Analysis of Honeywell share price

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Honeywell shares can be traded online. But before launching into taken positions to buy or sell this share, take a few moments to read our dedicated article containing all the information you'll need to set up a coherent investment strategy. We will explain to you in detail how this company works, how its price has evolved over time and what are the fundamental data that you must absolutely take into account in the context of these analyzes of the price of this stock.  

Elements that can influence the price of this asset:

Analysis N°1

The global aerospace sector offers very interesting prospects which could benefit the Honeywell group through its strategic positioning in this area.

Analysis N°2

The group also makes a lot of effort to accelerate its growth, particularly through strategic alliances or company takeovers in emerging markets which are currently very popular such as India, China or Brazil which could increase its international market shares.

Analysis N°3

The group is developing its turbocharged engine segment intended for the American automobile industries whose demand is increasingly strong.

Analysis N°4

Keep an eye on the various government policies which are increasingly strict with regard to the environment and which can influence Honeywell's operations.

Analysis N°5

The group's activities are also very sensitive to economic fluctuations and currency devaluations which have a negative influence on the results of this company internationally.

Analysis N°6

Honeywell is very dependent on some of its major suppliers and the prices charged by them.

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General presentation of the Honeywell Company:

Honeywell is an American company that specializes in the production and sale of industrial equipment. In addition to its main products intended for industries, Honeywell also offers various services such as maintenance, technical assistance and engineering services. We can however divide the activities of the group into different hubs according to the level of turnover generated like this:

From a geographic point of view, the Honeywell group still generates over 56.1% of its turnover in the United States. Europe is also one of its main markets with 25.7% of turnover. Finally, the remaining 18.3% is generated in the rest of the world.


Knowing Honeywell shares competition:

Honeywell implements targeted business and its core target is the civil and military aeronautics industry. But it's obviously not the only one to provide this industry and therefore faces significant competition from other large groups that you should check out in detail right here with the ranking of the 20 largest companies in this field. 

But apart from these companies operating in this specific field, Honeywell also faces other competitors in certain more specific sectors such as connected objects for the home which it is trying to position itself into. In this area, its main competitor is probably the giant Google.

There are also some competitors in the chemical sector, such as the Arkema group , with which it competes in the design of refrigerant gases intended for the automotive industry.

To succeed in your Honeywell share price investment strategies, you need to take this competition into account by monitoring the filing of new patents, the various innovations, any new major contracts signed and even the results of each of these leading names. By doing so, your fundamental analyses will be much more relevant because the shares of these companies tend to move in a competitive manner and the rise of one stock can lead to the drop of the others. You'll of course find information about these companies on your broker's news feed or by consulting specialized sites.


The strategic alliances set up by the Honeywell group:

To maintain its place in the industrial technological products sector, the Honeywell group primarily bases its strategy on innovation, along with establishing various strategic partnerships with other competing or complementary companies. These strategic alliances obviously have more or less significant repercussions on the results of the Honeywell business as well as on the evolution of its share price. Therefore, it's strongly advised to keep a close eye on any new partnerships that the group may set up in the future. Here are some examples of the most recent alliances that have benefited this business.


Introduction and stock quote of the Honeywell share:

If you want to take position on the Honeywell share price at the right time and in the right direction, you should take an interest in the historical stock charts of this share in order to better understand the behaviour under different situations. Here is a historical technical analysis which will help you understand the major trends of the past ten years.


 Analysis of the price

The first thing that can be emphasized when looking at the historical charts for this period is the strong long-term upside potential of this stock. Indeed, in ten years, Honeywell shares have gone from the $61.98 level to the $160 level in a clearly positive underlying trend. But this rise did not happen in a single step.

Indeed, at the beginning of this period, the stock first experienced a significant downward trend that led it to hit the low of $22.55 in November 2008 and will repeat in March 2009 after a failed recovery attempt.

It will therefore have to wait until July 2009 for the stock to begin a real long uptrend. Several periods of bearish corrections will then be observed in July 2010 and September 2011 but will not affect the underlying trend.

In fact, from the end of 2012, the rise accelerates to reach an all-time high of $164.10 in January 2018. Since this record, the stock has corrected slightly downward but is still trading above the $150 threshold.


Economic History

In order to better understand the major movements observed on the historical charts of Honeywell shares, it is important to take into account both the general chart pattern, but also the external events that may have influenced the market. Here is a summary of the major dates to remember and the main events that have marked the economic and financial history of this company.

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