What Makes Honeywell (HON) a Good Investment?

3 weeks ago 18

Soumya Eswaran

Wed, February 25, 2026 astatine 6:32 AM CST 3 min read

Madison Investments, an concern advisor, released its fourth-quarter 2025 capitalist missive for the “Madison Large Cap Fund”. A transcript of the missive tin beryllium downloaded here. In the 4th quarter, the S&P 500 returned 2.65%, resulting successful a full-year instrumentality of 17.9% for 2025. Over the past 3 years, the Index has achieved yearly maturation of implicit 21%. Following the caller trends, marketplace enactment was defined by High Beta and Momentum factors, with constrictive participation. However, successful the 4th quarter, the marketplace saw flimsy improvements successful antecedently lagging sectors similar Healthcare, Financials, and Consumer Discretionary. Still, mega-cap exertion companies remained the superior drivers of the S&P 500's wide return, indicating precocious banal concentration. Against this backdrop, the Madison Large Cap Fund (Class I) appreciated 3.43% compared to the S&P 500 Index’s 2.65% return. In addition, delight cheque the Fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, Madison Large Cap Fund highlighted stocks similar Honeywell International Inc. (NASDAQ:HON). Honeywell International Inc. (NASDAQ:HON) is an American multinational institution that engages successful aerospace technology, concern automation, gathering automation, and vigor and sustainable solutions businesses. On February 24, 2026, Honeywell International Inc. (NASDAQ:HON) banal closed astatine $243.61 per share. One-month instrumentality of Honeywell International Inc. (NASDAQ:HON) was 12.45%, and its shares gained 22.35% implicit the past 52 weeks. Honeywell International Inc. (NASDAQ:HON) has a marketplace capitalization of astir $164.16 billion.

Madison Large Cap Fund stated the pursuing regarding Honeywell International Inc. (NASDAQ:HON) successful its 4th fourth 2025 capitalist letter:

"It was an progressive 4th for the portfolio. We initiated positions successful Workday and Honeywell International Inc. (NASDAQ:HON). The 2nd caller concern was successful Honeywell, a high-quality concern conglomerate. Currently, the institution is undergoing a portfolio translation with the merchantability and rotation disconnected of a assortment of assets successful 2025 and the anticipated separation of the aerospace and automation businesses successful the 2nd fractional of 2026. We judge this separation volition further heighten the instrumentality connected invested superior and maturation opportunities for each business, and that Honeywell’s portfolio translation is underappreciated by equity investors."

Honeywell International Inc. (NASDAQ:HON) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 79 hedge money portfolios held Honeywell International Inc. (NASDAQ:HON) astatine the extremity of the 4th quarter, up from 76 successful the erstwhile quarter. While we admit the imaginable of Honeywell International Inc. (NASDAQ:HON) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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