Stock Analysis on Net

Honeywell International Inc. (NASDAQ:HON)

$24.99

Price to Earnings (P/E)
since 2005

Microsoft Excel

Paying user area

The data is hidden behind: . Unhide it.

This is a one-time payment. There is no automatic renewal.


We accept:

Visa Mastercard American Express Maestro Discover JCB PayPal Google Pay
Visa Secure Mastercard Identity Check American Express SafeKey

Calculation

Honeywell International Inc., P/E, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Honeywell International Inc. Annual Report.


The price-to-earnings (P/E) ratio for the observed period exhibits considerable fluctuation. Initially, from 2006 to 2008, the P/E ratio demonstrated a decreasing trend, moving from 20.71 to 17.07. A significant drop occurred in 2009, reaching a low of 8.71, before recovering somewhat to 13.44 in 2010. The period between 2010 and 2012 saw an increase, peaking at 22.54, followed by a decline to 18.78 in 2013 and a relatively stable range between 18.91 and 19.27 in 2013 and 2014.

A substantial increase in the P/E ratio was observed in 2017, reaching 67.20, representing a significant outlier compared to the preceding years. Following this peak, the ratio decreased sharply to 16.02 in 2018. The subsequent years, from 2018 to 2021, show a volatile pattern, with the P/E ratio fluctuating between 16.02 and 29.63. The most recent observations, from 2022 to 2026, indicate a more moderate range, fluctuating between 22.73 and 32.62.

Overall Trend
The P/E ratio does not demonstrate a consistent long-term trend. Instead, it is characterized by periods of increase, decrease, and significant volatility, particularly noticeable in 2017 and the period between 2018 and 2021. The ratio appears to have stabilized somewhat in the most recent years, but remains susceptible to fluctuations.
Key Observations
The sharp increase in the P/E ratio in 2017 warrants further investigation, as it deviates significantly from the historical pattern. This could be attributed to a substantial increase in share price relative to earnings, or a significant decline in earnings. The volatility observed between 2018 and 2021 suggests potential shifts in investor sentiment or underlying business performance. The recent stabilization, while present, does not preclude future fluctuations.
Relationship to Share Price and EPS
The P/E ratio’s fluctuations are directly influenced by the concurrent changes in share price and earnings per share (EPS). The 2017 peak coincided with a high share price and relatively low EPS. Conversely, periods of decreasing P/E ratios often correlate with either a decline in share price or an increase in EPS, or a combination of both. The interplay between these two factors is crucial in understanding the observed P/E ratio patterns.

Comparison to Competitors

Honeywell International Inc., P/E, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Sector (Capital Goods)


Comparison to Industry (Industrials)