of Honeywell International shares you are expected to receive $39 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Honeywell International's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).
  • Honeywell International's dividend is below the markets top 25% of dividend payers in United States of America (3.75%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:HON Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
United States of America Industrials Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 1.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2007 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:HON Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 5.04 1.00
2022-12-31 4.24 4.00
2021-12-31 3.78 9.00
2020-12-31 3.58 15.00
2019-12-31 3.31 15.00
NYSE:HON Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-29 3.280 1.928
2019-02-07 3.280 2.080
2018-09-28 3.280 2.274
2018-07-27 2.980 1.864
2018-04-23 2.980 2.011
2018-02-08 2.980 2.003
2017-09-29 2.980 1.978
2017-07-28 2.660 1.927
2017-04-24 2.660 1.995
2017-02-09 2.660 2.128
2016-10-28 2.660 2.305
2016-07-29 2.380 2.092
2016-04-25 2.380 2.062
2016-02-12 2.380 2.167
2015-10-30 2.380 2.337
2015-07-31 2.070 2.071
2015-04-27 2.070 1.993
2015-02-12 2.070 2.003
2014-10-31 2.070 2.091
2014-07-25 1.800 1.932
2014-04-28 1.800 1.919
2014-02-13 1.800 1.932
2013-10-22 1.800 2.024
2013-07-26 1.640 1.971
2013-04-22 1.640 2.082
2013-02-14 1.640 2.256
2012-10-26 1.640 2.552
2012-07-25 1.490 2.495
2012-04-23 1.490 2.636
2012-02-16 1.490 2.504
2011-10-28 1.490 2.702
2011-07-29 1.330 2.859
2011-04-25 1.330 2.284
2010-12-10 1.330 2.373
2010-10-29 1.210 2.448
2010-07-30 1.210 2.784
2010-04-26 1.210 2.836
2010-02-11 1.210 2.804
2009-10-30 1.210 3.064
2009-07-31 1.210 3.260

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Honeywell International's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.9x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).
X
Income/ dividend checks
We assess Honeywell International's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Honeywell International afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Honeywell International has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

HON Management

 What is the CEO of Honeywell International's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Darius Adamczyk
COMPENSATION $19,246,604
AGE 52
TENURE AS CEO 2.2 years
CEO Bio

Mr. Darius E. Adamczyk is Chairman and Chief Executive Officer of Honeywell since April 2018, a leading software-industrial company that helps connect everything from aircraft, cars, homes and buildings, manufacturing plants, supply chains, and workers to make world smarter, safer, and more sustainable. Mr. Darius served as President March 2017 until April 2018 after serving for a year as President and Chief Operating Officer. Mr. Darius’ focus in these roles has been on accelerating Honeywell’s organic growth, expanding margins, transforming Honeywell International Inc. into a premier software-industrial, deploying capital effectively, and building a high-performance culture. Mr. Darius joined Honeywell International Inc. in 2008 when Metrologic, where he was serving as Chief Executive Officer, was acquired by Honeywell. He served as President of Honeywell Scanning and Mobility for four years, doubling the size of the business, before leading a turnaround over two years as President of Honeywell Process Solutions. In 2014, Mr. Darius was promoted to President and Chief Executive Officer of Honeywell Performance Materials and Technologies. Before joining Honeywell, Mr. Darius held several leadership positions with Ingersoll Rand and Booz Allen Hamilton. He began his career as an electrical engineer at General Electric in 1988. Born in Poland on February 8, 1966, Mr. Darius emigrated to the United States at age 11. He earned his MBA from Harvard University, a Master's degree in Computer Engineering from Syracuse University, and a Bachelor's degree in Electrical and Computer Engineering from Michigan State University. Mr. Darius also completed the GE Edison Engineering Program, as well as numerous executive development courses at Wharton and Duke, among other institutions. Mr. Darius has received the Corporate Social Responsibility Award from the Foreign Policy Association, as well as the John D. Ryder Electrical and Computer Engineering Alumni Award from Michigan State University. Mr. Darius serves on the Business Roundtable.

CEO Compensation
  • Darius's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Darius's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Honeywell International management team in years:

1.5
Average Tenure
54.5
Average Age
  • The average tenure for the Honeywell International management team is less than 2 years, this suggests a new team.
Management Team

Darius Adamczyk

TITLE
Chairman of the Board
COMPENSATION
$19M
AGE
52
TENURE
2.2 yrs

Greg Lewis

TITLE
Senior VP & CFO
COMPENSATION
$3M
AGE
50
TENURE
0.8 yrs

Tim Mahoney

TITLE
President & CEO of Aerospace
COMPENSATION
$9M
AGE
61

John Tus

TITLE
Interim Principal Accounting Officer
AGE
59
TENURE
0.9 yrs

Mark Macaluso

TITLE
Vice President of Investor Relations

Anne Madden

TITLE
Senior VP
AGE
53
TENURE
1.6 yrs

Brian Cook

TITLE
VP of Corporate Development and Global Head of M&A
TENURE
1.6 yrs

S. Tedjarati

TITLE
President of Global High Growth Regions
AGE
56
TENURE
1.3 yrs

Rajeev Gautam

TITLE
President and CEO of Performance Materials & Technologies
COMPENSATION
$7M
AGE
65

John Waldron

TITLE
President & CEO of Safety and Productivity Solutions
AGE
42
Board of Directors Tenure

Average tenure and age of the Honeywell International board of directors in years:

9.3
Average Tenure
66.5
Average Age
  • The tenure for the Honeywell International board of directors is about average.
Board of Directors

Darius Adamczyk

TITLE
Chairman of the Board
COMPENSATION
$19M
AGE
52
TENURE
1.1 yrs

Roger Fradin

TITLE
Chairman of Homes & Global Distribution Business
COMPENSATION
$10M
AGE
65
TENURE
1.3 yrs

D. Davis

TITLE
Independent Director
COMPENSATION
$318K
AGE
66
TENURE
13.8 yrs

Linnet Deily

TITLE
Director
COMPENSATION
$335K
AGE
72
TENURE
13.3 yrs

George Paz

TITLE
Director
COMPENSATION
$330K
AGE
62
TENURE
10.4 yrs

Robin Washington

TITLE
Director
COMPENSATION
$295K
AGE
55
TENURE
6.1 yrs

Jaime Chico Pardo

TITLE
Lead Director
COMPENSATION
$343K
AGE
68

Clive Hollick

TITLE
Independent Director
COMPENSATION
$337K
AGE
73
TENURE
15.9 yrs

Kevin Burke

TITLE
Director
COMPENSATION
$310K
AGE
67
TENURE
9.3 yrs

Judd Gregg

TITLE
Director
COMPENSATION
$310K
AGE
71
TENURE
8.1 yrs
Who owns this company?
Recent Insider Trading
  • Honeywell International insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
22. May 19 Sell Vimal Kapur Individual 20. May 19 20. May 19 -5,000 $169.58 $-847,900
07. Mar 19 Sell Timothy Mahoney Individual 05. Mar 19 05. Mar 19 -49,443 $154.30 $-7,629,055
07. Feb 19 Sell Linnet Deily Individual 06. Feb 19 06. Feb 19 -1,162 $148.75 $-172,848
21. Nov 18 Sell Jaime Chico Pardo Individual 21. Nov 18 21. Nov 18 -13,400 $145.13 $-1,944,742
X
Management checks
We assess Honeywell International's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Honeywell International has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

HON News

Simply Wall St News

Estimating The Intrinsic Value Of Honeywell International Inc. (NYSE:HON)

Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, and so the sum of these future cash flows is then discounted to today's value: 10-year free cash flow (FCF) estimate 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF ($, Millions) $5.92k $6.28k $6.80k $7.25k $8.06k $8.59k $9.05k $9.47k $9.85k $10.21k Growth Rate Estimate Source Analyst x12 Analyst x10 Analyst x6 Analyst x3 Analyst x1 Est @ 6.54% Est @ 5.4% Est @ 4.6% Est @ 4.04% Est @ 3.64% Present Value ($, Millions) Discounted @ 8.52% $5.46k $5.33k $5.32k $5.23k $5.35k $5.26k $5.11k $4.92k $4.72k $4.51k Present Value of 10-year Cash Flow (PVCF)= $51.20b "Est" = FCF growth rate estimated by Simply Wall St We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … NYSE:HON Intrinsic value, May 10th 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

Estimating The Intrinsic Value Of Honeywell International Inc. (NYSE:HON)

In this article we are going to estimate the intrinsic value of Honeywell International Inc. … by taking the foreast future cash flows of the company and discounting them back to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

Investors Who Bought Honeywell International (NYSE:HON) Shares Five Years Ago Are Now Up 81%

To wit, the Honeywell International share price has climbed 81% in five years, easily topping the market return of 46% (ignoring dividends). … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … Over half a decade, Honeywell International managed to grow its earnings per share at 13% a year.

Simply Wall St -

Should You Consider Honeywell International Inc. (NYSE:HON)?

I've been keeping an eye on Honeywell International Inc. … Looking at the company as a whole, as a potential stock investment, I believe HON has a lot to offer. … , dividend-paying company with a

Simply Wall St -

What Type Of Shareholder Owns Honeywell International Inc.'s (NYSE:HON)?

Generally speaking, as a company grows, institutions will increase their ownership. … Honeywell International is a pretty big company. … Normally institutions would own a significant portion of a company this size.

Simply Wall St -

What Should We Expect From Honeywell International Inc.'s (NYSE:HON) Earnings In The Next Couple Of Years?

The most recent earnings announcement Honeywell International Inc.'s (NYSE:HON) released in December 2018a

Simply Wall St -

What Do Analysts Think About Honeywell International Inc.'s (NYSE:HON) Growth?

On 31 December 2018, Honeywell International Inc. … (NYSE:HON) released its most recent earnings update. … with earnings expected to decline by -14% in the upcoming year.

Simply Wall St -

What Does Honeywell International Inc.’s (NYSE:HON) 20% ROCE Say About The Business?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

2 Days Left Until Honeywell International Inc. (NYSE:HON) Trades Ex-Dividend

Investors who want to cash in on Honeywell International Inc.'s (NYSE:HON) upcoming dividend of US$0.82 per share have only 2 days left to buy the shares before its ex-dividend date, 21 February 2019, in time for dividends payable on the 08 March 2019. … Investors looking for higher income-generating stocks to add to their portfolio should keep reading, as I examine Honeywell International's latest financial data to analyse its dividend characteristics. … Has it consistently paid a stable dividend without missing a payment or drastically cutting payout?

Simply Wall St -

Is It Too Late To Consider Buying Honeywell International Inc. (NYSE:HON)?

Help shape the future of investing tools and you could win a $250 gift card! … saw a decent share price growth in the teens level on the NYSE over the last few months. … With many analysts covering the large-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price

Simply Wall St -

HON Company Info

Description

Honeywell International Inc. operates as a diversified technology and manufacturing company worldwide. Its Aerospace segment supplies products, software, and services for aircrafts and vehicles. This segment offers auxiliary power units, propulsion engines, integrated avionics, 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; spare parts; repair, overhaul, and maintenance services; and connected solutions and data services for the aftermarket, as well as provides wireless connectivity and management and technical services. The company’s Honeywell Building Technologies segment offers products, software, solutions, and technologies, such as sensors, switches, control systems and instruments for energy management; access control; video surveillance; fire products; remote patient monitoring systems; advanced software applications; and installation, maintenance and upgrades of systems. Its Performance Materials and Technologies segment develops and manufactures process technology products, including catalysts and adsorbents, equipment, and consulting services. The company’s Safety and Productivity Solutions segment provides products, software, and connected solutions. Its safety products comprise personal protection equipment, apparel, gear, and footwear; gas detection technology; and cloud-based notification and emergency messaging. This segment’s productivity solutions products and services include mobile devices and software; supply chain and warehouse automation equipment, software and solutions; custom-engineered sensors, switches, and controls; and software-based data and asset management productivity solutions. Honeywell International Inc. was incorporated in 1985 and is based in Morris Plains, New Jersey.

Details
Name: Honeywell International Inc.
HON
Exchange: NYSE
Founded: 1985
$121,300,042,393
727,742,035
Website: http://www.honeywell.com
Address: Honeywell International Inc.
115 Tabor Road,
Morris Plains,
New Jersey, 07950,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE HON Common Stock New York Stock Exchange US USD 19. Sep 1985
DB ALD Common Stock Deutsche Boerse AG DE EUR 19. Sep 1985
LSE HON Common Stock London Stock Exchange GB USD 19. Sep 1985
WBAG HON Common Stock Wiener Boerse AG AT EUR 19. Sep 1985
SNSE HON Common Stock Santiago Stock Exchange CL USD 19. Sep 1985
BMV HON * Common Stock Bolsa Mexicana de Valores MX MXN 19. Sep 1985
BOVESPA HONB34 BDR EACH REPR 1 COM USD1 Bolsa de Valores de Sao Paulo BR BRL 24. Aug 2012
Number of employees
Current staff
Staff numbers
114,000
Honeywell International employees.
Industry
Industrial Conglomerates
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/25 23:38
End of day share price update: 2019/05/24 00:00
Last estimates confirmation: 2019/05/20
Last earnings filing: 2019/04/18
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.