5 Best Diversified Stocks to Invest In

In this article, we discuss the 5 best diversified stocks to invest in. If you want to read our detailed analysis of these stocks, go directly to the 10 Best Diversified Stocks to Invest In.

5. Honeywell International Inc. (NASDAQ: HON)

Number of Hedge Fund Holders: 57     

Honeywell International Inc. (NASDAQ: HON) is ranked fifth on our list of 10 best diversified stocks to invest in. The company operates as a diversified technology and manufacturing firm. It is headquartered in North Carolina. 

On July 26, investment advisory Deutsche Bank maintained a Buy rating on Honeywell International Inc. (NASDAQ: HON) stock and raised the price target to $251 from $245. Nicole DeBlase, an analyst at the firm, issued the ratings update. 

At the end of the second quarter of 2021, 57 hedge funds in the database of Insider Monkey held stakes worth $1.8 billion in Honeywell International Inc. (NASDAQ: HON), up from 56 the preceding quarter worth $1.7 billion.

In its Q1 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Honeywell International Inc. (NASDAQ: HON) was one of them. Here is what the fund said:

“The portfolio’s quality bias and valuation discipline have generated compelling returns over time with typically strong relative results in more challenging environments as it did through the first three quarters of 2020. However, that same quality bias tends to create a more challenging relative performance environment for the Strategy during periods of sharp economic acceleration, which tend to benefit stocks that are more commodity linked or of lower quality. This has been the case during the vaccine- and stimulus-driven rally experienced late last year and during the most recent quarter. Sectors that lagged in the quarter included industrials, Honeywell also lagged in the quarter after previously generating strong returns over extended periods.”