Stock Analysis on Net
Stock Analysis on Net

Honeywell International Inc. (NASDAQ:HON)

Adjusted Financial Ratios

Microsoft Excel

Adjusted Financial Ratios (Summary)

Honeywell International Inc., adjusted financial ratios

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Activity Ratio
Total Asset Turnover
Reported 0.60 0.57 0.53 0.51 0.63
Adjusted 0.59 0.58 0.54 0.52 0.63
Liquidity Ratio
Current Ratio
Reported 1.27 1.25 1.30 1.47 1.34
Adjusted 1.63 1.59 1.62 1.83 1.66
Solvency Ratios
Debt to Equity
Reported 1.29 1.17 1.06 1.28 0.87
Adjusted 0.91 0.83 0.78 0.95 0.66
Debt to Capital
Reported 0.56 0.54 0.51 0.56 0.46
Adjusted 0.48 0.45 0.44 0.49 0.40
Financial Leverage
Reported 3.88 3.73 3.47 3.68 3.17
Adjusted 2.60 2.51 2.43 2.62 2.33
Profitability Ratios
Net Profit Margin
Reported 15.43% 14.00% 16.11% 14.64% 16.73%
Adjusted 13.47% 12.85% 18.01% 14.91% 18.39%
Return on Equity (ROE)
Reported 35.68% 29.74% 29.85% 27.23% 33.22%
Adjusted 20.77% 18.64% 23.58% 20.17% 26.88%
Return on Assets (ROA)
Reported 9.20% 7.97% 8.60% 7.40% 10.47%
Adjusted 7.99% 7.41% 9.71% 7.71% 11.53%

Based on: 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).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Honeywell International Inc. adjusted total asset turnover ratio improved from 2021 to 2022 and from 2022 to 2023.
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Honeywell International Inc. adjusted current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Honeywell International Inc. adjusted debt-to-equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Honeywell International Inc. adjusted debt-to-capital ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Honeywell International Inc. adjusted financial leverage ratio increased from 2021 to 2022 and from 2022 to 2023.
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. Honeywell International Inc. adjusted net profit margin ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. Honeywell International Inc. adjusted ROE deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Honeywell International Inc. adjusted ROA deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.

Honeywell International Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Net sales 36,662 35,466 34,392 32,637 36,709
Total assets 61,525 62,275 64,470 64,586 58,679
Activity Ratio
Total asset turnover1 0.60 0.57 0.53 0.51 0.63
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net sales2 36,443 35,868 34,591 33,125 36,842
Adjusted total assets3 61,456 62,180 64,158 64,028 58,784
Activity Ratio
Adjusted total asset turnover4 0.59 0.58 0.54 0.52 0.63

Based on: 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).

1 2023 Calculation
Total asset turnover = Net sales ÷ Total assets
= 36,662 ÷ 61,525 = 0.60

2 Adjusted net sales. See details »

3 Adjusted total assets. See details »

4 2023 Calculation
Adjusted total asset turnover = Adjusted net sales ÷ Adjusted total assets
= 36,443 ÷ 61,456 = 0.59

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Honeywell International Inc. adjusted total asset turnover ratio improved from 2021 to 2022 and from 2022 to 2023.

Adjusted Current Ratio

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Current assets 23,502 24,982 25,372 28,175 24,303
Current liabilities 18,539 19,938 19,508 19,197 18,098
Liquidity Ratio
Current ratio1 1.27 1.25 1.30 1.47 1.34
Adjusted
Selected Financial Data (US$ in millions)
Adjusted current assets2 23,825 25,308 25,549 28,377 24,494
Adjusted current liabilities3 14,579 15,899 15,754 15,481 14,755
Liquidity Ratio
Adjusted current ratio4 1.63 1.59 1.62 1.83 1.66

Based on: 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).

1 2023 Calculation
Current ratio = Current assets ÷ Current liabilities
= 23,502 ÷ 18,539 = 1.27

2 Adjusted current assets. See details »

3 Adjusted current liabilities. See details »

4 2023 Calculation
Adjusted current ratio = Adjusted current assets ÷ Adjusted current liabilities
= 23,825 ÷ 14,579 = 1.63

Liquidity ratio Description The company
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Honeywell International Inc. adjusted current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Adjusted Debt to Equity

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Total debt 20,443 19,570 19,599 22,384 16,002
Total Honeywell shareowners’ equity 15,856 16,697 18,569 17,549 18,494
Solvency Ratio
Debt to equity1 1.29 1.17 1.06 1.28 0.87
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 21,536 20,537 20,631 23,212 16,707
Adjusted total shareowners’ equity3 23,634 24,735 26,421 24,484 25,208
Solvency Ratio
Adjusted debt to equity4 0.91 0.83 0.78 0.95 0.66

Based on: 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).

1 2023 Calculation
Debt to equity = Total debt ÷ Total Honeywell shareowners’ equity
= 20,443 ÷ 15,856 = 1.29

2 Adjusted total debt. See details »

3 Adjusted total shareowners’ equity. See details »

4 2023 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted total shareowners’ equity
= 21,536 ÷ 23,634 = 0.91

Solvency ratio Description The company
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Honeywell International Inc. adjusted debt-to-equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Adjusted Debt to Capital

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Total debt 20,443 19,570 19,599 22,384 16,002
Total capital 36,299 36,267 38,168 39,933 34,496
Solvency Ratio
Debt to capital1 0.56 0.54 0.51 0.56 0.46
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 21,536 20,537 20,631 23,212 16,707
Adjusted total capital3 45,170 45,272 47,052 47,696 41,915
Solvency Ratio
Adjusted debt to capital4 0.48 0.45 0.44 0.49 0.40

Based on: 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).

1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 20,443 ÷ 36,299 = 0.56

2 Adjusted total debt. See details »

3 Adjusted total capital. See details »

4 2023 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 21,536 ÷ 45,170 = 0.48

Solvency ratio Description The company
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Honeywell International Inc. adjusted debt-to-capital ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Adjusted Financial Leverage

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Total assets 61,525 62,275 64,470 64,586 58,679
Total Honeywell shareowners’ equity 15,856 16,697 18,569 17,549 18,494
Solvency Ratio
Financial leverage1 3.88 3.73 3.47 3.68 3.17
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total assets2 61,456 62,180 64,158 64,028 58,784
Adjusted total shareowners’ equity3 23,634 24,735 26,421 24,484 25,208
Solvency Ratio
Adjusted financial leverage4 2.60 2.51 2.43 2.62 2.33

Based on: 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).

1 2023 Calculation
Financial leverage = Total assets ÷ Total Honeywell shareowners’ equity
= 61,525 ÷ 15,856 = 3.88

2 Adjusted total assets. See details »

3 Adjusted total shareowners’ equity. See details »

4 2023 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted total shareowners’ equity
= 61,456 ÷ 23,634 = 2.60

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Honeywell International Inc. adjusted financial leverage ratio increased from 2021 to 2022 and from 2022 to 2023.

Adjusted Net Profit Margin

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Net income attributable to Honeywell 5,658 4,966 5,542 4,779 6,143
Net sales 36,662 35,466 34,392 32,637 36,709
Profitability Ratio
Net profit margin1 15.43% 14.00% 16.11% 14.64% 16.73%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 4,909 4,610 6,230 4,939 6,776
Adjusted net sales3 36,443 35,868 34,591 33,125 36,842
Profitability Ratio
Adjusted net profit margin4 13.47% 12.85% 18.01% 14.91% 18.39%

Based on: 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).

1 2023 Calculation
Net profit margin = 100 × Net income attributable to Honeywell ÷ Net sales
= 100 × 5,658 ÷ 36,662 = 15.43%

2 Adjusted net income. See details »

3 Adjusted net sales. See details »

4 2023 Calculation
Adjusted net profit margin = 100 × Adjusted net income ÷ Adjusted net sales
= 100 × 4,909 ÷ 36,443 = 13.47%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. Honeywell International Inc. adjusted net profit margin ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Net income attributable to Honeywell 5,658 4,966 5,542 4,779 6,143
Total Honeywell shareowners’ equity 15,856 16,697 18,569 17,549 18,494
Profitability Ratio
ROE1 35.68% 29.74% 29.85% 27.23% 33.22%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 4,909 4,610 6,230 4,939 6,776
Adjusted total shareowners’ equity3 23,634 24,735 26,421 24,484 25,208
Profitability Ratio
Adjusted ROE4 20.77% 18.64% 23.58% 20.17% 26.88%

Based on: 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).

1 2023 Calculation
ROE = 100 × Net income attributable to Honeywell ÷ Total Honeywell shareowners’ equity
= 100 × 5,658 ÷ 15,856 = 35.68%

2 Adjusted net income. See details »

3 Adjusted total shareowners’ equity. See details »

4 2023 Calculation
Adjusted ROE = 100 × Adjusted net income ÷ Adjusted total shareowners’ equity
= 100 × 4,909 ÷ 23,634 = 20.77%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. Honeywell International Inc. adjusted ROE deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Reported
Selected Financial Data (US$ in millions)
Net income attributable to Honeywell 5,658 4,966 5,542 4,779 6,143
Total assets 61,525 62,275 64,470 64,586 58,679
Profitability Ratio
ROA1 9.20% 7.97% 8.60% 7.40% 10.47%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 4,909 4,610 6,230 4,939 6,776
Adjusted total assets3 61,456 62,180 64,158 64,028 58,784
Profitability Ratio
Adjusted ROA4 7.99% 7.41% 9.71% 7.71% 11.53%

Based on: 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).

1 2023 Calculation
ROA = 100 × Net income attributable to Honeywell ÷ Total assets
= 100 × 5,658 ÷ 61,525 = 9.20%

2 Adjusted net income. See details »

3 Adjusted total assets. See details »

4 2023 Calculation
Adjusted ROA = 100 × Adjusted net income ÷ Adjusted total assets
= 100 × 4,909 ÷ 61,456 = 7.99%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Honeywell International Inc. adjusted ROA deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.