HON vs WDC: Which Is the Better Buy?
Side-by-side comparison of Honeywell International Inc. and Western Digital Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-08-06.
Honeywell International Inc. · Industrials
$222.25
-5.5% upside to fair value
Grade D
High Quality
VS
Western Digital Corporation · Technology
$519.17
-28.7% upside to fair value
Med Conviction
Grade C+
QuantHub Verdict
HON has more upside to fair value
(-5.5%).
HON trades at a lower forward P/E
(15.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
HON |
WDC |
| Current Price |
$222.25 |
$519.17 |
| Fair Value Estimate |
$210.05 |
$370.00 |
| Upside to Fair Value |
-5.5%
|
-28.7%
|
| Market Cap |
$70.4B |
$178.9B |
| Forward P/E |
15.7x
|
27.8x
|
| EV / EBITDA |
13.1x
|
37.3x
|
| Price / Sales |
1.9x
|
13.9x
|
| Price / FCF |
17.1x
|
51.0x
|
| Revenue Growth YoY |
-6.9%
|
+35.7%
|
| Gross Margin |
36.9%
|
48.9%
|
| Operating Margin |
14.9%
|
34.9%
|
| Return on Equity |
23.6%
|
43.4%
|
| Dividend Yield |
0% |
0.1% |
| FCF Yield |
5.84%
|
2.0%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Honeywell International Inc. operates as a diversified industrial conglomerate with a strong presence in multiple sectors including aerospace, building technologies, and performance materials. The company demonstrates high business quality with a durable competitive moat supported by strong margins, a 23.6% return on equity, and solid free cash flow generation of $16.78 per share. However, recent…
Western Digital is now a pure-play, duopoly hard-disk-drive manufacturer, having spun off its NAND flash business as SanDisk in February 2025 and sold its remaining SanDisk stake for $3.1 billion in February 2026. It is riding the same AI-storage supercycle as SanDisk and Micron, but from the mass-capacity nearline HDD side: hyperscalers are buying every high-capacity drive WDC can make for AI da…
Accumulation Zones
| Metric |
HON |
WDC |
| Zone Low |
$157.54 |
$278.00 |
| Zone High |
$178.54 |
$315.00 |
| In Buy Zone? |
No
|
No
|