Honeywell Fair Value
HO
The fair market value of HON stock is 213.15 USD. Relative to the market price of 201.64 USD Honeywell International is undervalued by 5.7%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Honeywell Valuation
Current HON share ticker price is 201.64 USD.
The fair value level of 213.15 USD can be considered as an effective entry point for long-term investors to start investing in HON stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 6% lower its fair value
Current price is 13% higher its minimum value
Current price is 30% lower its maximum value
Market price:
HON stock is undervalued
It means the current price may concern as a Moderate Risk Entry Point
Honeywell International Inc Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
29.73
2
Median P/E over 5 years
24.19
3
Minimum P/E over 5 years
19.89
4
Earning per share (last 12 months)
8.81 USD
Maximum value
1
x
4
=
261.93 USD
Fair value
2
x
4
=
213.15 USD
Minimum value
3
x
4
=
175.2 USD
Honeywell International Inc price metrics
4.2
Annual return (geometric mean)
26.9
Risk (standard deviation) of returns
β
1.0
Beta (volatility compared to market)