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Honeywell AerospaceFRA:AW8 -0.15%26 Cash Ratio is 0.03 as of Dec. 2025, which is 25% below its 10-year median of 0.04. GuruFocus rates FRA:AW8 with a GF Score™ of 26/100. The stock has 1 warning sign investors should review. Among 351 Aerospace & Defense companies, Honeywell Aerospace ranks worse than 97.15% on this metric.
Honeywell Aerospace has a Cash Ratio of 0.03. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for Honeywell Aerospace's Cash Ratio or its related term are showing as below:
FRA:AW8'
s Cash Ratio Range Over the Past 10 Years
Min: 0.03 Med: 0.04 Max: 0.04
Current: 0.03
During the past 3 years, Honeywell Aerospace's highest Cash Ratio was 0.04. The lowest was 0.03. And the median was 0.04.
FRA:AW8's Cash Ratio is ranked worse than 97.15% of 351
companies
in the Aerospace & Defense industry
Industry Median: 0.46
vs FRA:AW8: 0.03
Honeywell Aerospace (FRA:AW8) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Honeywell Aerospace Cash Ratio Related Terms
Honeywell Aerospace Cash Ratio Historical Data
* Premium members only.
The historical data trend for Honeywell Aerospace's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Honeywell Aerospace Cash Ratio Chart
Honeywell Aerospace Annual Data
Trend
Dec23
Dec24
Dec25
Cash Ratio
0.00
0.04
0.03
Honeywell Aerospace Semi-Annual Data
Dec23
Dec24
Dec25
Cash Ratio
0.00
0.04
0.03
FRA:AW8 vs TDG, LHX, NOC: Cash Ratio Comparison
For the Aerospace & Defense subindustry, Honeywell Aerospace's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Honeywell Aerospace Cash Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Honeywell Aerospace's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Honeywell Aerospace's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Honeywell Aerospace (FRA:AW8) has a Cash Ratio of 0.03 as of Dec. 2025. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Honeywell Aerospace and its competitors. This is 25% below median its historical median of 0.04. Over the past decade, Honeywell Aerospace's Cash Ratio has ranged from 0.03 to 0.04. According to the industry distribution chart, Honeywell Aerospace ranks #341 out of 351 companies in the Aerospace & Defense industry, placing it in the top 97.2%.
Is Honeywell Aerospace's Cash Ratio too high?
Honeywell Aerospace's current Cash Ratio of 0.03 is 25% below median its 10-year median of 0.04. Over the past 10 years, this metric has ranged from a low of 0.03 to a high of 0.04. The Aerospace & Defense industry median Cash Ratio is 0.46. Honeywell Aerospace's value of 0.03 is 93.5% below this industry median. Based on the distribution chart, Honeywell Aerospace ranks #341 out of 351 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Honeywell Aerospace has a GF Score™ of 26/100, reflecting its overall financial health beyond just this single metric.
How does Honeywell Aerospace's Cash Ratio compare to TDG and LHX?
According to the Aerospace & Defense industry distribution chart, Honeywell Aerospace ranks #341 out of 351 companies for Cash Ratio. This places Honeywell Aerospace in the lower half of its industry. The industry median Cash Ratio is 0.46. Honeywell Aerospace's value of 0.03 is 93.5% below this benchmark. Historically, Honeywell Aerospace's own Cash Ratio has ranged from 0.03 to 0.04 over the past decade. While the company's 10-year median is 0.04 vs. the industry median of 0.46, Honeywell Aerospace has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for an Aerospace & Defense company?
The median Cash Ratio among Aerospace & Defense companies is 0.46, based on 351 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Honeywell Aerospace's current Cash Ratio of 0.03 is 93.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Honeywell Aerospace and its competitors. For the Aerospace & Defense industry, the median Cash Ratio is 0.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Honeywell Aerospace's current Cash Ratio is 0.03, which is 25% below median its own 10-year median of 0.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Honeywell Aerospace stock overvalued right now?
Honeywell Aerospace (FRA:AW8) has a current Cash Ratio of 0.03. The current Cash Ratio is 0.03, which is 25% below median its 10-year median of 0.04 and 93.5% below the Aerospace & Defense industry median of 0.46. Honeywell Aerospace's overall GF Score™ is 26/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Honeywell Aerospace (FRA:AW8), the current Cash Ratio is 0.03 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Honeywell Aerospace Inc operates as an aerospace and defense supplier of systems and technologies that enable the production, maintenance, and safe operation of aerospace and defense platforms. Its products support original equipment manufacturer (OEM), government, defense prime contractor, and aircraft operator customers across the Commercial Air Transport, Business Aviation, and Defense and Space end markets. The company has three operating segments: Electronic Solutions (ES), Engines & Power Systems (E&PS), and Control Systems (CS ). The majority of revenue is derived from the Electronic Solutions segment, which offers Avionics, Navigation and Sensors, Electromagnetic Defensive Solutions, and Space systems. Geographically, the maximum revenue is generated from the United States.
26GF Score
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