NASDAQ: HON · Industrial Conglomerates
Honeywell Technologies
Honeywell, based in Charlotte, North Carolina, now operates as Honeywell Technologies after two spin-offs: Solstice Advanced Materials (October 30, 2025; one Solstice share per four Honeywell shares) and Honeywell Aerospace (June 29, 2026; one share per two Honeywell shares), followed by a one-for-two reverse stock split. The remaining company reports three segments — Building Automation, Process Automation and Technology, and Industrial Automation — with Q3 2026 net sales of $4,994 million. The six-year figures here are from the FY2025 10-K and still include Aerospace Technologies, which had $17,510 million of 2025 sales out of $37,442 million. In 2026 Honeywell also deconsolidated Quantinuum (a $6,629 million gain), bought Johnson Matthey’s Catalyst Technologies for $1,743 million and sold its Productivity Solutions and Warehouse businesses.
Last updated
Analysis last edited: October 25, 2026 · Financial data fetched: October 25, 2026 04:10 (SEC EDGAR) · Source 10-K filed: February 17, 2026
Built on10-K FY2025 · filed 2026-02-1710-Q (quarter ended 2026-09-30) · filed 2026-10-22Proxy statement (2026)
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
01
At a glanceFrom SEC data
Eight headline measures, each placed among the companies covered on this site.
- Revenue growthCAGRSmooths out year-to-year swings into "grew X% a year on average." Makes growth pace comparable across companies of very different sizes.
- 6.5%
- Operating marginOperating marginHow many cents of operating profit are left per dollar of revenue. Reflects pricing power and cost structure.
- 21.7%
- ROIC minus WACCROIC − WACC spreadThe difference between ROIC and WACC. Consistently positive implies value creation; consistently negative implies value destruction.
- +5.8 pts
- Net debt ÷ EBITDAEBITDAOperating income with D&A added back. A rough proxy for cash-generating power that’s less distorted by capital intensity, depreciation method, or financing/tax differences than net income.
- 2.3x
- Cash conversionOperating CF ÷ net income (cash conversion)How much of reported profit shows up as actual cash. 1x or higher means profit is backed by cash.
- 1.36x
- Dividend raisesDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year).
- 2 of 5
- P/E todayP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing.
- 10.1x
- Betaβ (beta)How much a stock moves, on average, for a 1% move in the overall market. Above 1 means more volatile than the market, which raises the return shareholders require. This site computes it from about 2.5 years (roughly 130 weeks) of weekly returns, built from Yahoo Finance daily prices, regressed against an S&P 500 ETF (SPY) as the market proxy, then applies the well-known long-run mean-reversion adjustment (0.67 × β + 0.33) as the WACC default.
- 0.80
Higher than 37% of 372 non-financial companies
Average yearly growth over the years shown
Higher than 61% of 311 non-financial companies
Latest fiscal year (FY2025)
Higher than 58% of 311 non-financial companies
Return on capital above (or below) its estimated cost
Higher than 62% of 304 non-financial companies
Below 0 means more cash than debt
Higher than 38% of 349 non-financial companies
Operating cash flow ÷ net income
Years the dividend per share rose, of the last 5
Latest close 2026-11-04; trailing 12 months to 2026-09-30
Above 1 = moves more than the market
Each marker shows where this company sits among the non-financial companies covered on this site, not all listed companies (left = lowest, right = highest). A high position is not automatically good — for net debt ÷ EBITDA, higher means more debt. Details and formulas are in the sections below and in How to read this.
02
Valuation todayFrom SEC data
Price-based measures at the latest close, next to the same measures at the last fiscal year-end.
Share price$224.16close on 2026-11-04
Market cap$71.2B
- P/EP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing. today
- 10.1x
- P/BP/BShare price ÷ book value per share. Below 1x means the market values the company below its accounting net worth. This site uses the closing price nearest the fiscal year-end and highlights sub-1x readings. today
- 5.1x
- EV/EBITDAEV/EBITDAEnterprise value (≈ market cap + interest-bearing debt − cash) as a multiple of EBITDA — roughly, "how many years of EBITDA to buy the whole company." Lower is generally viewed as cheaper, and it’s more comparable than P/E across companies with different debt loads or depreciation policies. This site excludes noncontrolling interests from the EV calculation. today
- 9.8x
- FCF yieldFree cash flow (FCF)Operating CF minus capital expenditures — cash generated by the business after funding its own investment, available for dividends, buybacks, acquisitions, or debt paydown. Acquisitions and securities purchases (also in investing CF) are not subtracted, so FCF can be positive in a year when total investing CF exceeds operating CF. today
- 7.6%
- Dividend yieldDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year). today
- 4.1%
At FY2025 year-end: 13.9x
Earnings: trailing 12 months to 2026-09-30
At FY2025 year-end: 4.7x
Book value at FY2025 year-end
At FY2025 year-end: 9.2x
EBITDA for FY2025
At FY2025 year-end: 8.3%
Free cash flow for FY2025
Dividends per share for FY2025
“Today” uses the latest closing price (2026-11-04, Yahoo Finance daily closing prices) and shares outstanding at the last fiscal year-end. The rest of this page — including the financial table and ROIC vs. WACC — uses fiscal year-end prices. These are reference figures, not a judgment of whether the stock is cheap or expensive.
03
What changed since last earningsFrom SEC data
The latest reported quarter against the same quarter a year earlier, the balance sheet against the previous quarter-end, and what management said in its latest earnings release.
Quarter ended Sep 30, 2026.
- Revenue$4.93B → $4.99B (vs. a year earlier)↑ +1.3%$4.93B → $4.99B (vs. a year earlier)
- Operating margin17.6% → 21.3% (vs. a year earlier)↑ +3.7 pts17.6% → 21.3% (vs. a year earlier)
- Net income$1.83B → $664M (vs. a year earlier)↓ −63.6%$1.83B → $664M (vs. a year earlier)
- Cash$8.75B → $5.69B (vs. previous quarter-end)↓ −34.9%$8.75B → $5.69B (vs. previous quarter-end)
- Long-term debt$31.51B → $14.17B (vs. previous quarter-end)↓ −55.0%$31.51B → $14.17B (vs. previous quarter-end)
Source: Form 10-Q ↗ (SEC XBRL). Long-term debt is the tagged long-term debt figure and leaves out short-term borrowings.
From the earnings release of Oct 22, 2026.
Management outlook • Issued
Now expects operating and free cash flow of about $2.1B each. Source sentence
Finally, operating cash flow and free cash flow are now expected to be ~$2.1 billion each.
Key changes
Q3 sales $5.0B, up 1% reported and 7% organic. Source sentence
Sales of $5.0 billion, up 1% reported (7% organic 1 ) driven by broad-based growth across all segments
EPS $2.40, down 20%; adjusted EPS $2.27, up 34%. Source sentence
Earnings per share (EPS) of $2.40, down 20% due to one-time gain in prior year; adjusted EPS 1 of $2.27, up 34%
Written by AI. A line appears only if its figures and direction match the quoted sentence, which an automatic check confirms. Companies' outlooks are their own and may not be met. Read the release ↗
04
Company profileFrom SEC dataShow
- Legal name
- HONEYWELL INTERNATIONAL INC
- Headquarters
- CHARLOTTE, NC
- Incorporated in
- Delaware
- Fiscal year end
- 12/31
- Exchange & ticker
- NASDAQ: HON
- Industry
- Industrial Conglomerates
- CIK
- 773840
- Website
- https://www.honeywell.com/ ↗
Workforce (as of FY2025 year-end)
Employees
101,000
Source: Form 10-K (FY2025) cover page and business description
05
Earnings calendarFrom SEC dataShow
When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.
Next report
Q4 FY2026
Quarter end: December 2026. In past years, Q4 results were released 29–37 days after quarter end (Jan 29, 2026; Feb 6, 2025; Feb 1, 2024). No date has been announced in the sources this site uses.
Reporting pattern
- Fiscal year ends around December 31.
- Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
- Earnings releases came 22–37 days after quarter end over the last 12 quarters.
| Quarter | Quarter ended | Earnings release (8-K) | Report filed (10-Q / 10-K) |
|---|---|---|---|
| Q3 FY2026 | Sep 30, 2026 | Oct 22, 2026 (+22 days) | Oct 22, 2026 10-Q (+22 days) |
| Q2 FY2026 | Jun 30, 2026 | Jul 23, 2026 (+23 days) | Jul 23, 2026 10-Q (+23 days) |
| Q1 FY2026 | Mar 31, 2026 | Apr 23, 2026 (+23 days) | Apr 23, 2026 10-Q (+23 days) |
| Q4 FY2025 | Dec 31, 2025 | Jan 29, 2026 (+29 days) | Feb 17, 2026 10-K (+48 days) |
| Q3 FY2025 | Sep 30, 2025 | Oct 23, 2025 (+23 days) | Oct 23, 2025 10-Q (+23 days) |
| Q2 FY2025 | Jun 30, 2025 | Jul 24, 2025 (+24 days) | Jul 24, 2025 10-Q (+24 days) |
| Q1 FY2025 | Mar 31, 2025 | Apr 29, 2025 (+29 days) | Apr 29, 2025 10-Q (+29 days) |
| Q4 FY2024 | Dec 31, 2024 | Feb 6, 2025 (+37 days) | Feb 14, 2025 10-K (+45 days) |
| Q3 FY2024 | Sep 30, 2024 | Oct 24, 2024 (+24 days) | Oct 24, 2024 10-Q (+24 days) |
| Q2 FY2024 | Jun 30, 2024 | Jul 25, 2024 (+25 days) | Jul 25, 2024 10-Q (+25 days) |
| Q1 FY2024 | Mar 31, 2024 | Apr 25, 2024 (+25 days) | Apr 25, 2024 10-Q (+25 days) |
| Q4 FY2023 | Dec 31, 2023 | Feb 1, 2024 (+32 days) | Feb 16, 2024 10-K (+47 days) |
Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. For a quarter whose 10-Q or 10-K isn’t filed yet, the date is the latest Item 2.02 8-K since the previous report, which may be a preliminary or other results-related update. Fiscal years are labeled by the calendar year in which they end.
06
Flagship products & servicesSite analysis
Building Automation
Building automation solutions
Fire detection, building controls and optimization software, energy management, access control and video management, plus installation and maintenance.
Process Automation and Technology
Process automation and UOP
End-to-end industrial automation and advanced process technology for energy, mining, industrials, power and life sciences, including Johnson Matthey’s former Catalyst Technologies.
Industrial Automation
Sensing and safety
Sensing and measurement solutions for energy, power and utilities, aerospace and defense, medical devices and semiconductors.
From the Form 10-K, FY2025.
U.S. and worldwide share of flagship products/services
The 10-K gives no market share or rank for Honeywell Technologies’ remaining businesses.
Reviewed: Form 10-K (FY2025) · Form 10-Q (quarter ended 2026-09-30)
07
Recent strategic focusSite analysis
Recent developments.
Aerospace spin-off
Completed June 29, 2026: one Honeywell Aerospace share for every two Honeywell shares, followed by a one-for-two reverse split.
Source: Form 10-Q (quarter ended 2026-09-30)
Q3 2026
Net sales $4,994M versus $4,929M; net income attributable $664M versus $1,825M (prior year included discontinued operations).
Source: Form 10-Q (quarter ended 2026-09-30)
Portfolio moves
Acquired Catalyst Technologies for $1,743M (July 17, 2026); sold PSS and WWS businesses (July 27, 2026); $6,629M gain on deconsolidating Quantinuum.
Source: Form 10-Q (quarter ended 2026-09-30)
Flexjet settlement
Paid $375M to Flexjet in Q1 2026 and extended the maintenance agreement through 2035.
Source: Form 10-K (FY2025)
Capex ÷ D&A (FY2025)
0.71x
Below depreciation — investment is being pared back
formulacapital expenditures ÷ depreciation & amortization
e.g.$986M ÷ $1,388M = 0.71x
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
R&D-to-revenue ratio (FY2025)
4.8%
formularesearch & development expense ÷ revenue × 100
e.g.$1,812M ÷ $37,442M × 100 = 4.8%
M&A spend (3-year total)
$11.81B
Latest year: $2.21B
Cash-flow-statement spending on acquisitions, net of cash acquired
Where the money goes, over time
Unit: $M. Capex went from $741M in FY2023 to $986M in FY2025
- Capex
- R&D
- M&A spend
formulacapital expenditures ÷ depreciation & amortization
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
08
Key figures at a glanceFrom SEC data
FY2023–FY2025, 3 years.
Revenue (FY2025)
$37.44B
As reported in the 10-K
Revenue CAGR (2 years)
+6.5%▲favorable
formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1
e.g.($37,442M ÷ $33,009M) ^ (1÷2) − 1 = 6.5%
termsCAGR · ^ (exponent) · Revenue (net sales)
Operating margin (FY2025)
21.7%▼caution
-1.2pt vs. 2 years ago
formulaoperating income ÷ revenue × 100
e.g.$8,127M ÷ $37,442M × 100 = 21.7%
ROE (FY2025)
29.1%▲favorable
3-year average: 32.3%
As reported in the 10-K
P/B (FY2025 end)
4.67x
formulafiscal year-end closing price ÷ book value per share
e.g.$204.60 ÷ $43.77 = 4.67x
Period-end (fiscal year-end) value, not today's P/B
EV/EBITDA (FY2025 end)
9.2x
formula(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)
e.g.($64,992M + $34,939M − $12,487M) ÷ ($8,127M + $1,388M) = 9.2x
termsEV/EBITDA · Market capitalization · Interest-bearing debt · EBITDA · Depreciation & amortization (D&A)
Period-end (fiscal year-end) value, not today's multiple
- ▲
Revenue grew +6.5% a year over 2 years (strong growth)
From $33.01B in FY2023 to $37.44B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.
- ▼
Operating margin declined: 22.9% → 21.7%
How much operating profit is left per $100 of revenue. It moved -1.2 points over 2 years — pricing power, cost control, and product mix all show up here.
- ▼
Equity ratio is 18.9% (relatively heavy reliance on debt)
The share of total assets funded by equity rather than debt. 50%+ is often read as low bankruptcy risk, though the right level varies by industry (real estate and leasing run lower, for instance).
- ▲
Free cash flow was positive in 3 of 3 years
Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.
- ▲
ROE averaged 32.3% over 3 years (latest: 29.1%)
How much profit was generated on shareholders’ equity. Roughly 10%+ is often cited as solid for a U.S. company, though this varies a lot by industry and capital intensity.
09
Business modelSite analysis
Business Model Canvas
The whole company in nine blocks. Left side: how it delivers (partners, activities, resources, costs). Right side: who it serves and how it earns. Every entry comes from the company’s filings shown on this page.
08 · who helps
Key partners
- Johnson Matthey
- Quantinuum
07 · what it does
Key activities
- Building Automation (fire, controls, security, energy management)
- Process Automation and Technology (automation and process technology)
- Industrial Automation (sensing and measurement)
06 · what it draws on
Key resources
- About 101,000 employees in 79 countries (end-2025, before the Aerospace spin)
- Process technology (incl. UOP and Catalyst Technologies)
- Installed base and software
02 · why customers buy
Value propositions
- Automation, building and industrial technology products, software and services that differentiate customer outcomes.
04 · how it keeps them
Customer relationships
- Recurring revenue from software and services on its large installed base.
03 · how it reaches them
Channels
- Direct sales, distributors and channel partners.
01 · who it serves
Customer segments
- Building owners and operators
- Refining, petrochemical, LNG and other process industries
- Industrial manufacturers
09 · where money goes
Cost structure
FY2025, share of revenue ($37.44B)
- Cost of revenue63.1%
- Research & development4.8%
- Selling, general & administrative14.6%
Operating profit left: 21.7% of revenue. Depreciation & amortization (inside the costs above): $1.39B. Capital spending: $986M.
Source: Form 10-K income statement and cash-flow statement (SEC XBRL).
05 · how money comes in
Revenue streams
- Q3 2026: Building Automation $2,020M
- Process Automation and Technology $1,859M
- Industrial Automation $1,115M
Value propositions, channels and customer relationships: Form 10-K (FY2025)
Sells building automation, process automation and technology, and industrial automation products, software and services to commercial, industrial and energy customers.
01 what it draws on
Inputs & resources
- About 101,000 employees in 79 countries (end-2025, before the Aerospace spin)
- Process technology (incl. UOP and Catalyst Technologies)
- Installed base and software
02 what it does
Activities
- Building Automation (fire, controls, security, energy management)
- Process Automation and Technology (automation and process technology)
- Industrial Automation (sensing and measurement)
03 who it serves
Customers
- Building owners and operators
- Refining, petrochemical, LNG and other process industries
- Industrial manufacturers
04 how money comes in
How it earns
- Q3 2026: Building Automation $2,020M
- Process Automation and Technology $1,859M
- Industrial Automation $1,115M
How the business makes money
- FY2025 segments (pre-spin): Aerospace $17,510M, Industrial Automation $9,401M, Building Automation $7,367M, Energy and Sustainability Solutions $3,134M.
- Backlog of $18,798M at September 30, 2026.
- Acquired Sundyne for $2.2B in June 2025.
Government & regulation around the business
Non-market factors from the company’s filings: what governments and regulators fund, buy, set, approve or restrict, and which part of the flow above each one touches.
Honeywell’s government contracts can be terminated, and tariffs and Superfund laws apply.
Government as customer
Government contracts
U.S. government contracts can be terminated for convenience or default.
Supports and constrainsTouches: Customers · How it earnsSource: Form 10-K (FY2025)
Trade & export rules
Tariffs and trade rules
New tariffs in 2025 and 2026 affect costs.
Constrains the businessTouches: Inputs & resourcesSource: Form 10-K (FY2025)
Environmental rules
Environmental cleanup (Superfund)
Subject to Superfund and similar laws.
Constrains the businessTouches: ActivitiesSource: Form 10-K (FY2025)
Revenue by segment (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue
Aerospace Technologies (spun off June 2026)
17,510 (47%)Industrial Automation
9,401 (25%)Building Automation
7,367 (20%)Energy and Sustainability Solutions
3,134 (8%)
Source: Form 10-K (FY2025) Pre-spin FY2025 segments; total $37,442M including $30M Corporate and All Other. Segments were realigned in 2026.
10
Contract structureSite analysisShow
Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.
11
Alliances & capital tiesSite analysisShow
Equity stakes, joint ventures, and strategic partnerships disclosed across the 10-K, 8-Ks, and proxy statement.
Pending or recent acquisition
Johnson Matthey
Acquired Catalyst Technologies for $1,743M net of cash on July 17, 2026.
Capital tie / equity stake
Quantinuum
Deconsolidated in 2026 and now held under the equity method ($6,629M gain).
12
Customers & suppliersSite analysis
Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.
Customers
Commercial, industrial, energy and building customers worldwide.
Named by the company
No single customer is named as material.
Suppliers
Component and raw material suppliers.
Named by the company
No single supplier is named as material.
13
Competitors & peersSite analysis
Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.
Honeywell competes with many global industrial and technology companies; the 10-K names no specific competitors.
Competitors named in the 10-K
The 10-K names no specific competitors.
Company names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.
14
Six years of financialsFrom SEC data
Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.
Revenue over time
Unit: $M
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
Profit over time (operating → net)
Unit: $M
- Operating income
- Pretax income
- Net income
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
Margins over time
Unit: %
- Operating margin
- Net margin
formulaoperating income ÷ revenue × 100
formulanet income attributable to the company ÷ revenue × 100
Cash flow over time
Unit: $M (below zero = cash went out)
- Operating CF
- Investing CF
- Free CF
formulacash flow from operations − capital expenditures
termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
Financial stability & capital efficiency
Unit: %
- Equity ratio
- ROE
formulatotal equity ÷ total assets × 100 (as reported in the 10-K)
termsStockholders’ equity · Total assets
formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)
termsNet income (attributable to the company) · Stockholders’ equity
Earnings per share (EPS) and dividend per share
Unit: $
- EPS
- Dividend per share
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
| Line item | FY202310-K on EDGAR ↗ | FY202410-K on EDGAR ↗ | FY202510-K on EDGAR ↗ |
|---|---|---|---|
| Income statement ($M) | |||
| Revenue | 33,009 | 34,717 | 37,442 |
| Operating income | 7,563 | 7,667 | 8,127 |
| Pretax income | 6,191 | 6,244 | 5,476 |
| Net income (attributable) | 5,658 | 5,705 | 4,729 |
| Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100 | — | 5.2% | 7.8% |
| Operating margincalcoperating income ÷ revenue × 100 | 22.9% | 22.1% | 21.7% |
| Net margincalcnet income attributable to the company ÷ revenue × 100 | 17.1% | 16.4% | 12.6% |
| Balance sheet ($M) | |||
| Total assets | 61,525 | 75,196 | 73,681 |
| Total equity | 16,434 | 19,154 | 15,030 |
| Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable | 20,443 | 31,538 | 34,939 |
| Equity ratio | 25.8% | 24.8% | 18.9% |
| ROE | 34.8% | 33.1% | 29.1% |
| Cash flow ($M) | |||
| Operating CF | 5,340 | 6,097 | 6,408 |
| Investing CF | -1,293 | -10,157 | -2,711 |
| Financing CF | -5,763 | 6,839 | -1,953 |
| Free cash flowcalccash flow from operations − capital expenditures | 4,599 | 5,226 | 5,422 |
| Cash and equivalents | 7,925 | 9,906 | 12,487 |
| Per share & other | |||
| EPS ($) | 16.94 | 17.42 | 14.72 |
| BVPS ($) | 48.65 | 57.31 | 43.77 |
| Dividend per share ($) | 8.34 | 8.74 | 9.16 |
| Payout ratiocalcdividend per share ÷ diluted EPS × 100 | 49.2% | 50.2% | 62.2% |
| P/E (x) | 12.2 | 12.8 | 13.9 |
| EV/EBITDA (x)calc(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization) | 9.3 | 10.7 | 9.2 |
| P/B (x)calcfiscal year-end closing price ÷ book value per share | 4.26 | 3.90 | 4.67 |
P/B and EV/EBITDA use each period’s period-end (fiscal year-end) figures, not the current share price. Figures without a "calc" tag are as reported in the Form 10-K (the consolidated financial statements and, for older years, earlier 10-Ks), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.
Last 8 quarters
Three-month figures from 10-Q filings. Change is versus the same quarter a year earlier. Newest quarter on top.
| Quarter ended | Revenue | Operating income | Net income |
|---|---|---|---|
| 2026-09-30 | $4.99B+1.3% | $1.06B+22.6% | $664M-63.6% |
| 2026-06-30 | $9.72B+4.3% | $2.24B+5.3% | $5.68B+261.9% |
| 2026-03-31 | $9.14B+2.4% | $2.13B+6.3% | $821M-43.3% |
| 2025-12-31 † | $9.76B+6.4% | $3.13B+190.4% | −$115M-108.9% |
| 2025-09-30 | $4.93B | $866M | $1.83B |
| 2025-06-30 | $9.32B | $2.13B | $1.57B |
| 2025-03-31 | $8.93B | $2B | $1.45B |
| 2024-12-31 † | $9.17B | $1.08B | $1.29B |
† Fourth quarter = the 10-K’s annual figure minus the first three quarters; quarterly EPS isn’t derived this way because share counts change during the year.
Data left out of this analysis
- FY2020, FY2021, FY2022: Not recast for the October 2025 Solstice Advanced Materials spin-off (reported as discontinued operations only for 2023–2025), so it is not comparable.
15
Is ROIC above WACC?From SEC data
ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.
ROIC (FY2025)
13.0%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
e.g.$8,127M × (1 − 19.5%) ÷ $50,331M × 100 = 13.0%
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
WACC (this site’s estimate)
7.16%
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
e.g.Equity weight: $64.99B ÷ ($64.99B + $34.94B) = 65.0%
e.g.Debt weight: $34.94B ÷ ($64.99B + $34.94B) = 35.0%
e.g.WACC: 9.4% × 65.0% + 3.8% × (1 − 19.5%) × 35.0% = 7.16%
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
How firm is this? With the equity risk premium ±1 point and beta ±0.2, WACC runs 6.1%–8.5% and ROIC − WACC runs +4.5 to +6.9 points. The sign holds across this range. This describes the latest year and does not predict future value creation.
WACC 7.16% is this site’s estimate under the assumptions below (not a figure the company has published)
- Risk-free rate
- 4.95% (10-year Treasury, 2026-11-03)
- β
- 0.80 (price-derived adjusted beta)
- Equity risk premium
- 5.5%
- Cost of equity
- 9.35%
- Cost of debt
- 3.85%
- Tax rate
- 19.5% (effective rate, FY2023–FY2025)
- Capital structure (equity : debt)
- 65% : 35%
ROIC over time, vs. WACC
Unit: % — bars = each period's ROIC, horizontal line = latest WACC. Bars above the line are green, below are red
- ROIC (above WACC)
- ROIC (below WACC)
- WACC 7.16%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
Try different WACC assumptions
β and the equity risk premium are estimates with a real range of plausible values — move the sliders to check whether ROIC > WACC still holds. The risk-free rate starts at the 10-year Treasury yield on 2026-11-03 (U.S. Treasury).
Initial β: 0.80 (price-derived adjusted beta. Raw β 0.70, R² 0.18, 130 weeks)
formula0.67 × β + 0.33 (β = the slope of weekly stock returns regressed on weekly market returns)
e.g.0.67 × 0.705 + 0.33 = 0.802
termsβ (beta)
Period 2024-05-10–2026-11-04, using S&P 500 ETF (SPY) as the market proxy. Source: Yahoo Finance price history.
formularisk-free rate + β × equity risk premium
e.g.5.0% + 0.8 × 5.5% = 9.4%
termsCAPM · Risk-free rate · β (beta) · Equity risk premium (market risk premium)
formulafiscal year-end closing price × shares outstanding (= market cap)
formulainterest expense ÷ interest-bearing debt × 100 (clamped to 0–10%; falls back to the risk-free rate if there’s no debt)
16
What the price implies (DCF)From SEC data
A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.
Growth the price implies (price on 2026-11-04)
1.3%
Perpetual FCF growth: g = r − FCF ÷ EV = 7.2% − 5.8%
Past FCF growth (FY2023–FY2025)
+8.6%
Compound annual rate, 2 years
Past revenue growth (FY2023–FY2025)
+6.5%
Compound annual rate, 2 years
Inputs (FY2025): free cash flow $5.42B (operating CF − capex); enterprise value $93.21B = market cap $71.2B (latest close, 2026-11-04) + debt $34.94B − cash and short-term investments $12.93B; r = WACC of 7.2% using this page’s default assumptions (β 0.80, risk-free 5.0%, market premium 5.5%).
Three WACC scenarios
The same calculation under cautious, base and optimistic cost-of-capital assumptions (risk-free rate fixed at the 10-year Treasury yield). Pick one to load it into the sliders below.
Try your own assumptions
V = FCF ÷ (r − g). It starts at the implied growth rate, where the theoretical value equals today’s enterprise value.
Theoretical enterprise value
$91.9B
FCF $5.42B ÷ (7.2% − 1.3%)
Theoretical ÷ actual enterprise value
0.99x
Below 1x: these assumptions value the business below the market did
How sensitive the answer is
Theoretical ÷ actual enterprise value for each combination of r and g.
| g \ r | 5.2% | 6.2% | 7.2% | 8.2% | 9.2% |
|---|---|---|---|---|---|
| 0% | 1.12x | 0.94x | 0.81x | 0.71x | 0.63x |
| 2% | 1.82x | 1.38x | 1.12x | 0.94x | 0.81x |
| 4% | 4.85x | 2.64x | 1.82x | 1.38x | 1.12x |
| 6% | — | 29.08x | 4.85x | 2.64x | 1.82x |
| 8% | — | — | — | 29.08x | 4.85x |
A simplified model for seeing what the market price assumes, not a forecast or a target price. It treats free cash flow as growing at one constant rate forever; the result swings widely with small changes in r and g, and is undefined when g reaches r. Free cash flow here is operating cash flow minus capex, which is after interest — a full DCF of enterprise value would use cash flow before interest. Market cap uses the latest close (2026-11-04) × shares at fiscal year-end; free cash flow and WACC inputs are from the latest fiscal year.
17
Earnings qualityFrom SEC dataShow
The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.
- ✓
Operating CF ÷ net income: averages 1.12x
Profit is backed by cash coming in.
- ✓
Accrual ratio (latest): -2.3%
A small share of profit rests on accounting estimates.
- ✓
Core-earnings share (operating income ÷ pretax income): 148%
Most profit comes from core operations.
- ✓
Days sales outstanding: 83 → 72 days
No major slowdown in collecting on sales.
Operating CF vs. net income
Unit: $M — operating CF above net income means profit is backed by cash
- Operating CF
- Net income
formulacash flow from operations ÷ net income attributable to the company
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formula(net income − operating CF) ÷ average total assets × 100
termsNet income (attributable to the company) · Cash flow from operations (operating CF) · Total assets
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
Profit bridge (FY2025)
Unit: $M — what moved profit from operating income to net income
- Profit (each stage)
- Pushed profit up
- Pushed profit down
formulaoperating income ÷ income before income taxes × 100
termsOperating income · Income before income taxes (pretax income)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-17
Receivables & inventory days
Unit: days — days grow when receivables or inventory build up faster than sales
- Days sales outstanding
- Days inventory outstanding
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
termsInventory · Cost of revenue (COGS)
Worked examples (latest period)
formulacash flow from operations ÷ net income attributable to the company
e.g.$6,408M ÷ $4,729M = 1.36x
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formulaoperating income ÷ income before income taxes × 100
e.g.$8,127M ÷ $5,476M × 100 = 148%
termsOperating income · Income before income taxes (pretax income)
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
e.g.($7,247M + $7,621M) ÷ 2 ÷ $37,442M × 365 = 72 days
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
e.g.($5,884M + $6,162M) ÷ 2 ÷ $23,613M × 365 = 93 days
termsInventory · Cost of revenue (COGS)
18
Who holds the sharesFrom SEC dataShow
How much of the stock large institutional investors report owning on SEC Form 13F, how much the directors and executive officers hold (and how much of the vote they control), and roughly how much is left for individual investors. Shown next to beta so the holder mix can be read alongside how much the stock swings.
Institutions, insiders and everyone else, 13F holdings as of 2026-06-30
“Everyone else” is what remains after shares reported on Form 13F and shares held by directors and executive officers: mostly individual investors, plus non-insider families or foundations and smaller or foreign institutions. The figures have different dates and 13F reports count some shares twice — read it as an approximate split.
- Held by 13F filers
- 76.1%
- Directors & officers (shares)
- <1%
- Everyone else (est.)
- 23.9%
- Directors & officers (voting power)
- <1%
- Institutional-ownership rank
- 342 of 416
- Beta (adjusted)
- 0.80
individuals and other non-13F holders
no separate voting figure; shown as shares
1 = most institutional; 82% of covered companies have more
above 1 = swings more than the market
- 241.2M shares reported by 2,035 13F filers ÷ 316.9M shares outstanding on 2026-06-30. Option positions are excluded.
- Directors and executive officers as a group, from the proxy statement’s beneficial-ownership table (percentage computed from the group’s share count ÷ shares outstanding); includes shares they can acquire within 60 days.
- A large “everyone else” share can still reflect a family, trust or foundation stake held outside the board; check the proxy statement’s 5% holders.
Sources: SEC Form 13F data set (holdings as of 2026-06-30) · Form DEF 14A filed 2026-04-10 (beneficial ownership table) · Form 10-Q cover page (shares outstanding as of 2026-06-30)
19
Strengths & weaknessesSite analysis
Strengths
1. Focused portfolio
After the spins Honeywell Technologies concentrates on three automation segments; Q3 2026 segment profit $1,062M on $4,994M of sales.
Evidence: Form 10-Q (quarter ended 2026-09-30)
2. Cash returns
Paid $2,976M of dividends and repurchased $3,804M of stock in 2025.
Evidence: Form 10-K (FY2025)
3. Acquisitions
Added Sundyne (2025) and Johnson Matthey’s Catalyst Technologies (July 2026) to process automation.
Evidence: Form 10-Q (quarter ended 2026-09-30)
Weaknesses
1. Industrial Automation decline
Q3 2026 Industrial Automation sales fell to $1,115M from $1,450M.
Evidence: Form 10-Q (quarter ended 2026-09-30)
2. Legacy liabilities
Environmental liabilities rose with $443M of accruals in 2025; Flexjet settlement cost $375M in Q1 2026.
Evidence: Form 10-K (FY2025)
20
What draws investors to itSite analysis
Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.
P/E (FY2025)
13.9x
Price at fiscal year-end ÷ diluted EPS
Dividend yield (FY2025)
4.48%
Dividends per share ÷ fiscal year-end price
Payout ratio (FY2025)
62%
Dividends per share ÷ diluted EPS
FCF yield (FY2025)
8.3%
(Operating CF − capex) ÷ market cap
1. Pure-play automation
Simpler company focused on automation.
- What has to hold
- Segment growth resumes.
- The other side
- Smaller scale after spins.
Evidence: Form 10-Q (quarter ended 2026-09-30)
2. Dividend
Dividend continues after the separation ($0.70 per share in Q3 2026 on the post-split basis).
- What has to hold
- Earnings support the payout.
- The other side
- Lower absolute dividend after the spin.
Evidence: Form 10-Q (quarter ended 2026-09-30)
Financials are as reported in the FY2025 10-K (including Aerospace Technologies; Solstice discontinued). FY2023–FY2025 per-share data are adjusted for the 2026 one-for-two reverse split. Price history may be distorted by the spin-offs.
21
ResilienceSite analysisShow
How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.
1. Financial buffer (FY2025)
Cash & short-term investments ÷ debt due within a year
1.7x
$12.93B vs. $7.44B
Interest coverage (operating income ÷ interest expense)
6.0x
$8.13B vs. $1.34B
Free cash flow ÷ dividends paid
1.8x
$5.42B vs. $2.98B (FCF = operating CF − capex)
2. Worst year in the record, and the recovery
| Figure | Worst year-over-year change | Back to the prior level? |
|---|---|---|
| Revenue | No decline in the record | — |
| Operating income | No decline in the record | — |
Covers only the 3 fiscal years on record (FY2023–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.
3. Business resilience (from the 10-K)
Profitable through 2020
Net income attributable to Honeywell was $4,779M in 2020.
Source: Form 10-K (FY2025)
22
Legal & regulatory mattersSite analysisShow
Lawsuits, government investigations, enforcement actions and settlements the company discloses — where each stands, what is at stake, and what comes next. From the 10-K's Legal Proceedings and contingencies note, the latest 10-Q, and 8-Ks.
Honeywell’s disclosed matters include environmental remediation, legacy asbestos (NARCO trust), the settled Flexjet engine maintenance dispute and a resolved FCPA matter involving its UOP subsidiary.
1 open matter (1 flagged as major) · 2 settled or closed
Environmental remediation
PendingEnvironmentalMajorRegulators and third parties v. Honeywell
Remediation liabilities at current and former sites; $443M of accruals were recorded in 2025.
Flexjet engine maintenance litigation
SettledContract disputeFlexjet, Duncan Aviation and StandardAero v. Honeywell
Disputes with Flexjet, Duncan and StandardAero over the engine maintenance MSA were settled: $59M paid in December 2025 and $375M to Flexjet in Q1 2026, with the MSA extended through 2035.
- Amounts
- $434 million paid
Source: Form 10-Q (quarter ended 2026-09-30) — Note 19, Commitments and Contingencies
UOP FCPA resolution (U.S. and Brazil)
ResolvedEnforcement / sanctionDOJ, SEC and Brazilian authorities v. Honeywell/UOP
Honeywell paid the equivalent of $203M in January 2023 to the DOJ, SEC and Brazilian authorities; UOP entered a three-year deferred prosecution agreement.
- Amounts
- $203 million
Source: Form 10-Q (quarter ended 2026-09-30) — Note 19, Commitments and Contingencies
Company statement: Other proceedings are described as ordinary-course and not expected to be material.
Based on Form 10-Q (quarter ended 2026-09-30) — Note 19, Commitments and Contingencies, reviewed 2026-10-25. Routine ordinary-course claims are not listed. “Major” is this site’s judgment of which matters could materially affect results.
23
Risks (including geopolitical)Site analysis
Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.
Risk map
Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).
Likelihood →
"Company disclosure" vs. "this site’s assessment"
The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.
Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring). See the rating criteria.
- 1M&A & integration
Separation execution
- Company disclosure (summarized from the 10-K)
- Stand-alone costs and dis-synergies after the Solstice and Aerospace spin-offs.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood Med
- 2Demand & macro
Industrial cycle
- Company disclosure (summarized from the 10-K)
- Demand from industrial, energy and building customers is cyclical.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood High
- 3Law & regulation
Environmental and legal matters
- Company disclosure (summarized from the 10-K)
- Environmental remediation liabilities and litigation; some estimates cannot be made.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood Med
- 4Geopolitics & supply chain
Trade and global operations
- Company disclosure (summarized from the 10-K)
- Operates in about 79 countries with exposure to tariffs and geopolitics.
- Company’s stated mitigation
- Our relationships with primary and secondary suppliers, combined with ongoing efforts to diversify sourcing networks, allow us to reliably source key components and raw materials.
- This site’s assessment
- Impact Med / Likelihood Med
- 5Competition & technology shift
Automation competition
- Company disclosure (summarized from the 10-K)
- Competes with global automation and building technology companies.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood High
24
What changed in the risk factorsFrom SEC data
Paragraphs in the latest 10-K's Risk Factors that have little overlap with the year before, and paragraphs that were dropped.
New or substantially reworded (8)
In addition, the Company and each of its businesses has been, and may continue to be, negatively affected by global macroeconomic conditions, including the impacts of inflation, high interest rates, supply chain and labor disruptions, unemployment rates, geopolitical instability and regional conflicts, the adoption and expansion of, and other changes to, trade restrictions and tariffs, quotas, embargoes, and other related actions, and the occurrence or threat of a trade war or other governmental action related to tariffs or trade agreements or policies. Such factors could adversely impact, demand for our products, our costs, our customers, our suppliers, and the world and U.S. economies. The impact of such factors could have a material adverse effect on our business, operating results, cash flows, and financial condition.
The U.S. continues to implement certain trade actions, including imposing tariffs on certain goods imported from China and other countries, which has resulted in retaliatory tariffs by China and other countries. Read more
The recent changes in U.S. trade policy involving the application or increase of tariffs and the subsequent retaliatory measures against the U.S. have created a dynamic environment that may have a material adverse impact on our business. While we have deployed strategies to mitigate the impact of these dynamic trade policies, there is no assurance that we will be able to mitigate the full impact of all such tariffs, retaliatory tariffs or other trade policies that have or may develop in this rapidly changing environment. Increasing trade tensions and changes in trade policies have the potential to adversely impact our costs, the demand for our products, our supply chain and the…
In certain of our businesses, our contracts are typically awarded on a competitive basis. Read more
Our bids are based upon, among other factors, the cost to timely provide the products and services. To generate an acceptable return, we must accurately estimate our input costs and delivery schedules. If we fail to do so, the profitability of contracts may be adversely affected – including because some of our contracts provide for liquidated damages if we do not perform on time – which could have a material adverse effect on our competitive position, results of operations, cash flows or financial condition.
We have divested a number of businesses, including as part of spin-offs. Read more
With respect to some of these former businesses, we have contractually agreed to indemnify the counterparties against, or otherwise retain, certain liabilities, including, certain lawsuits, product liability claims, and environmental matters. Even without ongoing contractual indemnification obligations, we could be exposed to liabilities arising out of such divestitures. In addition, the counterparties to those divestitures or spun-off businesses may have agreed to indemnify us or assume certain liabilities relating to those divestitures. However, there can be no assurance that the indemnity or assumption of liability by the counterparties will be sufficient to protect us against the full amount of these liabilities, or that a counterparty will be able to fully satisfy its obligations. Third parties also could seek…
Emerging cybersecurity regulations (including the EU Cyber Resilience Act) increasingly mandate rigorous cybersecurity standards for our products and services. Read more
These mandates may increase our operational costs by requiring additional investment in secure product development, vulnerability management, and product lifecycle management. Adapting our diverse portfolio to meet these requirements may require costly product redesigns, delay market entry for new solutions, or necessitate strategic retirement of legacy offerings. Failure to meet these standards could result in significant financial penalties, restricted market access, and reputational harm that could adversely affect our competitive position and financial results.
Moreover, beyond the regulations generally applicable to data collection and use, technologies such as artificial intelligence and machine learning may introduce novel compliance, security, and operational risks due to the rapidly evolving legal and regulatory environment, both in the United States and internationally, surrounding the development, sale and use of these technologies. Governments globally—including through frameworks such as the EU AI Act, the Colorado Artificial Intelligence Act, and the California AI Transparency Act—are adopting rules that impose heightened transparency, risk‑management, monitoring, and human‑oversight obligations. As these frameworks develop, we may be required to modify our practices, contracts, or products. Their ultimate impact is uncertain, and additional jurisdictions may adopt similar requirements. Failure to comply could result in regulatory…
Additionally, instability in U.S. and global capital and credit markets, including market disruptions, limited liquidity and interest rate volatility, or reductions in the credit ratings assigned to us by independent rating agencies could reduce our access to capital markets, including in connection with the Separation, or increase the cost of funding our short- and long-term credit requirements. In particular, if we are unable to access capital and credit markets on terms that are acceptable to us, or at all, we may not be able to make certain investments or fully execute our business plans and strategies. If we were to raise funding through the issuance of equity securities, our shareowners would experience dilution of their existing ownership interest. If we were to raise significant additional funds by issuing debt, rating agencies could downgrade our credit ratings or put them on…
Net cash provided by operating activities from discontinued operations 333 985 (652) 881 104
No longer in the text (4)
The Company is subject to risks related to its plans to separate Automation and Aerospace Technologies and to spin off its Advanced Materials business into standalone, publicly traded companies.
Net income attributable to Honeywell 5,705 5,658 47 4,966 692
Net cash used for investing activities (10,157) (1,293) (8,864) (93) (1,200)
Net cash provided by (used for) financing activities 6,839 (5,763) 12,602 (6,330) 567
23 more paragraphs differ; the filings below have the full text.
Matched automatically, quoted as filed, and may include rewording of an existing risk. Compares Item 1A of the 10-K filed Feb 17, 2026 ↗ with the 10-K filed Feb 14, 2025 ↗.
25
What to watch going forwardSite analysis
- Performance of the three remaining automation segments.
- Integration of Johnson Matthey’s Catalyst Technologies.
- Quantinuum equity-method results.
- Restated financials after the spin-offs and reverse split.
26
Source documentsShow
This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.
Other sources referenced in the analysis
Last updated
Analysis last edited: October 25, 2026 · Financial data fetched: October 25, 2026 04:10 (SEC EDGAR) · Source 10-K filed: February 17, 2026
Built on10-K FY2025 · filed 2026-02-17Proxy statement (2026)
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
This page is this site’s own analysis based on public information, and does not represent Honeywell Technologies’s views. It is not a recommendation to buy or sell any security, and this site does not guarantee the accuracy of any figure or statement here. Always verify against the original source documents before making an investment decision.