Honeywell Aerospace (NASDAQ:HONA) vs. Loar (NYSE:LOAR) Financial Review

Honeywell Aerospace (NASDAQ:HONA) and Loar (NYSE:LOAR) are both industrials companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, analyst recommendations, dividends, risk, valuation, earnings and institutional ownership.

Analyst Recommendations

This is a summary of current recommendations and price targets for Honeywell Aerospace and Loar, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Honeywell Aerospace	0	10	4	1	2.40
Loar	0	3	3	0	2.50

Honeywell Aerospace currently has a consensus price target of $239.33, indicating a potential upside of 42.03%. Loar has a consensus price target of $85.40, indicating a potential upside of 20.17%. Given Honeywell Aerospace’s higher probable upside, research analysts clearly believe Honeywell Aerospace is more favorable than Loar.

Valuation and Earnings

This table compares Honeywell Aerospace and Loar”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Honeywell Aerospace	$17.91 billion	2.98	N/A	N/A	N/A
Loar	$496.28 million	13.41	$72.15 million	$0.71	100.09

Loar has lower revenue, but higher earnings than Honeywell Aerospace.

Profitability

This table compares Honeywell Aerospace and Loar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Honeywell Aerospace	N/A	N/A	N/A
Loar	12.64%	8.47%	5.35%

Summary

Loar beats Honeywell Aerospace on 5 of the 9 factors compared between the two stocks.

About Honeywell Aerospace

Honeywell Aerospace Inc. manufactures and supplies aircraft components, avionics, engines, and systems for airframe manufacturing, commercial airline, military and defense, business aviation, and space markets, as well as other markets in the aerospace industry. The company offers actuation products, air and thermal management products, auxiliary power units, cabin management and entertainment products, cockpit systems and displays, electric power products, engines, health and usage monitoring products, lighting products, microelectronics, navigation products and radios, recorders and transmitters, satellite communications, sensors, space products, terrain and traffic awareness, vehicle turbochargers, weather radars, and wheels and braking systems. It also provides aerospace trading, asset availability, cabin connectivity, maintenance and service plans, certifications, training, and other flight services; and GoDirect Trade, an e-commerce platform that offers access to new and used air transport and business aircraft parts. The company’s platform includes business jets, airlines/cargo planes, helicopters, defense, space, general aviation, and automotive platforms. It provides products and services to military fixed and rotary wing operators in South America, Latin America, Africa, and the Middle East. The company was founded in 1914 and is based in Phoenix, Arizona. Honeywell Aerospace Inc. is as a prior subsidiary of Honeywell International Inc.

About Loar

Loar Holdings Inc., through its subsidiaries, designs, manufactures, and markets aerospace and defense components for aircraft, and aerospace and defense systems in the United States and internationally. It offers products in various categories, which include airframe components, structural components, avionics, composites, braking system components, de-ice and ice protection, electro-mechanical, engineered materials, flight controls, fluid and motion controls, environmental, metal forming, molded components, and restraints and safety devices. The company also provides auto throttles, lap-belt airbags, two-and three-point seat belts, water purification systems, fire barriers, polyimide washers and bushings, latches, hold-open and tie rods, temperature and fluid sensors and switches, carbon and metallic brake discs, fluid and pneumatic-based ice protection, RAM air components, sealing solutions, actuation devices, and others. It primarily serves commercial, business jet and general aviation, and defense markets. Loar Holdings Inc. was founded in 2017 and is headquartered in White Plains, New York.