Honeywell International Inc. (HON) vs TransDigm Group Incorporated (TDG)
TDG leads on 10 of 16 compared metrics, though HON is the cheaper stock.
A side-by-side comparison of Honeywell International Inc. and TransDigm Group Incorporated across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 30, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).
HON
Honeywell International Inc.
$227.80Industrials
TDG
TransDigm Group Incorporated
$1323.44Industrials
Total return — HON vs TDG
growth of $100 · last 20yHON +179.2%TDG +5391.5%TDG compounded faster
Log scale — wide-divergence pair
HON TDG
HON vs TDG: by the numbers
- •TDG is the larger company ($74.02B vs $72.17B market cap).
- •HON trades at the lower earnings multiple (16.13 vs 41.31 P/E).
- •TDG converts more revenue to profit (21.29% vs 11.16% net margin).
- •TDG grew revenue faster over the past five years (14.19% vs 2.42% CAGR).
- •TDG pays the higher dividend yield (6.80% vs 2.19%).
Which is better, HON or TDG?
Metric tally: HON 6 · TDG 10It depends on what you're optimizing for:
ValueHON(lower P/E)
GrowthTDG(faster 5Y revenue CAGR)
IncomeTDG(higher dividend yield)
QualityTDG(higher ROIC)
Metrics side by side
Valuation
| Metric | HON | TDG |
|---|---|---|
| P/E ratio | 16.13● | 41.31 |
| Forward P/E | 19.88● | 28.17 |
| P/S ratio | 1.98● | 8.11 |
| P/B ratio | 3.41 | — |
| PEG ratio | 9.27 | 1.63● |
| EV / EBITDA | 14.25● | 22.05 |
| FCF yield | 5.66%● | 2.40% |
Profitability
| Metric | HON | TDG |
|---|---|---|
| Gross margin | 36.95% | 59.02%● |
| Operating margin | 14.87% | 46.51%● |
| Net margin | 11.16% | 21.29%● |
| ROE | 19.24%● | -21.41% |
| ROIC | 9.22% | 15.22%● |
Dividends
| Metric | HON | TDG |
|---|---|---|
| Dividend yield | 2.19% | 6.80%● |
| Payout ratio | 33.71% | 280.55% |
Growth (annualized)
| Metric | HON | TDG |
|---|---|---|
| Revenue CAGR (5Y) | 2.42% | 14.19%● |
| EPS CAGR (5Y) | 1.74% | 31.14%● |
| FCF CAGR (5Y) | -4.80% | 13.70%● |
| Total return CAGR (5Y) | -10.26% | 19.83%● |
Frequently asked
- Which is better, HON or TDG?
- It depends on your goal. value: HON (lower P/E); growth: TDG (faster 5Y revenue CAGR); income: TDG (higher dividend yield); quality: TDG (higher ROIC). Across all compared metrics, TDG leads 10 to 6.
- Is HON or TDG cheaper?
- On trailing earnings, HON is cheaper: HON trades at a 16.13 P/E and TDG at 41.31.
- Which has grown faster, HON or TDG?
- Over the past five years, TDG grew revenue faster — HON at a 2.42% CAGR versus TDG at 14.19%.
- Does HON or TDG pay a bigger dividend?
- HON yields 2.19% and TDG yields 6.80% based on trailing dividends and the latest price.
- Is HON or TDG more profitable?
- TDG runs the higher net margin — HON at 11.16% versus TDG at 21.29%.
- Which has been the better investment, HON or TDG?
- Over the past 10-year, TDG delivered the higher annualized total return — HON at 2.67% versus TDG at 23.25%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Honeywell International P/E ratioTransDigm P/E ratioHoneywell International dividend yieldTransDigm dividend yieldHoneywell International ROETransDigm ROEHoneywell International operating marginTransDigm operating marginHoneywell International revenue growthTransDigm revenue growthHoneywell International free cash flowTransDigm free cash flow
Honeywell International & TransDigm appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 30, 2026.