Why is Honeywell Automation India Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of 9.00% and Operating profit at 0.42% over the last 5 years
2
Flat results in Mar 26
- ROCE(HY) Lowest at 15.98%
3
With ROE of 12, it has a Very Expensive valuation with a 7.2 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -4.37%, its profits have risen by 2% ; the PEG ratio of the company is 30.1
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Honeywell Auto for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Honeywell Auto
-4.37%
-0.14
30.71%
Sensex
-5.43%
-0.41
13.25%
Quality key factors
Factor
Value
Sales Growth (5y)
9.00%
EBIT Growth (5y)
0.42%
EBIT to Interest (avg)
94.54
Debt to EBITDA (avg)
0.12
Net Debt to Equity (avg)
-0.83
Sales to Capital Employed (avg)
1.07
Tax Ratio
25.94%
Dividend Payout Ratio
17.65%
Pledged Shares
0
Institutional Holding
15.03%
ROCE (avg)
58.39%
ROE (avg)
12.91%
Valuation Key Factors 
Factor
Value
P/E Ratio
60
Industry P/E
53
Price to Book Value
7.20
EV to EBIT
51.52
EV to EBITDA
46.95
EV to Capital Employed
37.04
EV to Sales
6.07
PEG Ratio
30.14
Dividend Yield
NA
ROCE (Latest)
71.91%
ROE (Latest)
11.97%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bearish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Movement
6What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 3,805.80 cr
PBDIT(Q)
Highest at Rs 184.80 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 15.65%
PBT LESS OI(Q)
Highest at Rs 168.70 cr.
PAT(Q)
Highest at Rs 160.37 cr.
EPS(Q)
Highest at Rs 181.48
-2What is not working for the Company
ROCE(HY)
Lowest at 15.98%
Loading Valuation Snapshot...
Here's what is working for Honeywell Auto
Operating Profit (PBDIT) - Quarterly
Highest at Rs 184.80 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 15.65%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 168.70 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 160.37 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 181.48
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 3,805.80 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Honeywell Auto
Non Operating Income - Quarterly
Highest at Rs 47.50 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income






