HONEYWELL INTERNATIONAL INC (HONIV)

Aircraft Engines & Engine Parts

Latest Price

$256.01

TTM P/E

11.74

Normalized P/E

22.53

Div Yield

2.30%

Book Value

58.44

P/B Ratio

4.38

Valuation metrics

EPS: $7.36

Book value / share: $21.89

Formula: √(22.5 × EPS × BVPS)

Graham Number

$60.20

76% downside

Norm. op. income: $7.2B (median of 6yr)

Tax rate: 21%

Discount rate: 10%

Growth assumption: zero (EPV is a no-growth value)

Earnings Power Value

$55.17

78% downside

Base FCF: $4.9B (median of recent 5yr)

Growth: -5%/yr (median YOY, capped at 25%)

Discount rate: 10%

Terminal growth: 3%

Projection horizon: 10 years

DCF Fair Value

$31.42

88% downside

EPS: $7.36

Target P/E: 23×

Formula: EPS × P/E

P/E Fair Value

$169.28

34% downside