BAC vs HON: Which Is the Better Buy?

Side-by-side comparison of Bank of America Corporation and Honeywell International Inc. โ€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-04-11.
Bank of America Corporation ยท Financial Services
$52.54
+7.3% upside to fair value
Grade B+
VS
Honeywell International Inc. ยท Industrials
$235.04
-9.9% upside to fair value
Med Conviction Grade B
QuantHub Verdict
BAC has more upside to fair value (+7.3%). BAC trades at a lower forward P/E (12.1x). These are model outputs โ€” not personalized investment advice. See all research โ†’
Valuation & Fundamentals
Metric BAC HON
Current Price $52.54 $235.04
Fair Value Estimate $56.39 $211.73
Upside to Fair Value +7.3% -9.9%
Market Cap $377.1B $149.4B
Forward P/E 12.1x 22.3x
EV / EBITDA 12.8x 16.9x
Price / Sales 2.0x 4.0x
Price / FCF 29.9x 27.7x
Revenue Growth YoY -0.5% -2.7%
Gross Margin 56.1% 36.9%
Operating Margin 19.7% 17.7%
Return on Equity 10.1% 33.28%
Dividend Yield 2.09% 1.92%
FCF Yield 3.35% 3.61%
Analyst Consensus Buy Buy
Investment Thesis
BAC โ€” Bank of America Corporation
Bank of America is a top-two U.S. bank by assets with $3.4 trillion on its balance sheet, generating $30.5 billion in net income in 2025 on the back of 12.5% earnings growth. The bank benefits from scale in consumer deposits, a recovering investment banking franchise, and an expanding digital platform serving 47 million active users. At 12.7x trailing earnings and 1.97x sales, BAC trades at a faiโ€ฆ
HON โ€” Honeywell International Inc.
Honeywell is a diversified industrial conglomerate in the final stages of a transformative three-way separation into Honeywell Aerospace, Solstice Advanced Materials, and a retained Automation entity, targeting Q3 2026 completion. The business generated 33% ROE and $5.4B in free cash flow on $37.4B revenue in FY2025, supported by a record $37B backlog with 23% organic order growth in Q4. At $235 โ€ฆ
Accumulation Zones
Metric BAC HON
Zone Low $42.29 $158.80
Zone High $47.93 $179.97
In Buy Zone? No No
โ† BAC Research    HON Research โ†’    All Research