That is simply not true. Over the last 15 year period you would have been better off with PEG. I don't mind having good conversation but you can't just twist things around.
Also, I am certainly more happy with my PEG dividend than you can possibly be with the HON dividend. I get both which is really great for me.
I also wish that Honeywell would pay a Special Dividend rather than put $5 billion of our cash into a stock buyback. That puts no money in my pocket now. Perhaps they have to do that in order to prop up the stock price.
I know you like charts but you have got to dig deeper. According to Morningstar the 15-Year Return on PEG is 7.12%. For HON it is only 6.79%. You have to look long term. PEG has been a great investment. HON...not so great.
Now we're getting to the point. I know you never said a stock split was bad. I never said you did. I simply said no one has ever proved that a stock split is bad. So why are you and others so against it. Is it just a pet peeve to be against a stock split. Big companies do split their stock. It doesn't take management off the hook to create good earnings. It creates liquidity, etc., etc. I believe that Honeywell has enough Authorized Shares to do a 2 for 1 split. Let's see if I'm right. It can't hurt.
No one has ever proved that a stock split is bad. Companies that split their stock are usually thriving, foreward looking companies that have strong potential. Please explain why a stock split would be bad for Honeywell.
If Facebook splits its stock will Honeywell be far behind? A stock split would help propel Honeywell stock higher as more people would be inclined to buy it at a lower price/share. The demand would lift the stock price. I'm all for enhancing shareholder value.
As you aptly point out there have been no, that's right, NO Stock Splits under Cote's tenure. It's been 19 years since the last stock split. Most likely this was to suppress liquidity. It's taken 13 years (under Cote) to reach $100/share. That's not so hot. We need a Stock Split.
I already found that stock. It's called Public Service Enterprise Group (PEG). It's split at least 3 times since I've held it and every time the stock price has gone up on more shares. That is how I know the high value of stock splits. And the dividend is better than Honeywell. Forward looking investors see how great stock splits are. Under the right scenario Honeywell can do better. They definitely should split the stock.
Now that a new COO position has been created and filled there is talk that the new guy will replace the current CEO at the end of next year. That signals to me a lame duck period when not a lot is going to get done. So much for enhancing shareholder value. Sure hope I'm wrong.
I think as far as organic growth is concerned this company is spent. There hasn't been and won't be any organic growth. Sales might grow but that's it. They definitely need to acquire new assets. The CEO is always accountable. He's leaving but the replacements appear to come from the same mold. Honeywell has some nice assets that could be desirable to more progressive companies/CEOs. Maybe one will try to acquire Honeywell and we'll see the unlocking of shareholder value. If you have bought it above $100/share you have got to be looking for some good news.
Actually they beat the consensus estimate by 4 cents. Consensus was a loss of .20 and their loss came in at only .16. Therefore positive news and not bad news. The glass is half full.
Interestingly, I worked on the building/expansion of the caprolactam plant in Hopewell. I used to eat lunch at the Quick Lunch. That little eatery wrang you up without a bill and never got it wrong. Great memories.
Perhaps Darius Adamcyzk, our new COO, will endear himself to shareholders by recommending a 2 for 1 Stock Split. We all would like that.
Here's my guess. Probably not at $50 but definitely at $60. If they were to do a split at $50 it would probably be a 3 for 2 split. PEG is a company with great management and employees. They look out for there shareholders. I do hope for a split soon.