Research on General Electric and Honeywell: Diversified Industrial Companies Provide Good Returns

Feb 22, 2013, 08:00 ET from

LONDON, February 22, 2013 /PRNewswire/ --


Investing in well diversified companies brings about instant benefits like diffusion of risk. These stocks are better insulated against sector -related upheavals. Honeywell International Inc. (NYSE: HON) provides good capital growth and robust dividend income. The company also has a solid track record and has good balance sheet. General Electric Company (NYSE: GE) sold its NBC Universal stake to Comcast. The company also recently announced strong quarterly and annual results. StockCall has posted free technical research reports on General Electric and Honeywell International and these can be accessed by signing up at

Honeywell International Pays Dividend

Honeywell International recently announced 41 cents per share in dividend, payable on March 11th. The company's current dividend yield is at 2.35 percent. The stock itself has appreciated 11 percent so far this year and its 12-month growth is at 17 percent. Thus, Honeywell International is a good candidate to be included in a portfolio, on account of its solid capital growth and robust dividend yield. Honeywell International Inc. technical report can be accessed for free by signing up at  

Honeywell International recently got embroiled in a controversy as its air conditioning refrigerant was deemed unsafe. The company refuted the claim and cited an automotive industry research group findings for this purpose. While the company is trying to get out the controversy, it is also looking to grow through acquisitions. Honeywell International is currently vetting a list of potential acquisition targets. The company management added that it is ideally looking at the deals valued under $1 billion. It also recently completed the purchase of Intermec for $600 million. The acquisition will help Honeywell International in achieving synergy.

Honeywell International currently trades at Price/Earnings ratio of 18.86, which is in-line with its industry average. The stock offers good entry point and may provide solid returns in medium- to long-term period.

General Electric NBC Stake

General Electric is a diversified conglomerate. The company recently filed a suit against Whirlpool Corp. over the pricing of a refrigerator component. Notwithstanding the new lawsuit, the company stock is up 10 percent so far this year. In the last 52 weeks, the stock gained 20 percent. General Electric also offers 3.27 percent dividend yield. The company has over 100 years of track record of consistent dividend payment. Download the free report on General Electric Company upon registration at  

General Electric Company deals in a wide variety of services. On one hand, it insulates the company against the vagaries of a particular sector, but at the very same time, it is difficult to analyze different business units. The company is in mature stage and while it may lack the glamour of new high flying growth stocks, it offers consistent and solid returns. The stock is a good candidate for an income driven long-term portfolio.

General Electric reported robust numbers for its fiscal fourth quarter as well as for the full financial year. It also has healthy order book and is expected to keep up its good performance. The company is also restructuring its business and recently sold its stake in NBC Universal to Comcast in a $16 billion deal. The sale will help the company to infuse funds into its core business and reduce its non-essential assets. Overall, General Electric is a good stock for long-term value investment.

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