Honeywell Z Score

HON -  USA Stock  

USD 217.65  1.78  0.81%

Altman Z Score is one of the simplest fundamental models to determine how likely your company is to fail. The module uses available fundamental data of a given equity to approximate the Altman Z score. Altman Z Score is determined by evaluating five fundamental price points available from the company's current public disclosure documents. Please check Honeywell International Piotroski F Score and Honeywell International Valuation analysis.

Honeywell Z Score 

 
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Return on Invested Capital is expected to rise to 0.28 this year, although the value of Capital Expenditure will most likely fall to (1.1 B). Honeywell International Operating Expenses is quite stable at the moment as compared to the past year. The company's current value of Operating Expenses is estimated at 6.03 Billion. Operating Income is expected to rise to about 6.7 B this year, although the value of Consolidated Income will most likely fall to about 5.4 B.

Honeywell Z Score Analysis

Honeywell International's Z-Score is a simple linear, multi-factor model that measures the financial health and economic stability of a company. The score is used to predict the probability of a firm going into bankruptcy within next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five fundamental business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University..
 2019 2020 2021 2022 (projected)
Revenue Per Employee324.86 K316 K284.4 K277.86 K
Net Income Per Employee54.36 K46.27 K41.64 K35.81 K
Z Score 
 = 
Sum Of  
 
5 Factors 
More About Z Score | All Equity Analysis

Current Honeywell International Z Score

    
  3.6  
Most of Honeywell International's fundamental indicators, such as Z Score, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Honeywell International is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
First Factor
 = 
1.2 * (
Working Capital
/
Total Assets )
Second Factor
 = 
1.4 * (
Retained Earnings
/
Total Assets )
Thrid Factor
 = 
3.3 * (
EBITAD
/
Total Assets )
Fouth Factor
 = 
0.6 * (
Market Value of Equity
/
Total Liabilities )
Fifth Factor
 = 
0.99 * (
Revenue
/
Total Assets )

Honeywell Z Score Driver Correlations

Understanding the fundamental principles of building solid financial models for Honeywell International is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Z Score. Since Honeywell International's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Honeywell International's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Honeywell International's interrelated accounts and indicators.
To calculate Z-Score one would need to know current working capital of the company, its total assets, and liabilities, amount of latest retained earnings as well as earnings before interest and tax. Z-Score can be used to compare the odds of bankruptcy of companies in a similar line of business or firms operating in the same industry. Companies with Z-Scores above 3.1 are generally considered to be stable and healthy with a low probability of bankruptcy. Scores that fall between 1.8 and 3.1 lie in a so-called 'grey area' with scores of less than 1, indicating the high probability of distress. Z Score is used widely by financial auditors, accountants, money managers, loan processers, wealth advisers, as well as day traders. In the last 25 years, many financial models that utilize z score has been proved to be successful as a predictor of corporate bankruptcy.
Compare to competition

According to the company's disclosures, Honeywell International has a Z Score of 3.6. This is 11.55% lower than that of the Industrials sector and notably higher than that of the Conglomerates industry. The z score for all United States stocks is 58.72% higher than that of the company.

Honeywell Z Score Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Honeywell International's direct or indirect competition against its Z Score to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Honeywell International could also be used in its relative valuation, which is a method of valuing Honeywell International by comparing valuation metrics of similar companies.
Honeywell International is currently under evaluation in z score category among related companies.

Honeywell International Current Valuation Drivers

We derive many important indicators used in calculating different scores of Honeywell International from analyzing Honeywell International's financial statements. These drivers represent accounts that assess Honeywell International's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Honeywell International's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee12.63 K59.34 K54.36 K46.27 K41.64 K35.81 K
Revenue Per Employee309.42 K366.68 K324.86 K316 K284.4 K277.86 K
Average Assets56.67 B60.13 B58.77 B62.27 B71.61 B67.03 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA8.34 B8.91 B8.92 B7.29 B8.38 B8.55 B
Earnings Before Interest Taxes and Depreciation Amortization USD8.34 B8.91 B8.92 B7.29 B8.38 B8.55 B
Earnings before Tax6.91 B7.42 B7.47 B5.93 B6.81 B6.95 B
Average Equity19.58 B17.9 B18.31 B17.85 B20.53 B20.52 B
Enterprise Value126.23 B106.25 B134.18 B157.43 B181.05 B150.89 B
Free Cash Flow5.02 B5.62 B6.1 B5.36 B6.16 B5.74 B
Invested Capital28.66 B26.09 B28.22 B33.88 B38.96 B33.63 B
Invested Capital Average25.17 B28.56 B27.52 B33.56 B38.6 B33.44 B
Market Capitalization116.83 B97.81 B126.47 B149.25 B171.64 B142.45 B
Tangible Asset Value36.7 B38.09 B39.38 B44.97 B51.71 B46.47 B
Working Capital7.14 B5.44 B6.21 B8.98 B10.32 B8.85 B

Honeywell International Institutional Holders

Institutional Holdings refers to the ownership stake in Honeywell International that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Honeywell International's outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Honeywell International's value.
Security TypeSharesValue
Ferguson Wellman Capital Management IncCommon Shares230.2 K48 M
Chesley Taft Associates LlcCommon Shares138.6 K28.9 M
State Of Alaska Department Of RevenueCommon Shares99.6 K20.8 M
Neville Rodie Shaw IncCommon Shares75.5 K15.7 M
Abner Herrman Brock LlcCommon Shares74.5 K15.5 M
Grassi Investment ManagementCommon Shares65.9 K13.8 M
Crossmark Global Holdings IncCommon Shares52.1 K10.9 M

Honeywell Fundamentals

About Honeywell International Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Honeywell International's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Honeywell International using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Honeywell International based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Honeywell International Inc. operates as a diversified technology and manufacturing company worldwide. The company was incorporated in 1985 and is headquartered in Charlotte, North Carolina. Honeywell International operates under Conglomerates classification in the United States and is traded on NASDAQ Exchange. It employs 103000 people.

Honeywell International Investors Sentiment

The influence of Honeywell International's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Honeywell. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.

Honeywell International Implied Volatility

    
  75.38  
Honeywell International's implied volatility exposes the market's sentiment of Honeywell International stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Honeywell International's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Honeywell International stock will not fluctuate a lot when Honeywell International's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Honeywell International in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Honeywell International's short interest history, or implied volatility extrapolated from Honeywell International options trading.

Current Sentiment - HON

Honeywell International Investor Sentiment

Predominant part of Macroaxis users are currently bullish on Honeywell International. What is your judgment towards investing in Honeywell International? Are you bullish or bearish?
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2% Bearish
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Please check Honeywell International Piotroski F Score and Honeywell International Valuation analysis. Note that the Honeywell International information on this page should be used as a complementary analysis to other Honeywell International's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.

Complementary Tools for Honeywell Stock analysis

When running Honeywell International price analysis, check to measure Honeywell International's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Honeywell International is operating at the current time. Most of Honeywell International's value examination focuses on studying past and present price action to predict the probability of Honeywell International's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Honeywell International's price. Additionally, you may evaluate how the addition of Honeywell International to your portfolios can decrease your overall portfolio volatility.
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Is Honeywell International's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Honeywell International. If investors know Honeywell will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Honeywell International listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Honeywell International is measured differently than its book value, which is the value of Honeywell that is recorded on the company's balance sheet. Investors also form their own opinion of Honeywell International's value that differs from its market value or its book value, called intrinsic value, which is Honeywell International's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Honeywell International's market value can be influenced by many factors that don't directly affect Honeywell International's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Honeywell International's value and its price as these two are different measures arrived at by different means. Investors typically determine Honeywell International value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Honeywell International's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.