Common Stock Valuation Ratios (Price Multiples)
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Current Valuation Ratios
Honeywell International Inc., current price multiples
| Honeywell International Inc. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Lockheed Martin Corp. | RTX Corp. | Capital Goods | Industrials | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||
| Current share price (P) | $233.99 | |||||||||||
| No. shares of common stock outstanding | 316,940,010 | |||||||||||
| Growth rate (g) | 14.25% | |||||||||||
| Earnings per share (EPS) | $14.92 | |||||||||||
| Next year expected EPS | $17.05 | |||||||||||
| Operating profit per share | $17.58 | |||||||||||
| Sales per share | $118.14 | |||||||||||
| Book value per share (BVPS) | $43.87 | |||||||||||
| Valuation Ratios (Price Multiples) | ||||||||||||
| Price to earnings (P/E) | 15.68 | 96.32 | 44.22 | 43.08 | 42.99 | 27.51 | 44.14 | 40.82 | 31.00 | |||
| Price to next year expected earnings | 13.73 | 18,797.95 | 33.47 | 39.47 | 42.25 | 20.11 | 43.25 | 38.72 | 28.20 | |||
| Price-earnings-growth (PEG) | 1.10 | — | 1.38 | 4.71 | 24.70 | 0.75 | 21.41 | 7.54 | 3.13 | |||
| Price to operating profit (P/OP) | 13.31 | 42.52 | 35.23 | 33.80 | 33.96 | 17.85 | 31.95 | 30.12 | 24.89 | |||
| Price to sales (P/S) | 1.98 | 2.03 | 6.14 | 6.41 | 8.84 | 1.84 | 3.35 | 3.85 | 2.96 | |||
| Price to book value (P/BV) | 5.33 | 33.38 | 18.43 | 9.06 | 20.03 | 20.53 | 4.55 | 10.84 | 8.51 | |||
Based on: 10-K (reporting date: 2025-12-31).
If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.
Historical Valuation Ratios (Summary)
Honeywell International Inc., historical price multiples
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).
The valuation ratios exhibit varied trends over the five-year period. Generally, the ratios demonstrate increased valuation multiples from 2022 to 2025, though with differing magnitudes and some interim fluctuations.
- Price to Earnings (P/E)
- The Price to Earnings ratio increased from 23.14 in 2021 to 26.97 in 2022, then decreased to 22.73 in 2023. A slight increase to 23.10 was observed in 2024, followed by a substantial rise to 32.62 in 2025. This suggests increasing investor optimism regarding future earnings potential in the most recent year.
- Price to Operating Profit (P/OP)
- The Price to Operating Profit ratio remained relatively stable between 2021 and 2023, fluctuating between 20.68 and 18.15. A similar pattern to the P/E ratio is observed in 2025, with a significant increase to 27.68, indicating a higher valuation relative to operating profitability.
- Price to Sales (P/S)
- The Price to Sales ratio showed a modest increase from 3.73 in 2021 to 3.78 in 2022, followed by declines in 2023 and 2024 to 3.51 and 3.42 respectively. The ratio then increased notably to 4.12 in 2025, suggesting a greater willingness to pay for each dollar of revenue generated.
- Price to Book Value (P/BV)
- The Price to Book Value ratio increased consistently from 6.91 in 2021 to 8.11 in 2023. A decrease to 7.08 was noted in 2024, before a substantial increase to 11.09 in 2025. This indicates a growing premium placed on the company’s net asset value by investors, culminating in a significant increase in the final year.
Overall, the observed trends suggest a strengthening valuation across all examined multiples in 2025, potentially driven by improved market sentiment or company-specific positive developments. The period between 2021 and 2024 demonstrates more moderate and fluctuating valuations.
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Price to Earnings (P/E)
Honeywell International Inc., historical P/E calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 317,837,851 | 324,959,276 | 326,090,906 | 334,070,126 | 342,909,386 | |
| Selected Financial Data (US$) | ||||||
| Net income attributable to Honeywell (in millions) | 4,729) | 5,705) | 5,658) | 4,966) | 5,542) | |
| Earnings per share (EPS)2 | 14.88 | 17.56 | 17.35 | 14.87 | 16.16 | |
| Share price1, 3 | 485.30 | 405.50 | 394.34 | 400.94 | 373.98 | |
| Valuation Ratio | ||||||
| P/E ratio4 | 32.62 | 23.10 | 22.73 | 26.97 | 23.14 | |
| Benchmarks | ||||||
| P/E Ratio, Competitors5 | ||||||
| Boeing Co. | 97.12 | — | — | — | — | |
| Caterpillar Inc. | 40.55 | 15.65 | 15.55 | 19.15 | 16.82 | |
| Eaton Corp. plc | 35.55 | 30.00 | 35.88 | 27.93 | 27.77 | |
| GE Aerospace | 36.01 | 33.42 | 16.18 | — | — | |
| Lockheed Martin Corp. | 28.55 | 20.18 | 15.35 | 20.48 | 16.70 | |
| RTX Corp. | 39.61 | 36.25 | 38.31 | 27.59 | 36.79 | |
| P/E Ratio, Sector | ||||||
| Capital Goods | 39.12 | 41.71 | 25.10 | 40.21 | 57.31 | |
| P/E Ratio, Industry | ||||||
| Industrials | 29.14 | 28.42 | 24.85 | 36.06 | 35.59 | |
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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
EPS = Net income attributable to Honeywell ÷ No. shares of common stock outstanding
= 4,729,000,000 ÷ 317,837,851 = 14.88
3 Closing price as at the filing date of Honeywell International Inc. Annual Report.
4 2025 Calculation
P/E ratio = Share price ÷ EPS
= 485.30 ÷ 14.88 = 32.62
5 Click competitor name to see calculations.
The financial data indicates a period of valuation expansion characterized by a divergent relationship between share price and earnings per share in the final observed period.
- Share Price Evolution
- The share price exhibited a general upward trajectory, rising from 373.98 US$ in 2021 to 485.30 US$ by 2025. While price movement remained relatively stable between 2022 and 2024, hovering around the 400 US$ mark, a significant acceleration occurred in 2025, resulting in a substantial year-over-year increase.
- Earnings Per Share (EPS) Performance
- Earnings per share demonstrated volatility throughout the analyzed timeframe. A decline occurred between 2021 and 2022, followed by a recovery period that saw EPS peak at 17.56 US$ in 2024. However, 2025 saw a sharp contraction in earnings, with EPS falling to 14.88 US$, effectively erasing the gains achieved between 2022 and 2024.
- Price-to-Earnings (P/E) Ratio Dynamics
- The P/E ratio remained within a consistent range of 22.73 to 26.97 from 2021 through 2024, suggesting a stable valuation relative to earnings. A significant shift is observed in 2025, where the P/E ratio climbed to 32.62. This expansion is the result of a simultaneous increase in share price and a decrease in earnings per share, indicating that the market is assigning a higher premium to the stock despite declining profitability in that period.
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Price to Operating Profit (P/OP)
Honeywell International Inc., historical P/OP calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 317,837,851 | 324,959,276 | 326,090,906 | 334,070,126 | 342,909,386 | |
| Selected Financial Data (US$) | ||||||
| Operating income (in millions) | 5,573) | 7,441) | 7,084) | 6,427) | 6,200) | |
| Operating profit per share2 | 17.53 | 22.90 | 21.72 | 19.24 | 18.08 | |
| Share price1, 3 | 485.30 | 405.50 | 394.34 | 400.94 | 373.98 | |
| Valuation Ratio | ||||||
| P/OP ratio4 | 27.68 | 17.71 | 18.15 | 20.84 | 20.68 | |
| Benchmarks | ||||||
| P/OP Ratio, Competitors5 | ||||||
| Boeing Co. | 42.88 | — | — | — | — | |
| Caterpillar Inc. | 32.30 | 12.92 | 12.40 | 16.25 | 15.87 | |
| Eaton Corp. plc | 27.89 | 24.57 | 29.72 | 22.78 | 19.33 | |
| GE Aerospace | 28.45 | 26.78 | 27.11 | 19.88 | 17.46 | |
| Lockheed Martin Corp. | 18.53 | 15.35 | 12.49 | 14.06 | 11.56 | |
| RTX Corp. | 28.67 | 26.47 | 34.37 | 26.48 | 28.68 | |
| P/OP Ratio, Sector | ||||||
| Capital Goods | 28.87 | 28.93 | 22.37 | 25.20 | 22.96 | |
| P/OP Ratio, Industry | ||||||
| Industrials | 23.41 | 23.03 | 20.78 | 19.86 | 22.38 | |
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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 5,573,000,000 ÷ 317,837,851 = 17.53
3 Closing price as at the filing date of Honeywell International Inc. Annual Report.
4 2025 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 485.30 ÷ 17.53 = 27.68
5 Click competitor name to see calculations.
The valuation metrics from 2021 to 2025 exhibit a period of relative stability followed by a significant divergence in the final year. While share prices and operating profits generally moved in a complementary direction through 2024, a sharp decoupling occurred in 2025, resulting in a substantial expansion of the price-to-operating profit multiple.
- Share Price Performance
- The share price demonstrated a consistent upward trajectory over the five-year period. After starting at 373.98 US$ in 2021, the price experienced moderate growth through 2024, reaching 405.50 US$. A significant acceleration was observed in 2025, with the price increasing to 485.30 US$, marking the peak of the analyzed timeframe.
- Operating Profit per Share Trends
- Operating profit per share maintained a growth trend from 2021 to 2024, rising from 18.08 US$ to a peak of 22.90 US$. This positive momentum reversed sharply in 2025, as the profit per share declined to 17.53 US$, falling below the initial 2021 level.
- Price to Operating Profit (P/OP) Dynamics
- The P/OP ratio remained relatively flat between 2021 and 2022, hovering around 20.7. A contraction phase followed in 2023 and 2024, with the ratio decreasing to 18.15 and 17.71, respectively, suggesting that operating profit growth was outpacing share price gains during this window. In 2025, the ratio experienced a dramatic spike to 27.68, a result of the simultaneous increase in share price and the decrease in operating profitability.
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Price to Sales (P/S)
Honeywell International Inc., historical P/S calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 317,837,851 | 324,959,276 | 326,090,906 | 334,070,126 | 342,909,386 | |
| Selected Financial Data (US$) | ||||||
| Net sales (in millions) | 37,442) | 38,498) | 36,662) | 35,466) | 34,392) | |
| Sales per share2 | 117.80 | 118.47 | 112.43 | 106.16 | 100.29 | |
| Share price1, 3 | 485.30 | 405.50 | 394.34 | 400.94 | 373.98 | |
| Valuation Ratio | ||||||
| P/S ratio4 | 4.12 | 3.42 | 3.51 | 3.78 | 3.73 | |
| Benchmarks | ||||||
| P/S Ratio, Competitors5 | ||||||
| Boeing Co. | 2.05 | 1.98 | 1.66 | 1.90 | 1.87 | |
| Caterpillar Inc. | 5.63 | 2.75 | 2.52 | 2.27 | 2.26 | |
| Eaton Corp. plc | 5.29 | 4.58 | 4.98 | 3.31 | 3.03 | |
| GE Aerospace | 7.41 | 6.24 | 2.30 | 1.20 | 1.50 | |
| Lockheed Martin Corp. | 1.91 | 1.52 | 1.57 | 1.78 | 1.57 | |
| RTX Corp. | 3.01 | 2.14 | 1.78 | 2.14 | 2.21 | |
| P/S Ratio, Sector | ||||||
| Capital Goods | 3.69 | 2.77 | 2.26 | 2.09 | 2.09 | |
| P/S Ratio, Industry | ||||||
| Industrials | 2.78 | 2.29 | 2.06 | 1.80 | 2.07 | |
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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
Sales per share = Net sales ÷ No. shares of common stock outstanding
= 37,442,000,000 ÷ 317,837,851 = 117.80
3 Closing price as at the filing date of Honeywell International Inc. Annual Report.
4 2025 Calculation
P/S ratio = Share price ÷ Sales per share
= 485.30 ÷ 117.80 = 4.12
5 Click competitor name to see calculations.
Analysis of the price-to-sales (P/S) valuation between 2021 and 2025 reveals a period of relative stability and gradual compression followed by a significant expansion in the final year.
- Price to Sales (P/S) Ratio Trend
- The P/S ratio exhibited a gradual decline from 3.73 in 2021 to a low of 3.42 in 2024. This downward trend suggests that during this period, revenue growth slightly outpaced the growth in share price, leading to a more conservative valuation relative to sales. However, a sharp reversal occurred in 2025, with the ratio increasing to 4.12, representing the highest valuation multiple in the five-year period.
- Revenue Performance per Share
- Sales per share demonstrated consistent year-over-year growth from 2021 through 2024, increasing from 100.29 to 118.47. This positive trajectory halted in 2025, with a slight contraction to 117.80. The alignment of this revenue dip with a rising share price is a primary driver of the valuation spike observed in the final year.
- Share Price Dynamics
- The share price remained relatively stable between 2021 and 2024, oscillating between 373.98 and 405.50. A substantial increase was recorded in 2025, as the price reached 485.30. Because this price appreciation occurred while sales per share marginally declined, the resulting P/S ratio expanded significantly, indicating a higher market premium attributed to each dollar of revenue.
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Price to Book Value (P/BV)
Honeywell International Inc., historical P/BV calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 317,837,851 | 324,959,276 | 326,090,906 | 334,070,126 | 342,909,386 | |
| Selected Financial Data (US$) | ||||||
| Total Honeywell shareowners’ equity (in millions) | 13,904) | 18,619) | 15,856) | 16,697) | 18,569) | |
| Book value per share (BVPS)2 | 43.75 | 57.30 | 48.62 | 49.98 | 54.15 | |
| Share price1, 3 | 485.30 | 405.50 | 394.34 | 400.94 | 373.98 | |
| Valuation Ratio | ||||||
| P/BV ratio4 | 11.09 | 7.08 | 8.11 | 8.02 | 6.91 | |
| Benchmarks | ||||||
| P/BV Ratio, Competitors5 | ||||||
| Boeing Co. | 33.65 | — | — | — | — | |
| Caterpillar Inc. | 16.90 | 8.66 | 8.25 | 8.09 | 6.62 | |
| Eaton Corp. plc | 7.48 | 6.16 | 6.07 | 4.04 | 3.63 | |
| GE Aerospace | 16.78 | 11.33 | 5.43 | 2.43 | 2.64 | |
| Lockheed Martin Corp. | 21.31 | 17.00 | 15.54 | 12.67 | 9.62 | |
| RTX Corp. | 4.09 | 2.88 | 2.05 | 1.97 | 1.95 | |
| P/BV Ratio, Sector | ||||||
| Capital Goods | 10.39 | 7.55 | 6.94 | 5.31 | 4.77 | |
| P/BV Ratio, Industry | ||||||
| Industrials | 8.00 | 6.68 | 6.85 | 5.50 | 5.44 | |
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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
BVPS = Total Honeywell shareowners’ equity ÷ No. shares of common stock outstanding
= 13,904,000,000 ÷ 317,837,851 = 43.75
3 Closing price as at the filing date of Honeywell International Inc. Annual Report.
4 2025 Calculation
P/BV ratio = Share price ÷ BVPS
= 485.30 ÷ 43.75 = 11.09
5 Click competitor name to see calculations.
An analysis of the price-to-book value (P/BV) ratio reveals a period of volatility followed by a sharp increase in market premium relative to book value between 2021 and 2025.
- Share Price Progression
- The share price experienced a general upward trend, starting at 373.98 US$ in 2021 and reaching 485.30 US$ in 2025. A period of relative stability was observed between 2022 and 2024, where prices fluctuated between 394.34 US$ and 405.50 US$, followed by a significant increase in the final year.
- Book Value per Share (BVPS) Volatility
- The book value per share showed an inconsistent pattern, decreasing from 54.15 US$ in 2021 to 48.62 US$ in 2023. Despite a temporary recovery to 57.30 US$ in 2024, the value declined to its lowest point in the recorded period at 43.75 US$ in 2025.
- P/BV Ratio Expansion
- The P/BV ratio increased from 6.91 in 2021 to 11.09 in 2025. The most significant movement occurred between 2024 and 2025, where the ratio rose from 7.08 to 11.09. This expansion was driven by the simultaneous occurrence of a share price peak and a book value trough, indicating a heightened market valuation of intangible assets or future growth expectations relative to the tangible net asset base.
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