Saturday, October 29, 2022

Honeywell Better-Placed Than Most To Take On Next Year's Challenges

In a market that is increasingly worried about what 2023 will hold for the global economy in general and short-cycle industrial markets in particular, Honeywell (NASDAQ:HON) stands out. There are a few parts of Honeywell's business that likely won't be at their best next year, but a solid two-thirds of the business should be seeing strong demand at a time when many other quality industries will be struggling with weaker conditions.

When I last wrote about Honeywell, I lamented the Street's fickle treatment of the shares and thought it was a name to consider if the shares pulled back further. While the shares are now up about 5% from that time, investors did have two opportunities to pick up shares in the $170s (or about 15% below today's price). Right now I see a bit of a split between the valuation and the secular appeal of the shares - I don't see the stock as all that cheap (it seldom is), but I do think it is better placed than most, and could earn a sustained premium to its peers through 2024.


Read the full article here: 

 Honeywell Better-Placed Than Most To Take On Next Year's Challenges

No comments: