Question 1

What is Honeywell International, Inc.'s WACC?

Accepted Answer

Honeywell International, Inc. (HON) has a Weighted Average Cost of Capital (WACC) of 7.83%. This is calculated using a Cost of Equity of 8.55% (via CAPM with a beta of 1.00) and a pre-tax Cost of Debt of 4.95%, with an equity weight of 84.50% in the capital structure.

Question 2

Is Honeywell International, Inc.'s WACC high or low?

Accepted Answer

Honeywell International, Inc.'s WACC of 7.83% is below the typical range of 8-12% for most companies, indicating relatively low cost of capital and lower risk. WACC is used as the discount rate in DCF valuations — a lower WACC results in higher present values of future cash flows.

Question 3

How is Honeywell International, Inc.'s WACC calculated?

Accepted Answer

Honeywell International, Inc.'s WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 8.55% is derived from the CAPM model using a beta of 1.00. The pre-tax Cost of Debt (Rd) is 4.95%. The capital structure is 84.50% equity and 15.50% debt.

Honeywell International, Inc. (HON) — WACC 分析

WACC 构成

解读

Honeywell International, Inc.（HON）WACC：7.83%

WACC计算器

Honeywell International, Inc.（HON） WACC 解读

HON 公司分析

HON DCF 估值

继续做同行对比