LII vs JCI vs HON vs CARR vs EMR

For growth investors, Honeywell International Inc.

(HON) is the stronger pick with 7. 8% revenue growth year-over-year, versus -3. 3% for Carrier Global Corporation (CARR). Lennox International Inc. (LII) offers the better valuation at 23. 5x trailing P/E (21. 5x forward), making it the more compelling value choice. Analysts rate Johnson Controls International plc (JCI) a "Buy" — based on 45 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Lennox International Inc.

(LII) is the cheapest at 23. 5x versus Johnson Controls International plc at 53. 0x. On forward P/E, Honeywell International Inc. is actually cheaper at 20. 2x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Lennox International Inc. wins at 1. 12x versus Honeywell International Inc. 's 11. 03x — a reasonable growth-adjusted valuation.

Over the past 5 years, Johnson Controls International plc (JCI) delivered a total return of +122.

8%, compared to +1. 0% for Honeywell International Inc. (HON). Over 10 years, the gap is even starker: CARR returned +491. 3% versus HON's +132. 4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Honeywell International Inc.

(HON) is the lower-risk stock at 0. 74β versus Emerson Electric Co. 's 1. 57β — meaning EMR is approximately 111% more volatile than HON relative to the S&P 500. On balance sheet safety, Emerson Electric Co. (EMR) carries a lower debt/equity ratio of 68% versus 2% for Honeywell International Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Honeywell International Inc.

(HON) is pulling ahead at 7. 8% versus -3. 3% for Carrier Global Corporation (CARR). On earnings-per-share growth, the picture is similar: Emerson Electric Co. grew EPS 17. 8% year-over-year, compared to -72. 4% for Carrier Global Corporation. Over a 3-year CAGR, EMR leads at 9. 3% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Lennox International Inc.

(LII) is the more profitable company, earning 15. 1% net margin versus 6. 9% for Carrier Global Corporation — meaning it keeps 15. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: EMR leads at 19. 6% versus 9. 9% for CARR. At the gross margin level — before operating expenses — EMR leads at 52. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Lennox International Inc. (LII) is the more undervalued stock at a PEG of 1. 12x versus Honeywell International Inc. 's 11. 03x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Honeywell International Inc. (HON) trades at 20. 2x forward P/E versus 28. 8x for Johnson Controls International plc — 8. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for HON: 14. 4% to $243. 83.

All stocks in this comparison pay dividends.

Honeywell International Inc. (HON) offers the highest yield at 2. 2%, versus 0. 9% for Lennox International Inc. (LII).

For long-horizon retirement investors, Honeywell International Inc.

(HON) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 74), 2. 2% yield, +132. 4% 10Y return). Emerson Electric Co. (EMR) carries a higher beta of 1. 57 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (HON: +132. 4%, EMR: +207. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.