Computed head-to-head · 6 dimensions
HON vs ITW
Honeywell International Inc. versus Illinois Tool Works Inc. — yield, safety, growth trend, cost, scale, and tax treatment.
HON and ITW are evenly matched (2–2 across six dimensions) — the right pick comes down to which dimension you weight most.
Neither HON nor ITW wins outright — the two are nearly equivalent across all 6 dimensions, making the choice largely a matter of which account you hold them in and personal preference on yield vs stability. HON and ITW are evenly matched (2–2 across six dimensions) — the right pick comes down to which dimension you weight most.
On dividend safety, ITW scores 8.3/10 (Strong) vs 7.3/10 (Solid) for HON — ITW has a stronger composite of payout coverage, yield zone, and dividend trend signals. On yield, ITW's 2.44% vs 2.05% represents a $390 annual income gap on $100,000 invested.
Scorecard at a glance
| Dimension | HON | ITW | Winner |
|---|---|---|---|
| Yield | 2.05% | 2.44% | ITW wins |
| Dividend safety | 7.3/10 | 8.3/10 | ITW wins |
| Growth trend | +0.04% vs 5y | +0.18% vs 5y | Tie |
| Volatility (beta) | 0.81 | 1.00 | HON wins |
| Scale | $146.8B | $80.4B | HON wins |
| Tax efficiency | Qualified-eligible | Qualified-eligible | Tie |
| Overall | 2 wins | 2 wins | Tie |
Dimension by dimension
ITW wins on yield (2.44% vs 2.05%)
On a $10,000 investment that's about $39 more in annual dividend income before taxes — though higher yield often comes with higher risk.
ITW's higher yield (2.44%) looks attractive but investors should weigh whether the extra income compensates for any additional risk versus HON's 2.05% — especially if the higher yield is driven by covered calls or a falling share price.
ITW wins on safety (8.3/10 vs 7.3/10)
Our score combines yield zone, payout ratio, trend vs 5-year average, instrument type, and size. ITW scores better on the weighted average of those factors.
ITW (8.3/10) scores 1.0 points higher than HON (7.3/10). A higher safety score means lower historical indicators of dividend cut risk — payout ratio, yield zone, and trend all factor in.
Yield trends are similar
Both tickers' current yields sit close to their 5-year averages, suggesting comparable dividend-vs-price trajectories.
HON is less volatile (beta 0.81 vs 1.00)
Lower beta means smaller swings vs the S&P 500 — generally a steadier hold for income investors.
HON is 1.8× larger by market cap
Larger companies tend to have tighter spreads, deeper liquidity, and lower closure risk.
Both pay qualified-dividend-eligible distributions
Neither is structurally flagged for ordinary-income tax treatment. Most distributions should qualify for the lower long-term capital gains rate if holding-period requirements are met.
How we compare these
Every comparison on this page is computed from current public data, not written by hand. Yield comes from the most recent dividend distribution annualized over current price. Safety scores combine yield zone, payout ratio, trend vs 5-year average, instrument type, and size — see our methodology for the exact formula. Tax-efficiency flags identify covered-call ETFs, REITs, and mREITs which distribute primarily as ordinary income.
This is educational, not investment advice.Scores reflect a snapshot of public data on the "as of" dates shown on each ticker's safety page. Verify on the issuer's investor relations page or your brokerage before making decisions.
Frequently asked
Which is better for income, HON or ITW?
HON and ITW are evenly matched (2–2 across six dimensions) — the right pick comes down to which dimension you weight most.
HON vs ITW: which has a higher dividend yield?
HON yields 2.05% and ITW yields 2.44%. On a $10,000 investment that's about $39 more in annual dividend income before taxes — though higher yield often comes with higher risk.
Is HON or ITW a safer dividend in 2026?
HON scores 7.3/10 (Solid) on the Infnits dividend safety scale. ITW scores 8.3/10 (Strong). ITW is the safer pick on our scoring model.
Which has better dividend growth, HON or ITW?
Both tickers' current yields sit close to their 5-year averages, suggesting comparable dividend-vs-price trajectories.
HON vs ITW: which is more tax-efficient?
Neither is structurally flagged for ordinary-income tax treatment. Most distributions should qualify for the lower long-term capital gains rate if holding-period requirements are met.
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