Honeywell Automation India Ltd
HONAUT NSE
Honeywell Automation India Ltd
IndustrialsNSE: HONAUT BSE: 517174 Industrial Manufacturing
Honeywell Automation India Limited (HAIL)was started in the year 1987 as a JV between Tata and Honeywell. It was known as Tata Honeywell Limited each holding 39.54% stake. Later in 2004 Honeywell Asia Pacific Inc. bought Tata's stake and the name was changed to Honeywell Automation India Limited. [1] HAIL is engaged primarily in the business of Automation & Control systems on turnkey basis and others. [2]
AI Verdict: HOLD Confidence: 5%
Honeywell Automation India trades at a steep PE of 62.7x with compounded profit growth of only 2% TTM and 3-year stock CAGR of -4%, making valuation hard to justify. However, the debt-free balance sheet, consistent 14% ROE over 5 years, and improving working capital cycle (26.7 days) provide downside protection for this MNC subsidiary.
Key Fundamentals
SmallcapIndustrial ProductsCapital GoodsMarket Cap
₹34,765 Cr
Volatility
High Risk
P/E Ratio
66.36
EBITDA
₹593 Cr
Return on Equity
13.9%
Debt to Equity
0.02
Book Value
₹5,048.35
EPS
₹604.64
52W High
₹41,450
52W Low
₹26,220
Technical Indicators
Key Insights
Strengths
3- Company is almost debt free.
- Company has been maintaining a healthy dividend payout of 17.9%
- Company's working capital requirements have reduced from 36.9 days to 26.7 days
Weaknesses
3- Stock is trading at 7.73 times its book value
- The company has delivered a poor sales growth of 9.00% over past five years.
- Company has a low return on equity of 13.6% over last 3 years.
Growth Rate
Revenue Growth
7.10% ↗
Net Income Growth
-3.02% ↘
Cash Flow Change
-2.83% ↘
ROE
-6.69% ↘
ROCE
-6.93% ↘
EBITDA Margin (Avg.)
-30.44% ↘
AI Analysis — Bull vs Bear
anthropic claude-opus-4.6 3d agoHOLD
Risk medium
Honeywell Automation India trades at a steep PE of 62.7x with compounded profit growth of only 2% TTM and 3-year stock CAGR of -4%, making valuation hard to justify. However, the debt-free balance sheet, consistent 14% ROE over 5 years, and improving working capital cycle (26.7 days) provide downside protection for this MNC subsidiary.
Bull Case 8
- Company is virtually debt-free, providing strong financial flexibility and zero interest burden on earnings
- 10-year compounded profit growth of 14% demonstrates long-term earnings power and business quality
- Working capital days reduced from 36.9 to 26.7 days, indicating improving operational efficiency and cash conversion
- TTM sales growth of 12% shows acceleration from the 5-year CAGR of 9%, suggesting improving demand momentum
- Consistent ROE of 14% over both 3-year and 5-year periods reflects stable return generation on equity capital
- Healthy dividend payout ratio of 17.9% provides income support to shareholders despite low 0.3% yield
- 10-year stock CAGR of 15% demonstrates proven long-term wealth creation track record for patient investors
- MNC parentage (Honeywell Inc.) provides access to global technology, best practices, and order pipeline in industrial automation
Bear Case 8
- PE ratio of 62.7x is extremely elevated for a company delivering only 2% TTM profit growth, implying significant overvaluation risk
- 3-year stock CAGR of -4% and 5-year stock CAGR of -2% show sustained value destruction for medium-term investors
- Price-to-book of 7.38x is excessive, offering minimal margin of safety if earnings disappoint
- 5-year compounded sales growth of only 9% is poor for a company commanding premium industrial sector multiples
- ROE has declined from 16% (10-year average) to 13% last year, showing deteriorating capital efficiency
- Compounded profit growth of just 3% over 5 years significantly lags the 9% sales growth, indicating margin compression
- Dividend yield of only 0.3% provides negligible income return relative to risk-free alternatives yielding 7%+
- Only 5 analyst ratings with 20% recommending sell suggests limited institutional coverage and mixed sentiment
This is AI-generated analysis, not financial advice. Do your own due diligence.
AI News Digest
anthropic claude-opus-4.6 14h ago Neutral 2
- 42nd AGM scheduled Jun 6 Jun 6
Honeywell Automation published newspaper advertisements in Financial Express and Loksatta for its 42nd AGM scheduled on June 6, 2026.
- ₹25.93 Cr block trade on NSE Jun 2
A block trade of approximately 7,355 shares was executed at ₹35,255.00 per share on the NSE, totalling ₹25.93 crores, indicating institutional investor activity.
TL;DR: Limited news flow for Honeywell Automation India this week with only routine corporate governance activity (AGM notice) and a modest ₹25.93 Cr block trade suggesting steady institutional interest. No material headwinds or catalysts emerged. The stock remains in a quiet phase with no visible trend deterioration or improvement from recent developments.
Quarterly Results
| Mar 2023 | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 850 | 932 | 1,104 | 1,071 | 951 | 960 | 1,024 | 1,091 | 1,114 | 1,183 | 1,149 | 1,169 | 1,181 |
| Expenses | 711 | 812 | 966 | 910 | 781 | 806 | 895 | 949 | 955 | 1,042 | 1,018 | 1,021 | 996 |
| Operating Profit | 139 | 121 | 138 | 161 | 170 | 154 | 129 | 142 | 159 | 142 | 132 | 148 | 185 |
| OPM % | 16% | 13% | 13% | 15% | 18% | 16% | 13% | 13% | 14% | 12% | 11% | 13% | 16% |
| Other Income | 27 | 33 | 40 | 28 | 42 | 44 | 41 | 50 | 47 | 42 | 44 | 34 | 47 |
| Interest | 0 | 1 | 1 | 1 | 1 | 1 | 1 | 2 | 2 | 2 | 2 | 4 | 1 |
| Depreciation | 14 | 14 | 14 | 13 | 14 | 13 | 14 | 14 | 14 | 13 | 13 | 13 | 15 |
| PBT | 152 | 139 | 164 | 174 | 197 | 184 | 155 | 176 | 190 | 168 | 161 | 165 | 215 |
| Tax % | 26% | 26% | 26% | 27% | 25% | 26% | 26% | 25% | 26% | 26% | 26% | 26% | 26% |
| Net Profit | 112 | 103 | 122 | 128 | 148 | 136 | 115 | 132 | 140 | 125 | 120 | 121 | 160 |
| EPS in Rs | 127 | 117 | 138 | 145 | 168 | 154 | 130 | 149 | 158 | 141 | 135 | 137 | 181 |
Profit & Loss
| Mar 2015 15m | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 2,404 | 2,188 | 2,410 | 2,690 | 3,175 | 3,290 | 3,043 | 2,948 | 3,448 | 4,058 | 4,190 | 4,682 |
| Expenses | 2,192 | 1,967 | 2,121 | 2,319 | 2,668 | 2,650 | 2,451 | 2,512 | 2,926 | 3,463 | 3,599 | 4,076 |
| Operating Profit | 212 | 221 | 289 | 371 | 506 | 640 | 592 | 436 | 521 | 595 | 590 | 606 |
| OPM % | 9% | 10% | 12% | 14% | 16% | 19% | 19% | 15% | 15% | 15% | 14% | 13% |
| Other Income | -18 | 24 | 37 | 29 | 71 | 97 | 84 | 82 | 128 | 143 | 182 | 167 |
| Interest | 0 | 3 | 3 | 4 | 6 | 10 | 9 | 9 | 6 | 9 | 12 | 10 |
| Depreciation | 17 | 15 | 16 | 15 | 16 | 41 | 49 | 52 | 52 | 54 | 54 | 54 |
| PBT | 177 | 226 | 307 | 381 | 555 | 687 | 618 | 458 | 591 | 675 | 706 | 709 |
| Tax % | 36% | 38% | 45% | 34% | 35% | 28% | 26% | 26% | 26% | 26% | 26% | 26% |
| Net Profit | 114 | 141 | 169 | 250 | 359 | 491 | 460 | 339 | 438 | 501 | 524 | 525 |
| EPS in Rs | 129 | 160 | 192 | 282 | 406 | 556 | 520 | 384 | 495 | 567 | 592 | 594 |
| Div. Payout % | 10% | 6% | 5% | 11% | 11% | 13% | 16% | 23% | 19% | 18% | 18% | 18% |
Balance Sheet
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Equity Capital | 9 | 9 | 9 | 9 | 9 | 9 | 9 | 9 | 9 | 9 | 9 | 9 |
| Reserves | 873 | 1,013 | 1,171 | 1,410 | 1,739 | 2,169 | 2,570 | 2,828 | 3,180 | 3,597 | 4,029 | 4,454 |
| Borrowings | 0 | 0 | 0 | 0 | 0 | 81 | 74 | 56 | 36 | 60 | 101 | 110 |
| Other Liabilities | 601 | 740 | 771 | 1,013 | 1,143 | 1,198 | 1,300 | 1,118 | 1,226 | 1,229 | 1,466 | 1,656 |
| Total Liabilities | 1,483 | 1,762 | 1,951 | 2,432 | 2,891 | 3,457 | 3,953 | 4,011 | 4,450 | 4,895 | 5,605 | 6,229 |
| Fixed Assets | 85 | 84 | 79 | 84 | 85 | 193 | 217 | 181 | 151 | 170 | 202 | 202 |
| CWIP | 7 | 2 | 3 | 1 | 8 | 14 | 2 | 2 | 2 | 2 | 3 | 3 |
| Investments | 76 | 79 | 83 | 78 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Assets | 1,315 | 1,597 | 1,787 | 2,269 | 2,797 | 3,250 | 3,734 | 3,828 | 4,297 | 4,723 | 5,400 | 6,024 |
| Total Assets | 1,483 | 1,762 | 1,951 | 2,432 | 2,891 | 3,457 | 3,953 | 4,011 | 4,450 | 4,895 | 5,605 | 6,229 |
Cash Flow
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating | 13 | 166 | 215 | 263 | 312 | 330 | 364 | 264 | 410 | 439 | 426 | 493 |
| Investing | -140 | 46 | -85 | -172 | -443 | -212 | -307 | -106 | -118 | 2,008 | -8 | -2,964 |
| Financing | -11 | -13 | -11 | -11 | -34 | -70 | -89 | -99 | -102 | -106 | -110 | -116 |
| Net Cash Flow | -138 | 199 | 119 | 80 | -165 | 48 | -32 | 59 | 190 | 2,342 | 308 | -2,587 |
| Free Cash Flow | -24 | 156 | 203 | 244 | 289 | 271 | 317 | 253 | 388 | 407 | 399 | 460 |
| CFO/OP | 43 | 117 | 120 | 114 | 103 | 83 | 80 | 96 | 90 | 94 | 104 | 120 |
Ratios
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debtor Days | 52 | 84 | 76 | 80 | 72 | 80 | 115 | 84 | 99 | 83 | 93 | 90 |
| Inventory Days | 33 | 29 | 27 | 21 | 23 | 27 | 23 | 23 | 33 | 25 | 34 | 27 |
| Days Payable | 114 | 153 | 161 | 201 | 184 | 188 | 261 | 169 | 144 | 120 | 123 | 130 |
| Cash Conversion Cycle | -28 | -40 | -58 | -100 | -89 | -81 | -124 | -62 | -12 | -12 | 5 | -12 |
| Working Capital Days | 39 | 47 | 34 | 21 | 21 | 30 | 52 | 58 | 52 | 45 | 39 | 27 |
| ROCE % | 26% | 24% | 28% | 30% | 35% | 35% | 26% | 17% | 20% | 20% | 18% | 17% |
Documents
1
Format of the Initial Disclosure to be made by an entity identified as a Large Corporate : Annexure A
30 Apr - Company says SEBI large corporate initial disclosure not applicable for FY 2026-27. 30 Apr - Company says SEBI large corporate initial disclosure not applicable for FY 2026-27.
2
Format of the Initial Disclosure to be made by an entity identified as a Large Corporate : Annexure A
30 Apr - Company says SEBI large corporate initial disclosure not applicable for FY 2026-27. 30 Apr - Company says SEBI large corporate initial disclosure not applicable for FY 2026-27.
3
Board Meeting Intimation for Financial Results Of The Company For The Quarter And Financial Year Ended March 31, 2026 And Recommendation Of Dividend, If Any, For The Financial Year Ended March 31, 2026
20 Apr - Board meeting on May 20, 2026 to approve FY26 audited results and consider dividend. 20 Apr - Board meeting on May 20, 2026 to approve FY26 audited results and consider dividend.
4
Announcement under Regulation 30 (LODR)-Change in Management
20 Apr - Pulkit Goyal's CFO tenure extended to May 20, 2026; resignation effective May 21, 2026. 20 Apr - Pulkit Goyal's CFO tenure extended to May 20, 2026; resignation effective May 21, 2026.
5
Board Meeting Intimation for Financial Results Of The Company For The Quarter And Financial Year Ended March 31, 2026 And Recommendation Of Dividend, If Any, For The Financial Year Ended March 31, 2026
9h - Board meeting on May 20, 2026 to approve FY26 audited results and consider dividend. 9h - Board meeting on May 20, 2026 to approve FY26 audited results and consider dividend.
Frequently Asked Questions about Honeywell Automation India Ltd
What does Honeywell Automation India Ltd do?
Honeywell Automation India Limited (HAIL)was started in the year 1987 as a JV between Tata and Honeywell. It was known as Tata Honeywell Limited each holding 39.54% stake. Later in 2004 Honeywell Asia Pacific Inc. bought Tata's stake and the name was changed to Honeywell Automation India Limited....
Where is Honeywell Automation India Ltd (HONAUT) listed?
Honeywell Automation India Ltd is listed on the Indian stock exchanges. It is listed on NSE: HONAUT and BSE: 517174. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Honeywell Automation India Ltd belong to?
Honeywell Automation India Ltd operates in the Industrials sector within the Industrial Manufacturing industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Honeywell Automation India Ltd?
Honeywell Automation India Ltd has a market capitalisation of approximately ₹34764.87 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Honeywell Automation India Ltd?
The Price-to-Earnings (PE) ratio of Honeywell Automation India Ltd is 66.36. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Honeywell Automation India Ltd?
Over the past 52 weeks, Honeywell Automation India Ltd has traded between a low of ₹26,220 and a high of ₹41,450. This range helps investors understand the stock's price volatility and recent trading levels.
Does Honeywell Automation India Ltd pay dividends?
Yes, Honeywell Automation India Ltd has a dividend yield of 0.28%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Honeywell Automation India Ltd?
Honeywell Automation India Ltd has a Return on Equity (ROE) of 13.90%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Honeywell Automation India Ltd on Tapetide?
On Tapetide, you can view Honeywell Automation India Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.
Company Information
Honeywell Automation India Limited (HAIL)was started in the year 1987 as a JV between Tata and Honeywell. It was known as Tata Honeywell Limited each holding 39.54% stake. Later in 2004 Honeywell Asia Pacific Inc. bought Tata's stake and the name was changed to Honeywell Automation India Limited. [1] HAIL is engaged primarily in the business of Automation & Control systems on turnkey basis and others. [2]
CEO Mr. Atul Vinayak Pai
Employees 3,140
Listed 2003-07-18
Face Value ₹ 10
Issued Size 88,41,523