ABBNY vs. HON, AME, MPWR, LFUS, POWL, CAT, ETN, DE, ITW, and CTAS
Should you be buying ABB stock or one of its competitors? The main competitors of ABB include Honeywell International (HON), AMETEK (AME), Monolithic Power Systems (MPWR), Littelfuse (LFUS), Powell Industries (POWL), Caterpillar (CAT), Eaton (ETN), Deere & Company (DE), Illinois Tool Works (ITW), and Cintas (CTAS).
Honeywell International (NASDAQ:HON) and ABB (NYSE:ABBNY) are both large-cap multi-sector conglomerates companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, profitability, dividends, valuation, risk, earnings, community ranking, media sentiment and institutional ownership.
In the previous week, Honeywell International had 9 more articles in the media than ABB. MarketBeat recorded 10 mentions for Honeywell International and 1 mentions for ABB. ABB's average media sentiment score of 0.90 beat Honeywell International's score of -0.45 indicating that Honeywell International is being referred to more favorably in the media.
Honeywell International has a net margin of 15.52% compared to Honeywell International's net margin of 11.21%. ABB's return on equity of 35.88% beat Honeywell International's return on equity.
Honeywell International has a beta of 1.02, meaning that its stock price is 2% more volatile than the S&P 500. Comparatively, ABB has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500.
Honeywell International received 488 more outperform votes than ABB when rated by MarketBeat users. Likewise, 75.61% of users gave Honeywell International an outperform vote while only 62.77% of users gave ABB an outperform vote.
Honeywell International has higher revenue and earnings than ABB. Honeywell International is trading at a lower price-to-earnings ratio than ABB, indicating that it is currently the more affordable of the two stocks.
75.9% of Honeywell International shares are owned by institutional investors. Comparatively, 1.1% of ABB shares are owned by institutional investors. 0.4% of Honeywell International shares are owned by company insiders. Comparatively, 4.9% of ABB shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Honeywell International pays an annual dividend of $4.32 per share and has a dividend yield of 2.1%. ABB pays an annual dividend of $0.58 per share and has a dividend yield of 1.1%. Honeywell International pays out 50.1% of its earnings in the form of a dividend. ABB pays out 29.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Honeywell International has increased its dividend for 13 consecutive years. Honeywell International is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Honeywell International presently has a consensus price target of $215.71, suggesting a potential upside of 6.69%. Given ABB's higher probable upside, research analysts plainly believe Honeywell International is more favorable than ABB.
Summary
Honeywell International beats ABB on 16 of the 21 factors compared between the two stocks.
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This chart shows the number of new MarketBeat users adding ABBNY and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Skip ChartThis chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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ABBNY vs. The Competition
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