Honeywell International vs Siemens Which Is Stronger?

Honeywell International and Siemens are two leading companies in the industrial technology sector, both with a strong presence in the global market. The two companies have a history of competing against each other in various industries, from aerospace and defense to building technologies. Investors often compare their stock performance, looking at factors such as revenue growth, profitability, and market share. Understanding the strengths and weaknesses of each company can help investors make informed decisions about their investment portfolios.

Honeywell International or Siemens?

When comparing Honeywell International and Siemens, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Honeywell International and Siemens.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Honeywell International has a dividend yield of 1.92%, while Siemens has a dividend yield of 0.13%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Honeywell International reports a 5-year dividend growth of 6.42% year and a payout ratio of 50.54%. On the other hand, Siemens reports a 5-year dividend growth of 7.39% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Honeywell International P/E ratio at 26.05 and Siemens's P/E ratio at 103.37. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Honeywell International P/B ratio is 8.51 while Siemens's P/B ratio is 18.28.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Honeywell International has seen a 5-year revenue growth of -0.02%, while Siemens's is 0.58%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Honeywell International's ROE at 34.10% and Siemens's ROE at 19.30%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $225.87 for Honeywell International and ₹7791.95 for Siemens. Over the past year, Honeywell International's prices ranged from $189.66 to $242.77, with a yearly change of 28.00%. Siemens's prices fluctuated between ₹3809.15 and ₹8129.90, with a yearly change of 113.43%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.