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Honeywell International Inc. (HON) Outpaces Stock Market Gains: What You Should Know

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Honeywell International Inc. (HON - Free Report) closed the latest trading day at $224.06, indicating a +1.36% change from the previous session's end. This move outpaced the S&P 500's daily gain of 0.53%. Meanwhile, the Dow gained 0.38%, and the Nasdaq, a tech-heavy index, added 0.25%.

Heading into today, shares of the company had lost 2.14% over the past month, lagging the Conglomerates sector's gain of 2.26% and the S&P 500's gain of 1.24% in that time.

The investment community will be closely monitoring the performance of Honeywell International Inc. in its forthcoming earnings report. The company is scheduled to release its earnings on February 6, 2025. The company is forecasted to report an EPS of $2.37, showcasing an 8.85% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $9.92 billion, indicating a 5.11% increase compared to the same quarter of the previous year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Honeywell International Inc. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.92% lower within the past month. Right now, Honeywell International Inc. possesses a Zacks Rank of #3 (Hold).

Looking at valuation, Honeywell International Inc. is presently trading at a Forward P/E ratio of 20.27. For comparison, its industry has an average Forward P/E of 15.33, which means Honeywell International Inc. is trading at a premium to the group.

Meanwhile, HON's PEG ratio is currently 2.54. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Diversified Operations industry currently had an average PEG ratio of 1.77 as of yesterday's close.

The Diversified Operations industry is part of the Conglomerates sector. At present, this industry carries a Zacks Industry Rank of 177, placing it within the bottom 30% of over 250 industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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