If you speak to someone who is unfamiliar with the investing world, typically the first company they bring up is an Apple or Amazon or maybe even Netflix. Any one of these stocks are wonderful and have provided wonderful returns time and time again. When looking at these blue chip stocks, you have to look past the name and popularity and dig under the hood. So for this article, we’ll take a look at Honeywell International Inc. (HON), which operates in the Diversified Machinery industry or the Industrial Goods.
Fundamentals of Honeywell International Inc.(HON)
With a popular stock such as Honeywell International Inc., it is crucial to look past the hype and into the fundamentals. The current market cap of Honeywell International Inc. is 105.49B, showing you it is a large company. Most large companies tend to have large cash piles so be sure to look at Honeywell International Inc.’s cash pile, which is 10.74. Cash allows a company such as this to put many different resources into areas such as research and development and marketing.
Moving on to returns, the current dividend yield is 1.93% and the current return on equity is 25.20%. To complement these numbers, the current return on investment is 13.80%. Returns are important but you should also keep an eye on what insiders and large banks are dong too, because they may catch wind of something before we are able to. The current insider ownership is 0.20% and if this number begins to fluctuate, read into it a little bit and understand why insiders are moving their share holdings around. Same with large banks, the current institutional ownership for Honeywell International Inc. is .
A large company such as this is traded frequently and is extremely liquid, which means you can take advantage of over details such as the short ratio, which currently sits at 3.16.
Performance for Honeywell International Inc.(HON)
Starting from the smaller time frame, the performance this week is 1.19% with volatility this week coming in at 0.79%. Volatility in these stocks may happen, but largely is will be due to the investment banks that are involved and the fact millions of shares move on any given day.
For the year to date performance, Honeywell International Inc. is at 19.15%. Compare it to the 52-week high of -1.55% and the 52-week low of 31.16%, this can give you an idea of how much further this stock may want to run. Average volume comes in at 2405.46, which may vary given how popular the stock is. Volume for today is 1779900, which can give you an idea of how Honeywell International Inc. typically trades. If there are earnings or other important data points set to be released, watch for volume to spike and volatility to increase. The volatility for this month is 0.97%.
Obtaining a target price for these highly traded and recognized companies can be difficult, but it important to have an end goal where you take some profits off the table and minimize your risk. The current target price for Honeywell International Inc. is 144.44, which you can compare to the 52-week highs and lows to see where it may run. Also look the 200 day simple moving average of 9.07% as this is a good metric to utilize.
Just because Honeywell International Inc. is well known and talked about doesn’t make it the best investment out there. Be sure to understand what makes the company tick and if it fits with your investing beliefs and goals. As the old saying goes, just because everyone is jumping off a bridge doesn’t mean you need to be doing the same. Use that in your investing and it will benefit you greatly.