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HON vs LMT

HON
Honeywell International Inc.
BEARISH
Price
$219.97
Market Cap
$139.38B
Sector
Industrials
AI Confidence
85%
LMT
Lockheed Martin Corporation
NEUTRAL
Price
$555.43
Market Cap
$128.01B
Sector
Industrials
AI Confidence
80%

Valuation

P/E Ratio
HON
31.74
LMT
25.83
Forward P/E
HON
19.18
LMT
17.34
P/B Ratio
HON
10.05
LMT
18.93
P/S Ratio
HON
3.72
LMT
1.71
EV/EBITDA
HON
19.32
LMT
17.68

Profitability

Gross Margin
HON
36.93%
LMT
10.24%
Operating Margin
HON
15.41%
LMT
9.01%
Profit Margin
HON
12.63%
LMT
6.69%
ROE
HON
26.14%
LMT
76.87%
ROA
HON
5.95%
LMT
7.57%

Growth

Revenue Growth
HON
-3.3%
LMT
9.1%
Earnings Growth
HON
-76.4%
LMT
161.0%

Financial Health

Debt/Equity
HON
2.37
LMT
3.39
Current Ratio
HON
1.3
LMT
1.09
Quick Ratio
HON
0.88
LMT
0.9

Dividends

Dividend Yield
HON
2.16%
LMT
2.43%
Payout Ratio
HON
65.99%
LMT
62.12%

AI Verdict

HON BEARISH

Honeywell exhibits a stable but mediocre Piotroski F-Score of 4/9, while its current price of $219.97 represents a massive premium over its Graham Number ($58.42) and Intrinsic Value ($48.51). Despite a stellar 25-quarter track record of earnings beats, the company is currently facing a severe growth crisis with YoY earnings plummeting by 76.40% and Q/Q revenue dropping 32%. High leverage (Debt/Equity 2.37) and bearish insider activity further compound the risk of a significant price correction.

Strengths
Exceptional earnings track record with consistent beats over 25 quarters
Strong Return on Equity (ROE) of 26.14%
Healthy gross margins at 36.93%
Risks
Extreme overvaluation relative to Graham Number and Intrinsic Value
Severe contraction in growth metrics (YoY Earnings -76.40%)
High financial leverage with a Debt/Equity ratio of 2.37
LMT NEUTRAL

LMT presents a stable financial profile with a Piotroski F-Score of 6/9 and an intrinsic value of $634.25, suggesting the stock is currently undervalued relative to its growth potential. However, this fundamental strength is countered by a bearish technical trend (0/100) and negative insider sentiment. While the forward P/E of 17.34 is attractive, recent extreme volatility in quarterly earnings—specifically a massive miss in July 2025—introduces significant short-term risk. The company remains a powerhouse in the defense sector with an exceptional ROE of 76.87%, but high leverage (Debt/Equity 3.39) warrants caution.

Strengths
Exceptional Return on Equity (ROE) of 76.87%
Current price ($555.43) is well below the growth-based intrinsic value ($634.25)
Attractive Forward P/E ratio of 17.34 compared to trailing P/E of 25.83
Risks
High leverage with a Debt/Equity ratio of 3.39
Bearish insider activity with multiple officer sales and zero buys
Severe short-term technical weakness (Technical Trend: 0/100)

Compare Another Pair

HON vs LMT: Head-to-Head Comparison

This page compares Honeywell International Inc. (HON) and Lockheed Martin Corporation (LMT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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