Honeywell International (NASDAQ:HON) Announces Earnings Results

Key Points

• Honeywell reported Q1 adjusted EPS of $2.45, beating estimates, but revenue of $9.14 billion missed consensus; the company updated FY‑2026 guidance to $10.35–$10.65 EPS and Q2 guidance to $2.35–$2.45.
• Management will complete the Aerospace spin‑off on June 29, creating two pure‑play companies and backed by about $20 billion of financing, while continuing portfolio sales (WWS, Productivity Solutions) to simplify RemainCo.
• Near‑term headwinds—temporary aerospace supply‑chain constraints and Middle‑East related logistics (‑~0.5% Q1 revenue, ~1% assumed in Q2)—helped drive a market reaction (stock down ~2.6%) despite strong orders and backlog.

Honeywell International (NASDAQ:HON - Get Free Report) posted its earnings results on Thursday. The conglomerate reported $2.45 EPS for the quarter, topping analysts' consensus estimates of $2.33 by $0.12, FiscalAI reports. The company had revenue of $9.14 billion for the quarter, compared to the consensus estimate of $9.30 billion. Honeywell International had a return on equity of 40.64% and a net margin of 12.74%.Honeywell International's quarterly revenue was up 2.4% compared to the same quarter last year. During the same period in the previous year, the business earned $2.21 earnings per share. Honeywell International updated its FY 2026 guidance to 10.350-10.650 EPS and its Q2 2026 guidance to 2.350-2.450 EPS.

Here are the key takeaways from Honeywell International's conference call:

• Honeywell will complete the Honeywell Aerospace spin‑off on June 29, creating two pure‑play companies and backed by $20 billion of spin financing and investment‑grade ratings.
• Strong Q1 results — organic orders +7%, backlog above $38 billion with book‑to‑bill >1.1, segment margin expanded ~90 bps, and adjusted EPS rose 11%.
• Aerospace faced temporary mechanical supply‑chain constraints that depressed January–February output (recovered in March), causing near‑term revenue pressure despite management maintaining high‑single‑digit full‑year growth guidance.
• The Middle East conflict reduced revenue by ~0.5% in Q1 (management assumes ~1% impact in Q2), mainly affecting Process Automation & Technology via shipment/logistics delays, but leadership expects a second‑half ramp as backlog converts.
• Portfolio reshaping continues — agreements to sell Productivity Solutions & Services and Warehouse & Workflow (expected H2‑2026 close), plus an amended Johnson Matthey Catalyst Technologies acquisition, which should simplify RemainCo and focus growth priorities.

Honeywell International Trading Down 2.6%

NASDAQ HON traded down $5.82 during trading hours on Thursday, hitting $214.15. 3,786,188 shares of the company's stock were exchanged, compared to its average volume of 4,191,780. The business's 50 day moving average is $233.86 and its 200-day moving average is $215.37. Honeywell International has a 12-month low of $185.13 and a 12-month high of $248.18. The firm has a market capitalization of $135.70 billion, a P/E ratio of 26.85, a price-to-earnings-growth ratio of 3.23 and a beta of 0.93. The company has a debt-to-equity ratio of 1.81, a quick ratio of 1.03 and a current ratio of 1.30.

Honeywell International Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 13th. Investors of record on Friday, February 27th were given a dividend of $1.19 per share. The ex-dividend date was Friday, February 27th. This represents a $4.76 annualized dividend and a yield of 2.2%. Honeywell International's dividend payout ratio is 59.57%.

Insider Activity

In related news, Director D Scott Davis sold 2,367 shares of the stock in a transaction dated Thursday, February 19th. The stock was sold at an average price of $240.00, for a total transaction of $568,080.00. Following the transaction, the director directly owned 31,081 shares in the company, valued at approximately $7,459,440. This represents a 7.08% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, VP Robert D. Mailloux sold 10,549 shares of the stock in a transaction dated Friday, January 30th. The stock was sold at an average price of $229.00, for a total value of $2,415,721.00. Following the transaction, the vice president owned 4,803 shares in the company, valued at $1,099,887. This trade represents a 68.71% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 18,190 shares of company stock worth $4,244,287 over the last quarter. 0.15% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Honeywell International

Several institutional investors and hedge funds have recently added to or reduced their stakes in HON. Cibc World Markets Corp acquired a new stake in Honeywell International during the fourth quarter worth about $219,787,000. Marshall Wace LLP increased its stake in Honeywell International by 130.0% during the third quarter. Marshall Wace LLP now owns 1,845,032 shares of the conglomerate's stock worth $388,379,000 after acquiring an additional 1,042,972 shares during the last quarter. Two Sigma Investments LP increased its stake in Honeywell International by 424.3% during the third quarter. Two Sigma Investments LP now owns 1,153,754 shares of the conglomerate's stock worth $242,865,000 after acquiring an additional 933,694 shares during the last quarter. Pinebridge Investments LLC acquired a new stake in shares of Honeywell International in the fourth quarter valued at about $173,123,000. Finally, Morgan Stanley grew its stake in shares of Honeywell International by 4.7% in the fourth quarter. Morgan Stanley now owns 19,425,421 shares of the conglomerate's stock valued at $3,789,706,000 after buying an additional 879,309 shares in the last quarter. 75.91% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on the company. Deutsche Bank Aktiengesellschaft upped their price objective on Honeywell International from $273.00 to $292.00 and gave the company a "buy" rating in a research report on Wednesday, March 4th. JPMorgan Chase & Co. upped their price objective on Honeywell International from $255.00 to $260.00 and gave the company an "overweight" rating in a research report on Friday, January 30th. Vertical Research downgraded Honeywell International from a "buy" rating to a "hold" rating and set a $220.00 price objective on the stock. in a research report on Monday, January 5th. BMO Capital Markets assumed coverage on Honeywell International in a research report on Friday, March 27th. They issued an "outperform" rating and a $273.00 price objective on the stock. Finally, Sanford C. Bernstein set a $255.00 price objective on Honeywell International in a research report on Friday, January 16th. Thirteen equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $251.83.

Trending Headlines about Honeywell International

Here are the key news stories impacting Honeywell International this week:

• Positive Sentiment: Honeywell agreed to sell its Warehouse & Workflow Solutions (WWS) business to American Industrial Partners in an all‑cash deal, reducing portfolio complexity and raising cash ahead of planned spin‑offs. Article Title
• Positive Sentiment: Quantinuum (Honeywell’s majority‑owned quantum unit) has confidentially filed for a U.S. IPO, which could unlock value for Honeywell shareholders over time. Article Title
• Neutral Sentiment: Management recast historical segment reporting and updated the automation reporting structure — an accounting/operational change that improves comparability but is unlikely to move the stock immediately. Article Title
• Neutral Sentiment: Honeywell reiterated its Aerospace spin‑off timetable (targeting late June for the separation) and continues active restructuring and divestitures — strategic moves that carry long‑term potential but add near‑term execution risk. Article Title
• Negative Sentiment: Q1 revenue missed expectations — $9.14B reported vs. ~$9.30B consensus — and investors focused on the top‑line shortfall despite an adjusted EPS beat ($2.45 vs. ~$2.32). Market reaction penalized the stock for weaker sales momentum. Article Title
• Negative Sentiment: Q2 guidance came in below Street expectations (EPS and revenue ranges tightened lower), and full‑year revenue midpoint is slightly under consensus — raising near‑term earnings visibility concerns. Article Title
• Negative Sentiment: Broader market weakness and geopolitics (Middle East tensions) are pressuring sentiment for industrials and were cited as drivers of softer demand and supply‑chain disruption that weight Honeywell’s outlook. Article Title

Honeywell International Company Profile

Honeywell International Inc is a diversified, publicly traded multinational conglomerate NASDAQ: HON that designs and manufactures a wide range of commercial and consumer products, engineering services and aerospace systems. The company operates through major business platforms that historically include Aerospace; Building Technologies; Performance Materials and Technologies; and Safety and Productivity Solutions. Its portfolio spans avionics and propulsion systems, building controls and HVAC equipment, process technologies and advanced materials, industrial automation software, and personal protective equipment and scanning solutions.

Honeywell's aerospace business supplies aircraft manufacturers and operators with engines and auxiliary power units, avionics, flight safety systems and aftermarket services.

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