Honeywell International (HON)
Market Price (10/24/2026): $220.84 | Market Cap: $70.0 BilSector: Industrials | Industry: Industrial Conglomerates
Honeywell International (HON)
Market Price (10/24/2026): $220.84Market Cap: $70.0 BilSector: IndustrialsIndustry: Industrial Conglomerates
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 14%, Dividend Yield is 3.7%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 8.4% Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 58% Stock buyback supportStock Buyback 3Y Total is 8.0 Bil Low stock price volatilityVol 12M is 26% Megatrend and thematic driversMegatrends include Automation & Robotics, Smart Buildings & Proptech, Advanced Aviation & Space, and Energy Transition & Decarbonization. Show more. | Weak multi-year price returns2Y Excs Rtn is -21%, 3Y Excs Rtn is -42% | Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 36x Key risksHON key risks include [1] potential liabilities from a history of litigation and legacy pollution sites and [2] increased compliance costs from evolving environmental regulations on substances like PFAS. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 14%, Dividend Yield is 3.7%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 8.4% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 58% |
| Stock buyback supportStock Buyback 3Y Total is 8.0 Bil |
| Low stock price volatilityVol 12M is 26% |
| Megatrend and thematic driversMegatrends include Automation & Robotics, Smart Buildings & Proptech, Advanced Aviation & Space, and Energy Transition & Decarbonization. Show more. |
| Weak multi-year price returns2Y Excs Rtn is -21%, 3Y Excs Rtn is -42% |
| Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 36x |
| Key risksHON key risks include [1] potential liabilities from a history of litigation and legacy pollution sites and [2] increased compliance costs from evolving environmental regulations on substances like PFAS. |
Qualitative Assessment
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Honeywell International (HON) stock has remained largely at the same level since 6/30/2026 because of the following key factors:
1. Strong Fiscal Q3 2026 Operational Performance and Raised Full-Year Guidance.
Honeywell delivered robust operational results for fiscal Q3 2026, reporting 7% organic sales growth and a significant 370 basis point expansion in segment margin, reaching 21.3%. This performance was driven by broad-based strength across all segments and effective pricing actions. The company further boosted investor confidence by raising its full-year 2026 adjusted EPS guidance to a range of $8.40-$8.45 (an increase from the prior $8.05-$8.35) and increasing its free cash flow guidance to $2.1 billion. The adjusted EPS of $2.27 for Q3 also beat analyst estimates of $2.16 by 5.1%, despite a slight revenue miss.
2. Strategic Focus as a Pure-Play Automation Company.
Fiscal Q3 2026 marked Honeywell's first full quarter operating as a standalone pure-play automation company following the spin-off of its aerospace business on June 29, 2026. The positive performance in this new, more focused structure, evidenced by a 23% increase in segment profit, helped validate the strategic shift and reinforced investor confidence in the company's ability to execute its long-term strategy. Management also confirmed plans to eliminate remaining stranded costs related to prior spin-offs and divestitures by the end of 2026, six months ahead of schedule.
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Honeywell International (HON) stock has remained largely at the same level since 6/30/2026 because of the following key factors:
1. Strong Fiscal Q3 2026 Operational Performance and Raised Full-Year Guidance.
Honeywell delivered robust operational results for fiscal Q3 2026, reporting 7% organic sales growth and a significant 370 basis point expansion in segment margin, reaching 21.3%. This performance was driven by broad-based strength across all segments and effective pricing actions. The company further boosted investor confidence by raising its full-year 2026 adjusted EPS guidance to a range of $8.40-$8.45 (an increase from the prior $8.05-$8.35) and increasing its free cash flow guidance to $2.1 billion. The adjusted EPS of $2.27 for Q3 also beat analyst estimates of $2.16 by 5.1%, despite a slight revenue miss.
2. Strategic Focus as a Pure-Play Automation Company.
Fiscal Q3 2026 marked Honeywell's first full quarter operating as a standalone pure-play automation company following the spin-off of its aerospace business on June 29, 2026. The positive performance in this new, more focused structure, evidenced by a 23% increase in segment profit, helped validate the strategic shift and reinforced investor confidence in the company's ability to execute its long-term strategy. Management also confirmed plans to eliminate remaining stranded costs related to prior spin-offs and divestitures by the end of 2026, six months ahead of schedule.
3. Balancing Act of Macroeconomic Tailwinds and Headwinds.
The broader economic environment during fiscal Q3 2026 presented a mixed picture for industrial conglomerates like Honeywell. The U.S. economy demonstrated resilience, fueled by strong AI-related business investment and stable employment, with Q3 GDP growth projected to be robust. The industrials sector, in which Honeywell operates, generally outperformed during this quarter. However, persistent inflation, exacerbated by rising energy costs, led the Federal Reserve to implement a 0.25% interest rate hike in September 2026 and signal potential further increases. This combination of underlying economic strength and inflationary/monetary tightening concerns created a cautious yet supportive backdrop, contributing to the stock maintaining a relatively stable level as these forces largely offset each other.
4. Mixed Analyst Sentiment and Price Target Adjustments.
While Honeywell generally maintained a "Buy" or "Hold" consensus rating from analysts, some firms adjusted their price targets downward in October 2026, around the Q3 earnings report. For example, Mizuho cut its target to $255 from $265, Citigroup to $270 from $279, and JP Morgan to $240 from $255. Despite these adjustments, the average analyst price target remained at $249.60 as of October 21, 2026, suggesting a potential upside of 14.33% from the stock's closing price around that time. This blend of continued positive long-term outlook from analysts, despite some near-term re-evaluation of price targets, contributed to the stock's largely stable movement.
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Stock Movement Drivers
Fundamental Drivers
The -0.9% change in HON stock from 6/30/2026 to 10/23/2026 was primarily driven by a -42.4% change in the company's P/E Multiple.| (LTM values as of) | 6302026 | 10232026 | Change |
|---|---|---|---|
| Stock Price ($) | 223.23 | 221.15 | -0.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 46,133 | 46,595 | 1.0% |
| Net Income Margin (%) | 8.9% | 15.1% | 70.3% |
| P/E Multiple | 17.3 | 10.0 | -42.4% |
| Shares Outstanding (Mil) | 317 | 318 | 0.0% |
| Cumulative Contribution | -0.9% |
Market Drivers
6/30/2026 to 10/23/2026| Return | Correlation | |
|---|---|---|
| HON | -0.9% | |
| Market (SPY) | 1.8% | 16.1% |
| Sector (XLI) | -11.1% | 51.0% |
Fundamental Drivers
The -2.3% change in HON stock from 3/31/2026 to 10/23/2026 was primarily driven by a -34.4% change in the company's P/E Multiple.| (LTM values as of) | 3312026 | 10232026 | Change |
|---|---|---|---|
| Stock Price ($) | 226.26 | 221.15 | -2.3% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 45,915 | 46,595 | 1.5% |
| Net Income Margin (%) | 10.3% | 15.1% | 46.9% |
| P/E Multiple | 15.2 | 10.0 | -34.4% |
| Shares Outstanding (Mil) | 317 | 318 | 0.0% |
| Cumulative Contribution | -2.3% |
Market Drivers
3/31/2026 to 10/23/2026| Return | Correlation | |
|---|---|---|
| HON | -2.3% | |
| Market (SPY) | 17.2% | 34.3% |
| Sector (XLI) | 2.0% | 55.6% |
Fundamental Drivers
The 12.5% change in HON stock from 9/30/2025 to 10/23/2026 was primarily driven by a 35.9% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 9302025 | 10232026 | Change |
|---|---|---|---|
| Stock Price ($) | 196.53 | 221.15 | 12.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 34,282 | 46,595 | 35.9% |
| Net Income Margin (%) | 16.7% | 15.1% | -9.2% |
| P/E Multiple | 11.0 | 10.0 | -9.1% |
| Shares Outstanding (Mil) | 319 | 318 | 0.4% |
| Cumulative Contribution | 12.5% |
Market Drivers
9/30/2025 to 10/23/2026| Return | Correlation | |
|---|---|---|
| HON | 12.5% | |
| Market (SPY) | 15.0% | 34.8% |
| Sector (XLI) | 7.7% | 57.7% |
Fundamental Drivers
The 33.8% change in HON stock from 9/30/2023 to 10/23/2026 was primarily driven by a 28.9% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 9302023 | 10232026 | Change |
|---|---|---|---|
| Stock Price ($) | 165.28 | 221.15 | 33.8% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 36,147 | 46,595 | 28.9% |
| Net Income Margin (%) | 15.1% | 15.1% | 0.3% |
| P/E Multiple | 10.1 | 10.0 | -1.3% |
| Shares Outstanding (Mil) | 333 | 318 | 4.8% |
| Cumulative Contribution | 33.8% |
Market Drivers
9/30/2023 to 10/23/2026| Return | Correlation | |
|---|---|---|
| HON | 33.8% | |
| Market (SPY) | 83.9% | 49.2% |
| Sector (XLI) | 68.9% | 61.3% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| HON Return | -0% | 5% | 0% | 10% | -6% | 12% | 21% |
| Peers Return | 35% | -2% | 26% | 43% | 41% | 12% | 280% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 12% | 104% |
Monthly Win Rates [3] | |||||||
| HON Win Rate | 58% | 42% | 33% | 42% | 33% | 50% | |
| Peers Win Rate | 70% | 45% | 57% | 63% | 65% | 56% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| HON Max Drawdown | -14% | -23% | -17% | -11% | -19% | -19% | |
| Peers Max Drawdown | -15% | -31% | -22% | -15% | -24% | -20% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: RTX, GE, ETN, JCI, EMR. See HON Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 10/23/2026 (YTD)
How Low Can It Go
| Event | HON | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -12.8% | -18.8% |
| % Gain to Breakeven | 14.7% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -15.6% | -9.5% |
| % Gain to Breakeven | 18.4% | 10.5% |
| Time to Breakeven | 61 days | 24 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -18.0% | -24.5% |
| % Gain to Breakeven | 21.9% | 32.4% |
| Time to Breakeven | 28 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -42.3% | -33.7% |
| % Gain to Breakeven | 73.2% | 50.9% |
| Time to Breakeven | 225 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -21.6% | -19.2% |
| % Gain to Breakeven | 27.5% | 23.8% |
| Time to Breakeven | 87 days | 105 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -13.4% | -12.2% |
| % Gain to Breakeven | 15.5% | 13.9% |
| Time to Breakeven | 53 days | 62 days |
In The Past
Honeywell International's stock fell -12.8% during the 2025 US Tariff Shock. Such a loss loss requires a 14.7% gain to breakeven.
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Asset Allocation
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| Event | HON | S&P 500 |
|---|---|---|
| 2020 COVID-19 Crash | ||
| % Loss | -42.3% | -33.7% |
| % Gain to Breakeven | 73.2% | 50.9% |
| Time to Breakeven | 225 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -21.6% | -19.2% |
| % Gain to Breakeven | 27.5% | 23.8% |
| Time to Breakeven | 87 days | 105 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -25.1% | -17.9% |
| % Gain to Breakeven | 33.5% | 21.8% |
| Time to Breakeven | 140 days | 123 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -61.1% | -53.4% |
| % Gain to Breakeven | 156.8% | 114.4% |
| Time to Breakeven | 694 days | 1085 days |
In The Past
Honeywell International's stock fell -12.8% during the 2025 US Tariff Shock. Such a loss loss requires a 14.7% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Honeywell International (HON)
Honeywell International Inc. (HON) is a global diversified technology and manufacturing company that provides a wide array of products and services across critical industries worldwide. A significant part of its business lies in its Aerospace segment, which serves the aviation industry by supplying essential components such as propulsion engines, integrated avionics, environmental control systems, flight safety solutions, and radar systems. This segment also provides spare parts and comprehensive maintenance, repair, and overhaul (MRO) services for commercial, defense, and space applications globally.
The company also makes commercial buildings smarter and safer through its Honeywell Building Technologies segment, offering software for building control and optimization, along with sensors, access control systems, video surveillance, and fire safety solutions for various facilities. Additionally, Honeywell's Performance Materials and Technologies segment supports industrial process industries with automation control, instrumentation, and specialized software. It further supplies advanced materials, including catalysts and adsorbents, and high-performance materials used in products ranging from bullet-resistant armor and nylon to computer chips and pharmaceutical packaging.
Lastly, Honeywell's Safety and Productivity Solutions segment addresses critical needs in workplace safety and operational efficiency. This segment provides personal protection equipment (PPE), advanced gas detection technology, and cloud-based emergency messaging systems. It also specializes in enhancing supply chain and warehouse operations through automation equipment and software solutions, alongside offering mobile devices, custom-engineered sensors, and data management software for diverse industrial and logistical customers.
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Here are 1-2 brief analogies to describe Honeywell International:
- Honeywell is a diversified industrial technology powerhouse, much like a Siemens with a significant aerospace division, providing essential systems and software for airplanes, smart buildings, and manufacturing.
- Consider Honeywell as the 'Intel Inside' for the industrial world, supplying critical systems and software that power everything from aircraft and building infrastructure to factory automation and worker safety.
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- Aerospace Systems and Components: Provides auxiliary power units, propulsion engines, avionics, flight safety systems, and related hardware for aircraft.
- Building Control Systems: Offers software applications, sensors, switches, and control systems for energy management, access control, video surveillance, and fire safety in buildings.
- Industrial Automation Solutions: Delivers automation control, instrumentation, and software to optimize industrial processes.
- Advanced Materials and Chemicals: Manufactures catalysts, adsorbents, and specialized materials used in products such as bullet-resistant armor, computer chips, and pharmaceutical packaging.
- Personal Protective Equipment (PPE): Supplies personal protection equipment, apparel, footwear, and gas detection technology for various industries.
- Supply Chain and Warehouse Automation Equipment: Provides equipment, including robotics and material handling systems, to enhance supply chain and warehouse efficiency.
- Aerospace Services: Offers repair, overhaul, maintenance, and wireless connectivity management services for aerospace products.
- Building Technologies Services: Provides installation, maintenance, and upgrade services for building control, security, and fire systems.
- Industrial Software and Consulting: Delivers software solutions and consulting related to automation control and process optimization.
- Productivity Software: Offers cloud-based notification, emergency messaging, data, and asset management software solutions.
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Honeywell International Inc. (HON) primarily sells its products and services to other businesses rather than directly to individual consumers. Based on the company's diversified operations, its major customers are found across several industries:
-
Aerospace Manufacturers and Airlines: Honeywell's Aerospace segment provides critical components, systems, and services for aircraft. Key customers in this area include major aircraft manufacturers and large airlines.
- Boeing Co. (BA)
- Airbus SE (EADSY) - *U.S. OTC symbol for the European company*
- Lockheed Martin Corp. (LMT)
- Delta Air Lines Inc. (DAL)
- United Airlines Holdings, Inc. (UAL)
-
Industrial and Process Companies: The Performance Materials and Technologies segment serves industries requiring automation control, advanced materials, and catalysts.
- Large oil and gas companies, such as Exxon Mobil Corp. (XOM) and Chevron Corp. (CVX), for process automation and refining technologies.
- Chemical and petrochemical companies.
- Semiconductor manufacturers.
- Pharmaceutical companies.
- Commercial Building Owners and Developers: The Honeywell Building Technologies segment provides solutions for building control, energy management, security, and fire safety. Customers are typically commercial real estate entities, facility management companies, and large institutional clients (e.g., hospitals, universities).
-
Logistics, Manufacturing, and Industrial Companies: The Safety and Productivity Solutions segment supplies personal protection equipment, warehouse automation, and mobile solutions.
- E-commerce and logistics giants, such as Amazon.com, Inc. (AMZN), for warehouse automation and supply chain solutions.
- Large manufacturing companies across various sectors.
- Government and public safety entities for personal protection and emergency communication.
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Vimal Kapur
Chairman and Chief Executive Officer
Vimal Kapur is the Chairman and Chief Executive Officer of Honeywell. He joined a Honeywell joint venture in 1989, progressing through various leadership roles, including Managing Director of Honeywell Automation India Ltd., President of Honeywell Process Solutions, President and CEO of Honeywell Building Technologies, and President and CEO of Performance Materials and Technologies. He was appointed President and Chief Operating Officer in July 2022, became CEO in June 2023, and assumed the role of Chairman in June 2024. Kapur has been instrumental in the planned separation of Honeywell into three independent public companies: Honeywell Aerospace, Solstice Advanced Materials, and Honeywell.
Mike Stepniak
Senior Vice President and Chief Financial Officer
Mike Stepniak serves as the Senior Vice President and Chief Financial Officer for Honeywell. He assumed this role following the company's announcement of its fourth quarter and full-year financial results for fiscal year 2024. Stepniak joined Honeywell in 2020 and has held positions as Vice President and CFO of Honeywell Building Technologies and Vice President and CFO of Honeywell Aerospace Technologies. Prior to his tenure at Honeywell, he spent nearly two decades at General Electric (GE) and Baker Hughes, where he was most recently the CFO of the Oilfield Equipment division.
Anne T. Madden
Senior Vice President, General Counsel
Anne T. Madden is the Senior Vice President and General Counsel at Honeywell. She is responsible for the company's legal affairs and compliance.
Sheila Jordan
Senior Vice President, Chief Digital Technology Officer
Sheila Jordan holds the position of Senior Vice President and Chief Digital Technology Officer. Her role involves overseeing the company's digital technology strategy and initiatives.
Suresh Venkatarayalu
Senior Vice President and Chief Technology Officer
Suresh Venkatarayalu is the Senior Vice President and Chief Technology Officer. He leads Honeywell's technological innovation and research and development efforts.
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Here are the key risks to Honeywell International (HON):
- Supply Chain Disruptions, Geopolitical Tensions, and Macroeconomic Volatility: Honeywell operates globally and is susceptible to disruptions in its supply chain, including raw material inflation, labor market challenges, and geopolitical events such as trade policy volatility and tariffs. These factors can lead to increased costs and affect the company's ability to meet demand. Furthermore, Honeywell's performance is closely tied to global economic conditions, and an economic downturn could lead to reduced demand in its cyclical industries, like aerospace and industrial manufacturing.
- Intensifying Competition and the Need for Continuous Innovation: Honeywell operates in highly competitive markets across its segments, facing both established industrial giants and agile technology-focused firms. To maintain its market position, the company must continuously invest significantly in research and development to foster innovation and technological advancements. This high R&D spending can be a near-term drag on earnings, with no guarantee of immediate returns.
- Regulatory and Environmental Challenges, including PFAS, and Risks from Portfolio Transformation: As a global enterprise, Honeywell is subject to a wide array of evolving regulatory and environmental challenges. Notably, the company faces potential compliance costs related to emerging legislation, such as Minnesota's ban on "forever chemicals" (PFAS), which could impact a significant number of parts in its aerospace, defense, and pharmaceutical packaging materials businesses. Additionally, Honeywell's planned spin-offs of certain businesses, including its Advanced Materials and Aerospace segments, involve significant incremental costs and pose financial risks, as analysts have noted that the company's debt may not be adequately covered by operating cash flow during this restructuring period.
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Honeywell International Inc. (HON) operates in several diversified technology and manufacturing segments, each addressing significant global markets:
Aerospace Segment
- Aerospace Maintenance, Repair, and Overhaul (MRO): The global aerospace MRO market was valued at approximately USD 87.63 billion in 2024 and is expected to reach around USD 145.48 billion by 2034. North America held a dominant market position, capturing over 32% share, with USD 28.04 billion in revenue in 2024. The U.S. Aerospace MRO market alone was valued at USD 26.4 billion in 2024. Other estimates place the global aircraft MRO market at USD 91.35 billion in 2024, projected to reach USD 678.58 billion by 2032, or USD 120.3 billion in 2025, reaching USD 172.73 billion by 2035.
Honeywell Building Technologies Segment
- Building Automation Systems: The global intelligent building automation technologies market was valued at USD 102.74 billion in 2022 and is expected to grow to USD 204.53 billion by 2030. Another report indicates the global building automation systems market size was valued at USD 87.85 billion in 2025 and is projected to reach USD 184.42 billion by 2034. The U.S. market within this segment is projected to reach USD 26.94 billion by 2026.
- Fire Products (Fire Safety Equipment): The global fire safety equipment market generated a revenue of USD 53,197.4 million in 2023 and is expected to reach USD 82,273.5 million by 2030. North America was the largest revenue-generating market in 2023. The global fire and life safety protection services market, a broader category, was valued at USD 148.5 billion in 2024 and is projected to grow to USD 232.5 billion by 2034.
Performance Materials and Technologies Segment
- Industrial Automation and Control Systems: The global industrial automation and control systems market size was estimated at USD 226.76 billion in 2025 and is projected to reach USD 504.38 billion by 2033. North America accounted for a significant market share of over 28% in 2025. Other estimates for the global industrial automation market range from USD 256.02 billion in 2025 to USD 613.25 billion by 2035.
- Catalysts: The global catalyst market size was estimated at USD 43.6 billion in 2025 and is projected to reach USD 61.5 billion by 2033. Asia Pacific dominated this market, holding a 35.3% revenue share in 2025.
- Adsorbents: The global adsorbents market size was valued at USD 5.10 billion in 2024 and is expected to reach USD 7.78 billion by 2033. Asia Pacific currently dominates the market, holding over 36.8% market share in 2024.
- Advanced Materials: The global advanced materials market size was worth around USD 67.85 billion in 2024 and is predicted to grow to around USD 130.88 billion by 2034. North America is expected to grow at a steady rate in this market. Other sources estimate the global advanced materials market size at USD 73.63 billion in 2025, reaching USD 134.49 billion by 2035, or USD 87.55 billion in 2025, reaching USD 162.35 billion by 2035.
Safety and Productivity Solutions Segment
- Personal Protective Equipment (PPE): The global personal protective equipment (PPE) market size was valued at USD 82.54 billion in 2025 and is projected to grow to USD 129.18 billion by 2034. North America dominated the PPE market with a market share of 36% in 2025. Other estimates include USD 90.42 billion in 2025, reaching USD 159.76 billion by 2033.
- Gas Detection Technology: The global gas detection equipment market size was estimated at USD 5.60 billion in 2024 and is projected to reach USD 10.66 billion by 2030. Another estimate for the global gas detection equipment market size is USD 5.75 billion in 2024, projected to reach USD 16.14 billion by 2034. The global gas detection system market was valued at USD 5.61 billion in 2025 and is estimated to grow to USD 7.46 billion by 2031.
- Warehouse Automation Equipment and Software Solutions: The global warehouse automation market size was valued at USD 31.21 billion in 2025, projected to grow to USD 119.86 billion by 2034. North America held a dominant market position in 2023, capturing more than a 36.7% share, with demand valued at US$ 7.6 billion. Other estimates for the global warehouse automation market range from USD 25.27 billion in 2025 to USD 107.36 billion by 2035.
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Expected Revenue Growth Drivers for Honeywell International (HON)
- Aerospace Sector Growth: Honeywell anticipates continued strong demand within its Aerospace segment, particularly in commercial aviation. This growth is expected from rising commercial original equipment (OE) build rates, leading to an increase in shipset deliveries, and sustained strength in commercial aftermarket services. Furthermore, increased defense budgets and new content wins for next-generation aircraft and Urban Air Mobility/Unmanned Aerial Systems (UAM/UAS) are projected to contribute to revenue growth through 2028. Honeywell's substantial backlog in the aerospace unit is also a significant catalyst for future sales.
- Automation and Digital Industrial Expansion: The company is focused on expanding its digital industrial offerings, notably through Honeywell Connected Enterprise (HCE) and advanced software solutions, including Software-as-a-Service (SaaS) based revenue streams and the Honeywell Forge IoT platform. This includes the rollout of connected building operating systems and Forge for Buildings modules, with a specific focus on smart hospitals, airports, and data centers. Strategic bolt-on mergers and acquisitions in areas like warehouse automation software, operational technology (OT) cybersecurity, and AI inspection are also expected to bolster growth in the automation sector, which is viewed as a foundational element for AI and data-driven expansion.
- Energy Transition and Sustainability Solutions (ETS): Honeywell is actively scaling its portfolio of sustainable technologies. Key areas of focus include hydrogen processing, carbon capture (both solvent and membrane technologies), refrigerant transitions, and battery safety controls. The company is targeting multi-hundred-million-dollar projects in regions such as the United States, the Middle East, and Europe. Acquisitions, such as the liquefied natural gas (LNG) process technology and equipment business from Air Products, are strategically enhancing Honeywell's capabilities to provide comprehensive solutions for the ongoing energy transformation.
- Portfolio Optimization and Strategic Acquisitions: Honeywell is committed to actively optimizing its business portfolio through strategic acquisitions that offer accretive growth and align with its core megatrends: automation, the future of aviation, and energy transition. Recent acquisitions, including CAES Systems for electromagnetic defense technology and Civitanavi Systems for autonomous operations in aircraft, are enhancing capabilities and creating significant revenue tailwinds. The company has articulated plans to deploy capital towards further mergers and acquisitions to accelerate overall growth.
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Share Repurchases
- Honeywell's Board of Directors authorized a share repurchase program of up to $10.0 billion of its common stock on February 12, 2021, which included approximately $2.8 billion remaining from a previous authorization. This authorization has no expiration date. The company announced another share repurchase program for up to $10 billion worth of common stock on April 25, 2024.
- Honeywell's annual share buybacks were $3.715 billion in 2023, $1.655 billion in 2024, and $3.804 billion in 2025.
- On average, Honeywell deployed approximately $4 billion per year on share buybacks between 2021 and 2023. For the full year 2025, $3.8 billion was deployed to repurchase 18 million shares.
Share Issuance
- Information specifically detailing the dollar amount of shares issued over the last 3-5 years is not explicitly available in the provided search results.
Outbound Investments
- Honeywell committed to deploy at least $25 billion towards dividends, acquisitions, capital expenditures, and share buybacks through 2025, a commitment it was on pace to exceed.
- Since December 2023, Honeywell completed nearly $9 billion of accretive acquisitions to accelerate growth and support its pivot to higher-growth verticals. Key acquisitions include Carrier Access Solutions for $4.95 billion (completed in June 2024), CAES Systems for $1.9 billion, and Air Products' liquefied natural gas (LNG) business for $1.81 billion.
- In 2025, Honeywell completed a $2.2 billion acquisition of Sundyne and announced a £1.8 billion (approximately $2.2 billion USD) agreement to acquire Johnson Matthey's Catalyst Technologies. For the full year 2025, $2.2 billion was deployed to acquisitions.
Capital Expenditures
- Honeywell's capital expenditures averaged $851.8 million for the fiscal years ending December 2021 to 2025.
- Annual capital expenditures were $895 million in 2021, $766 million in 2022, $741 million in 2023, $871 million in 2024, and $986 million in 2025. For the full year 2025, $1 billion was deployed to capital expenditures.
- Capital expenditures are anticipated to increase by approximately $250 million in 2026 to support growth investment.
Peer Outperformance in Industrial Conglomerates
| Ticker | Name | Rev Growth 3Y Avg | P/E | 1Y | 3Y | 5Y | 5Y Gap |
|---|---|---|---|---|---|---|---|
| HON | Honeywell International | 12.7% | 10.0x | 7.3% | 36.2% | 18.4% | — |
| CSW | CSW Industrials | 15.7% | 40.0x | 22.7% | 72.7% | 121.5% | +103pp |
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Construction & Engineering | 30 | -6.8% | 105.0% | 140.2% | STRL 1461% · FIX 1308% · AGX 714% |
| Marine Transportation | 5 | 55.1% | 53.2% | 134.3% | MATX 189% · KEX 134% |
| Construction Machinery & Heavy Transportation Equipment | 13 | -4.4% | 55.3% | 92.6% | CAT 271% · ALSN 231% · WAB 203% |
| Aerospace & Defense | 52 | -14.4% | 56.1% | 58.8% | ATI 882% · FTAI 704% · HWM 519% |
| Trading Companies & Distributors | 19 | 11.3% | 33.9% | 50.6% | DXPE 378% · AIT 230% · URI 210% |
| Diversified Support Services | 34 | 8.5% | 39.6% | 37.5% | CXW 234% · OPLN 153% · CACI 122% |
| Industrial Machinery & Supplies & Components | 72 | 3.1% | 51.3% | 36.9% | CRS 842% · MLI 371% · SYM 297% |
| Rail Transportation | 7 | 31.2% | 56.7% | 27.9% | CSX 53% · UNP 38% · NSC 28% |
| Building Products | 33 | -10.7% | 12.1% | 22.7% | GFF 344% · TT 162% · JCI 115% |
| Cargo Ground Transportation | 16 | 35.3% | 10.4% | 15.9% | XPO 252% · R 243% · ARCB 47% |
| Electrical Components & Equipment | 37 | -12.6% | 71.0% | 3.2% | POWL 1789% · BE 857% · VRT 711% |
| Industrial Conglomerates ← | 17 | 7.3% | 6.4% | -6.8% | CSW 121% · DD 74% · CSL 60% |
| Research & Consulting Services | 13 | 2.3% | -13.9% | -8.2% | HURN 295% · FCN 10% · BAH 4% |
| Agricultural & Farm Machinery | 16 | 1.0% | -6.3% | -12.8% | DE 102% · TTC 15% · AGCO -6% |
| Data Processing & Outsourced Services | 6 | -22.9% | 0.4% | -16.2% | EXLS 70% · BR 9% · G -14% |
| Security & Alarm Services | 9 | -48.6% | 15.4% | -20.8% | BCO 99% |
| Office Services & Supplies | 9 | 17.9% | 18.6% | -23.9% | PBI 198% · TILE 147% · HNI 41% |
| Environmental & Facilities Services | 29 | -32.0% | 33.2% | -33.5% | GEO 237% · CLH 178% · RSG 92% |
| Passenger Airlines | 11 | -1.4% | 17.5% | -36.1% | LTM 3065% · UAL 110% · DAL 101% |
| Passenger Ground Transportation | 3 | -29.5% | 50.9% | -36.5% | UBER 47% · CAR -36% · LYFT -65% |
| Air Freight & Logistics | 12 | -25.9% | -19.6% | -40.1% | FDX 77% · EXPD 69% · CHRW 59% |
| Human Resource & Employment Services | 22 | 20.2% | -8.9% | -41.0% | ADP 56% · PAYX 11% · FA 10% |
| Airport Services | 4 | -69.6% | -69.4% | -83.6% | JOBY -47% |
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 206.22 |
| Mkt Cap | 116.6 |
| Rev LTM | 38,310 |
| Op Inc LTM | 7,258 |
| FCF LTM | 3,697 |
| FCF 3Y Avg | 3,926 |
| CFO LTM | 4,431 |
| CFO 3Y Avg | 4,846 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 13.6% |
| Rev Chg 3Y Avg | 11.8% |
| Rev Chg Q | 10.2% |
| QoQ Delta Rev Chg LTM | 2.5% |
| Op Inc Chg LTM | 20.0% |
| Op Inc Chg 3Y Avg | 17.9% |
| Op Mgn LTM | 18.0% |
| Op Mgn 3Y Avg | 17.9% |
| QoQ Delta Op Mgn LTM | 0.6% |
| CFO/Rev LTM | 14.7% |
| CFO/Rev 3Y Avg | 16.1% |
| FCF/Rev LTM | 11.3% |
| FCF/Rev 3Y Avg | 13.2% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 116.6 |
| P/S | 4.1 |
| P/Op Inc | 23.9 |
| P/EBIT | 24.7 |
| P/E | 31.7 |
| P/CFO | 30.1 |
| Total Yield | 4.5% |
| Dividend Yield | 1.3% |
| FCF Yield 3Y Avg | 3.2% |
| D/E | 0.1 |
| Net D/E | 0.1 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | -0.8% |
| 3M Rtn | -8.9% |
| 6M Rtn | 2.7% |
| 12M Rtn | 7.8% |
| 3Y Rtn | 125.1% |
| 1M Excs Rtn | 1.3% |
| 3M Excs Rtn | -11.6% |
| 6M Excs Rtn | -3.7% |
| 12M Excs Rtn | -1.9% |
| 3Y Excs Rtn | 54.2% |
Comparison Analyses
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Aerospace Technologies | 17,510 | 15,458 | 13,624 | 11,827 | 11,026 |
| Industrial Automation | 9,401 | 10,051 | 10,756 | 11,638 | |
| Building Automation | 7,367 | 6,540 | 6,031 | 6,000 | 5,539 |
| Energy and Sustainability Solutions | 3,134 | 2,644 | 2,586 | 5,996 | |
| Corporate and All Other | 30 | 24 | 12 | 5 | 0 |
| Performance Materials and Technologies | 10,013 | ||||
| Safety and Productivity Solutions | 7,814 | ||||
| Total | 37,442 | 34,717 | 33,009 | 35,466 | 34,392 |
| $ Mil | 2021 | 2008 | 2004 | 2003 | 2002 |
|---|---|---|---|---|---|
| Aerospace Technologies | 3,051 | 2,300 | 1,479 | 1,221 | 1,358 |
| Performance Materials and Technologies | 2,120 | ||||
| Building Automation | 1,238 | ||||
| Safety and Productivity Solutions | 1,029 | ||||
| Other postretirement income | 71 | ||||
| Corporate and All Other | -226 | ||||
| Pension ongoing income | -1,083 | ||||
| Automation and Control Solutions | 1,622 | 894 | 843 | 890 | |
| Corporate | -204 | -158 | -142 | -154 | |
| Specialty Materials | 721 | 184 | 136 | 57 | |
| Transportation Systems | 406 | 575 | 461 | ||
| Transportation and Power Systems | 357 | ||||
| Total | 6,200 | 4,845 | 2,974 | 2,519 | 2,508 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Industrial Automation | 20,351 | 21,035 | |||
| Aerospace Technologies | 17,920 | 16,966 | 12,976 | 12,189 | 11,490 |
| Corporate and All Other | 16,594 | 15,375 | 11,752 | 14,708 | 17,174 |
| Building Automation | 10,883 | 11,438 | 6,723 | 6,599 | 6,543 |
| Energy and Sustainability Solutions | 7,933 | 5,351 | |||
| Performance Materials and Technologies | 19,732 | 17,887 | 18,021 | ||
| Safety and Productivity Solutions | 10,342 | 10,892 | 11,242 | ||
| Total | 73,681 | 70,165 | 61,525 | 62,275 | 64,470 |
Price Behavior
| Market Price | $221.15 | |
| Market Cap ($ Bil) | 70.2 | |
| First Trading Date | 01/02/1970 | |
| Distance from 52W High | -10.9% | |
| 50 Days | 200 Days | |
| DMA Price | $212.30 | $224.27 |
| DMA Trend | down | up |
| Distance from DMA | 4.2% | -1.4% |
| 3M | 1YR | |
| Volatility | 22.9% | 26.3% |
| Downside Capture | 107.86 | 70.88 |
| Upside Capture | 43.57 | 76.12 |
| Correlation (S&P 500) | 25.1% | 35.8% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.18 | 0.68 | 0.51 | 0.89 | 0.75 | 0.75 |
| Up Beta | 0.89 | 0.24 | 0.23 | 0.95 | 0.71 | 0.80 |
| Down Beta | 1.91 | 0.74 | 0.02 | 0.95 | 0.96 | 0.81 |
| Up Capture | -22% | 31% | 53% | 56% | 57% | 33% |
| Bmk +ve Days | 6 | 16 | 27 | 66 | 132 | 424 |
| Stock +ve Days | 10 | 17 | 32 | 57 | 121 | 380 |
| Down Capture | 29% | 173% | 97% | 115% | 77% | 89% |
| Bmk -ve Days | 16 | 26 | 37 | 60 | 120 | 328 |
| Stock -ve Days | 12 | 25 | 32 | 69 | 131 | 371 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with HON | |
|---|---|---|---|---|
| HON | 14.7% | 26.3% | 0.48 | - |
| Sector ETF (XLI) | 8.7% | 17.2% | 0.31 | 56.6% |
| Equity (SPY) | 14.8% | 12.7% | 0.80 | 34.9% |
| Gold (GLD) | -2.8% | 28.5% | -0.11 | 24.2% |
| Commodities (DBC) | 52.1% | 20.7% | 1.91 | -15.6% |
| Real Estate (VNQ) | 4.3% | 13.9% | 0.06 | 33.6% |
| Bitcoin (BTCUSD) | -24.8% | 43.5% | -0.54 | 13.5% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with HON | |
|---|---|---|---|---|
| HON | 3.1% | 22.6% | 0.08 | - |
| Sector ETF (XLI) | 11.5% | 17.6% | 0.49 | 69.0% |
| Equity (SPY) | 12.7% | 17.1% | 0.56 | 58.3% |
| Gold (GLD) | 17.3% | 18.9% | 0.73 | 14.5% |
| Commodities (DBC) | 9.5% | 19.5% | 0.37 | 7.7% |
| Real Estate (VNQ) | 1.1% | 18.9% | -0.05 | 49.4% |
| Bitcoin (BTCUSD) | 5.7% | 51.7% | 0.29 | 19.6% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with HON | |
|---|---|---|---|---|
| HON | 10.7% | 23.9% | 0.42 | - |
| Sector ETF (XLI) | 13.0% | 20.1% | 0.57 | 80.4% |
| Equity (SPY) | 15.3% | 17.9% | 0.72 | 69.7% |
| Gold (GLD) | 11.8% | 16.4% | 0.59 | 7.5% |
| Commodities (DBC) | 8.4% | 18.1% | 0.38 | 22.2% |
| Real Estate (VNQ) | 5.2% | 20.7% | 0.21 | 59.3% |
| Bitcoin (BTCUSD) | 62.4% | 66.2% | 1.02 | 14.4% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 10/24/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/22/2026 | 1.7% | ||
| 7/23/2026 | 5.7% | 3.5% | -6.0% |
| 4/23/2026 | -2.6% | -4.4% | 2.3% |
| 1/29/2026 | 0.1% | 2.9% | 9.7% |
| 10/23/2025 | 6.8% | 3.0% | -2.8% |
| 7/24/2025 | -6.2% | -7.2% | -8.7% |
| 4/29/2025 | 5.4% | 6.8% | 12.5% |
| 2/6/2025 | -2.0% | -2.2% | 2.5% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 12 | 15 | 15 |
| # Negative | 14 | 10 | 10 |
| Median Positive | 2.6% | 3.5% | 3.9% |
| Median Negative | -2.2% | -4.1% | -4.5% |
| Max Positive | 6.8% | 11.3% | 24.5% |
| Max Negative | -6.2% | -7.4% | -10.6% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/22/2026 | 1.7% | ||
| 7/23/2026 | 5.7% | 3.5% | -6.0% |
| 4/23/2026 | -2.6% | -4.4% | 2.3% |
| 1/29/2026 | 0.1% | 2.9% | 9.7% |
| 10/23/2025 | 6.8% | 3.0% | -2.8% |
| 7/24/2025 | -6.2% | -7.2% | -8.7% |
| 4/29/2025 | 5.4% | 6.8% | 12.5% |
| 2/6/2025 | -2.0% | -2.2% | 2.5% |
| 10/24/2024 | -5.1% | -7.3% | 3.1% |
| 7/25/2024 | -5.2% | -4.2% | -5.8% |
| 4/25/2024 | -0.9% | 0.3% | 2.9% |
| 2/1/2024 | -0.6% | -2.0% | 1.5% |
| 12/11/2023 | 0.6% | 2.4% | 0.6% |
| 10/26/2023 | -1.1% | 3.3% | 9.2% |
| 7/27/2023 | -5.7% | -7.4% | -10.6% |
| 4/27/2023 | 4.0% | 3.7% | 1.2% |
| 2/2/2023 | -2.3% | -3.9% | -4.5% |
| 10/27/2022 | 3.3% | 5.4% | 16.2% |
| 7/28/2022 | 3.7% | 4.3% | 9.7% |
| 4/29/2022 | 1.9% | 4.2% | 3.9% |
| 2/3/2022 | -0.1% | 0.0% | -4.5% |
| 10/22/2021 | -3.2% | -2.7% | -2.3% |
| 7/23/2021 | -1.5% | 0.1% | -1.8% |
| 4/23/2021 | -2.1% | -2.3% | -2.2% |
| 1/29/2021 | 0.1% | 3.9% | 6.2% |
| 10/30/2020 | 0.2% | 11.3% | 24.5% |
| SUMMARY STATS | |||
| # Positive | 12 | 15 | 15 |
| # Negative | 14 | 10 | 10 |
| Median Positive | 2.6% | 3.5% | 3.9% |
| Median Negative | -2.2% | -4.1% | -4.5% |
| Max Positive | 6.8% | 11.3% | 24.5% |
| Max Negative | -6.2% | -7.4% | -10.6% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 10/22/2026 | 10-Q |
| 06/30/2026 | 07/23/2026 | 10-Q |
| 03/31/2026 | 04/23/2026 | 10-Q |
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 10/23/2025 | 10-Q |
| 06/30/2025 | 07/24/2025 | 10-Q |
| 03/31/2025 | 04/29/2025 | 10-Q |
| 12/31/2024 | 02/14/2025 | 10-K |
| 09/30/2024 | 10/24/2024 | 10-Q |
| 06/30/2024 | 07/25/2024 | 10-Q |
| 03/31/2024 | 04/25/2024 | 10-Q |
| 12/31/2023 | 02/16/2024 | 10-K |
| 09/30/2023 | 10/26/2023 | 10-Q |
| 06/30/2023 | 07/27/2023 | 10-Q |
| 03/31/2023 | 04/27/2023 | 10-Q |
| 12/31/2022 | 02/10/2023 | 10-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 10/22/2026 | 10-Q |
| 06/30/2026 | 07/23/2026 | 10-Q |
| 03/31/2026 | 04/23/2026 | 10-Q |
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 10/23/2025 | 10-Q |
| 06/30/2025 | 07/24/2025 | 10-Q |
| 03/31/2025 | 04/29/2025 | 10-Q |
| 12/31/2024 | 02/14/2025 | 10-K |
| 09/30/2024 | 10/24/2024 | 10-Q |
| 06/30/2024 | 07/25/2024 | 10-Q |
| 03/31/2024 | 04/25/2024 | 10-Q |
| 12/31/2023 | 02/16/2024 | 10-K |
| 09/30/2023 | 10/26/2023 | 10-Q |
| 06/30/2023 | 07/27/2023 | 10-Q |
| 03/31/2023 | 04/27/2023 | 10-Q |
| 12/31/2022 | 02/10/2023 | 10-K |
| 09/30/2022 | 10/27/2022 | 10-Q |
| 06/30/2022 | 07/28/2022 | 10-Q |
| 03/31/2022 | 04/29/2022 | 10-Q |
| 12/31/2021 | 02/11/2022 | 10-K |
| 09/30/2021 | 10/22/2021 | 10-Q |
| 06/30/2021 | 07/23/2021 | 10-Q |
| 03/31/2021 | 04/23/2021 | 10-Q |
| 12/31/2020 | 02/12/2021 | 10-K |
| 09/30/2020 | 10/30/2020 | 10-Q |
| 06/30/2020 | 07/24/2020 | 10-Q |
| 03/31/2020 | 05/01/2020 | 10-Q |
| 12/31/2019 | 02/14/2020 | 10-K |
Recent Forward Guidance
Updated 10/23/2026Latest: Q3 2026 Earnings Reported 10/22/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Organic Sales Growth | Reported | 5.0% | 5.5% | 6.0% | ||||
| 2026 Segment Margin | Reported | 20.5% | 0.2% | Raised | Guidance: 20.3% for 2026 | |||
| 2026 Segment Margin Expansion | Reported | 2.9% | ||||||
| 2026 Adjusted Earnings Growth | Reported | 30.0% | 30.5% | 31.0% | 3.5% | Raised | Guidance: 27.0% for 2026 | |
| 2026 Operating Cash Flow | Reported | 2.10 Bil | 0.0% | Affirmed | Guidance: 2.10 Bil for 2026 | |||
| 2026 Sales | Reported | 20.00 Bil | 20.05 Bil | 20.10 Bil | 0.8% | Raised | Guidance: 19.90 Bil for 2026 | |
| 2026 Organic Sales Growth | Reported | 4.0% | 4.5% | 5.0% | 1.0% | Raised | Guidance: 3.5% for 2026 | |
| 2026 Adjusted Earnings Per Share | Reported | 8.4 | 8.43 | 8.45 | 2.7% | Raised | Guidance: 8.2 for 2026 | |
| 2026 Earnings per share of common stock from continuing operations - diluted | Reported | 21.88 | 21.91 | 21.93 | ||||
| 2026 Capital expenditures | Reported | -600.00 Mil | ||||||
| 2026 Free Cash Flow | Reported | 2.10 Bil | 5.0% | Raised | Guidance: 2.00 Bil for 2026 | |||
Prior: Q1 2026 Earnings Reported 4/23/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Operating Cash Flow | Reported | 4.40 Bil | 4.55 Bil | 4.70 Bil | -6.2% | Lowered | Guidance: 4.85 Bil for 2026 | |
| 2026 Revenue | Reported | 38.80 Bil | 39.30 Bil | 39.80 Bil | 0 | Affirmed | Guidance: 39.30 Bil for 2026 | |
| 2026 Revenue Growth | Reported | 3.0% | 4.5% | 6.0% | 0 | Affirmed | Guidance: 4.5% for 2026 | |
| 2026 Operating Margin | Reported | 22.7% | 22.9% | 23.1% | 0 | Affirmed | Guidance: 22.9% for 2026 | |
| 2026 EPS | Reported | 10.35 | 10.5 | 10.65 | 0 | Affirmed | Guidance: 10.5 for 2026 | |
| 2026 EPS Growth | Reported | 6.0% | 7.5% | 9.0% | 0 | Affirmed | Guidance: 7.5% for 2026 | |
| 2026 Free Cash Flow | Reported | 5.30 Bil | 5.45 Bil | 5.60 Bil | 0 | Affirmed | Guidance: 5.45 Bil for 2026 | |
Q4 2025 Earnings Reported 1/29/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Segment Margin | Reported | 22.7% | 22.9% | 23.1% | -0.0% | Lower New | Actual: 22.95% for 2025 | |
| 2026 Adjusted Earnings Growth | Reported | 6.0% | 7.5% | 9.0% | ||||
| 2026 Operating Cash Flow | Reported | 4.70 Bil | 4.85 Bil | 5.00 Bil | -26.5% | Lower New | Actual: 6.60 Bil for 2025 | |
| 2026 Revenue | Reported | 38.80 Bil | 39.30 Bil | 39.80 Bil | -3.7% | Lower New | Actual: 40.80 Bil for 2025 | |
| 2026 Organic Sales Growth | Reported | 3.0% | 4.5% | 6.0% | -1.5% | Lower New | Actual: 6.0% for 2025 | |
| 2026 Adjusted Earnings Per Share | Reported | 10.35 | 10.5 | 10.65 | -1.4% | Lower New | Actual: 10.65 for 2025 | |
| 2026 Free Cash Flow | Reported | 5.30 Bil | 5.45 Bil | 5.60 Bil | 0.9% | Higher New | Actual: 5.40 Bil for 2025 | |
| 2026 Free Cash Flow Growth | Reported | 4.0% | 7.0% | 10.0% | ||||
Insider Activity
Updated 8/3/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | West, Kenneth J | Pres/CEO Process Technologies | Direct | Sell | 8032026 | 245.47 | 316 | 77,569 | 491,922 | Form |
| 2 | West, Kenneth J | Pres/CEO Process Technologies | Direct | Sell | 7292026 | 243.77 | 17,032 | 4,151,891 | 519,718 | Form |
| 3 | West, Kenneth J | Pres/CEO Process Technologies | Direct | Sell | 3032026 | 242.70 | 873 | 211,877 | 793,144 | Form |
| 4 | Currier, James E | Pres/CEO Aero Technologies | Direct | Sell | 3032026 | 243.65 | 2,248 | 547,725 | 1,102,029 | Form |
| 5 | Lieblein, Grace | Direct | Sell | 2242026 | 243.73 | 5,847 | 1,425,089 | 3,628,652 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | West, Kenneth J | Pres/CEO Process Technologies | Direct | Sell | 8032026 | 245.47 | 316 | 77,569 | 491,922 | Form |
| 2 | West, Kenneth J | Pres/CEO Process Technologies | Direct | Sell | 7292026 | 243.77 | 17,032 | 4,151,891 | 519,718 | Form |
| 3 | West, Kenneth J | Pres/CEO Process Technologies | Direct | Sell | 3032026 | 242.70 | 873 | 211,877 | 793,144 | Form |
| 4 | Currier, James E | Pres/CEO Aero Technologies | Direct | Sell | 3032026 | 243.65 | 2,248 | 547,725 | 1,102,029 | Form |
| 5 | Lieblein, Grace | Direct | Sell | 2242026 | 243.73 | 5,847 | 1,425,089 | 3,628,652 | Form | |
| 6 | Davis, D Scott | Direct | Sell | 2202026 | 240.00 | 2,367 | 568,080 | 7,459,440 | Form | |
| 7 | Mailloux, Robert D | Vice President & Controller | Direct | Sell | 2092026 | 239.00 | 5,274 | 1,260,486 | 1,147,917 | Form |
| 8 | Mailloux, Robert D | Vice President & Controller | Direct | Sell | 2032026 | 229.00 | 10,549 | 2,415,721 | 1,099,887 | Form |
| 9 | Boldea, Lucian | President and CEO, IA | Direct | Sell | 8282025 | 221.58 | 42,149 | 9,339,396 | 2,289,813 | Form |
| 10 | West, Kenneth J | President and CEO, ESS | Direct | Sell | 8042025 | 218.10 | 3,448 | 752,026 | 328,248 | Form |
Investor Activity (13F)
Updated Oct 24, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Unisphere Establishment | $926.7 Mil | 7.8% | 50 | Hold | 13F |
| J. Stern & Co. LLP | $62.2 Mil | 6.0% | 49 | TRIM -99.5% | 13F |
| Blue Whale Capital LLP | $97.1 Mil | 4.6% | 26 | ADD +152.3% | 13F |
| Haverford Financial Services, Inc. | $13.7 Mil | 4.1% | 46 | Hold | 13F |
| St. James Investment Company, LLC | $22.7 Mil | 3.6% | 22 | Hold | 13F |
| Randolph Co Inc | $35.9 Mil | 3.4% | 43 | Hold | 13F |
| Saybrook Capital /NC | $11.4 Mil | 3.1% | 42 | Hold | 13F |
| Codex Capital Asset Management L.L.C. | $7.6 Mil | 2.9% | 31 | Hold | 13F |
| Sava Penzisko Drushtvo A.D. Skopje | $7.2 Mil | 2.2% | 26 | Hold | 13F |
| Saratoga Research & Investment Management | $37.5 Mil | 2.1% | 46 | ADD +18.8% | 13F |
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | As Of | Filing |
|---|---|---|---|---|---|---|
| Estuary Capital Management LP | $25.8 Mil | 4.6% | 23 | Exited | Dec 31, 2025 | 13F |
| Agave Capital Management Ltd | $23.2 Mil | 3.9% | 23 | Exited | Dec 31, 2025 | 13F |
| Masters Capital Management LLC | $19.5 Mil | 2.7% | 43 | Exited | Dec 31, 2025 | 13F |
| Vantage Wealth | $18.5 Mil | 4.0% | 30 | Exited | Dec 31, 2025 | 13F |
| National Mutual Insurance Federation of Agricultural Cooperatives | $13.9 Mil | 0.1% | 42 | Exited | Dec 31, 2025 | 13F |
| J. Stern & Co. LLP | $62.2 Mil | 6.0% | 49 | TRIM -99.5% | Mar 31, 2026 | 13F |
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Unisphere Establishment | $926.7 Mil | 7.8% | 50 | Hold | 13F |
| Blue Whale Capital LLP | $97.1 Mil | 4.6% | 26 | ADD +152.3% | 13F |
| J. Stern & Co. LLP | $62.2 Mil | 6.0% | 49 | TRIM -99.5% | 13F |
| Saratoga Research & Investment Management | $37.5 Mil | 2.1% | 46 | ADD +18.8% | 13F |
| Randolph Co Inc | $35.9 Mil | 3.4% | 43 | Hold | 13F |
| St. James Investment Company, LLC | $22.7 Mil | 3.6% | 22 | Hold | 13F |
| Haverford Financial Services, Inc. | $13.7 Mil | 4.1% | 46 | Hold | 13F |
| Saybrook Capital /NC | $11.4 Mil | 3.1% | 42 | Hold | 13F |
| Codex Capital Asset Management L.L.C. | $7.6 Mil | 2.9% | 31 | Hold | 13F |
| Sava Penzisko Drushtvo A.D. Skopje | $7.2 Mil | 2.2% | 26 | Hold | 13F |
HON Trade Sentinel
High Conviction
CONVICTION RATIONALE
Conviction is high because Honeywell is successfully executing a major corporate transformation. In its first full quarter, the new automation-focused company delivered accelerating 7% organic growth and a 370 basis point margin expansion. Management raised full-year guidance and is eliminating stranded costs well ahead of schedule, signaling strong operational control and a clear path to higher profitability.
STOCK ARCHETYPE
Project-Based & Installed BaseBacklog Conversion + Short-Cycle Product & Service Demand Monetization of the installed base through high-margin aftermarket services, software (Honeywell Forge), and catalysts.
INVESTMENT THESIS
Evidence suggests yes. The streamlined company is delivering accelerating growth and rapidly expanding margins, driven by strong execution.
- Organic sales growth accelerated to 7% in Q3 2026.
- Segment margin expanded 370 basis points to 21.3% in Q3.
- Backlog grew 7% year-over-year to nearly $19 billion.
- Full-year 2026 guidance was raised for both organic growth and EPS.
- Management expects to eliminate all stranded costs by year-end 2026.
PRIMARY RISK
A downturn in the global energy capital spending cycle could derail the 'multiyear growth inflection' in Process Automation, a key pillar of the new company's growth story.
- Process Automation margins contracted in Q3 due to project mix.
- The segment is navigating tough prior-year comparisons from large awards.
- The growth story is heavily reliant on continued capital investment in the energy sector.
- Trailing-twelve-month cash conversion of 0.11 remains a concern.
| KPI | Status | Rationale |
|---|---|---|
| Organic Sales Growth | 7% for Q3 2026 - Accelerating | Organic growth accelerated to 7% in Q3 from 4% in Q2, marking a strong first full quarter as a standalone automation company. Management noted this performance was above the high end of the targets unveiled at its investor day in June. |
| Organic Orders Growth | 3% (normalized) for Q3 2026 - Decelerating | Normalized organic orders growth slowed to 3% in Q3 from 16% in Q2. Management attributed the slowdown to a difficult comparison against large low-carbon energy and LNG awards in the prior-year period. Excluding these prior-year awards, the book-to-bill ratio was 1.0x and the backlog grew 7%. |
| Backlog | Nearly $19 billion (Q3 2026) | Indicates the total value of remaining performance obligations, providing visibility into future revenue. Strong backlog growth signals robust demand and future sales conversion. |
| Book-to-Bill Ratio | 1.0x (Q3 2026) | Compares orders received to revenue billed. A ratio of 1.0x or higher indicates that demand is stable or growing, and the company is replacing the revenue it recognizes with new orders. |
New Baseline or Cyclical Peak?
BULL VIEW
Q3's 7% organic growth and 370 basis point margin expansion are the new baseline for a structurally improved, focused automation compounder gaining share in secular growth markets.
CORE TENSION
Can the 'multiyear growth inflection' in Process Automation and data center demand offset potential weakness in the broader industrial short-cycle, which has been uneven?
PREVAILING SENTIMENT
The latest evidence favors the bulls. Management's guidance for a Q4 re-acceleration in orders to high-single-digits and cash conversion above 100% points to sustained momentum.
BEAR VIEW
The strong Q3 was a temporary benefit from post-spin cost cuts and a cyclical energy bump. Decelerating orders and poor historical cash flow signal underlying weakness.
| Timeline | Event & Metric To Watch |
|---|---|
December 4, 2026 | Quarterly Dividend Payment Watch: The company's Board of Directors has declared a quarterly dividend payment of $0.70 per share. |
1/20/2027 | Peer GE Earnings Report Watch: Peer GE Aerospace (GE) is scheduled to report earnings, providing a read on the industrial and aerospace sectors. |
1/27/2027 | Stranded Cost Execution Failure Watch: Any revision to the cost-elimination timeline or amount in the Q4 earnings report and 2027 guidance. |
2/1/2027 | Process Automation Inflection Stalls Watch: Commentary on industrial and process end markets from peers Emerson (EMR) and Eaton (ETN) on their earnings calls. |
No set date | Industrial Short Cycle Slowdown Watch: Order rates in short-cycle businesses, particularly 'Sensing and Measurement' and 'Building Automation product businesses'. |
| Date | Event | Stock Impact |
|---|---|---|
2026-10-22 | Q3 Results Beat, Guidance Raised Details: Honeywell reported Q3 sales of $5.0 billion, with 7% organic growth, and raised its full-year 2026 outlook across all key metrics. The stock reacted positively by 2.0%. | +1.7% $214.73 -> $218.31 |
2026-09-30 | Major Refinery Contract Won Details: Dangote Petroleum Refinery selected Honeywell to provide technologies and services for its planned 700,000 barrel-per-day refinery in Kenya, expected to be the world's largest single-train refinery. | +1.7% $210.13 -> $213.80 |
2026-08-03 | Productivity Solutions Business Divested Details: The company completed the sale of its Productivity Solutions and Services (PSS) business, described as the 'final step toward completing our transition to a pure-play automation company'. | +2.4% $242.32 -> $248.05 |
2026-07-23 | Q2 Earnings Beat And Raise Details: The company reported Q2 results and raised its full-year outlook for organic growth, segment margin, and adjusted EPS. The stock reacted positively by 4.0% over two days. | +4.4% $232.29 -> $242.42 |
2026-06-05 | Aerospace Spin-Off Timing Set Details: The Board of Directors set a record date of June 15, 2026, and an expected distribution date of June 29, 2026, for the spin-off of Honeywell Aerospace. | -2.7% $219.05 -> $213.18 |
2026-05-08 | Quantinuum IPO Filing Details: Honeywell announced that its quantum computing company, Quantinuum, publicly filed a registration statement on Form S-1 for a proposed initial public offering. | +1.4% $216.29 -> $219.33 |
Position Sizing
4% - 6%
NORMAL POSITION
Sizing is volatility-based: HON trades at roughly 23% annualized realized (three-month) volatility versus about 11% for the S&P 500 (2.1x the market). A 4% - 6% position keeps a single-name swing of that size within a diversified portfolio's risk budget.
Diversification Alternatives
EMR - Emerson Electric
Premium Technology PlayEmerson Electric exhibits higher gross and operating margins, suggesting a stronger position in premium-priced, high-performance automation technology compared to Honeywell's broader installed-base focus.
JCI - Johnson Controls International
Building Automation ScaleJohnson Controls is a direct, large-scale competitor in Building Automation. Its lower operating margin profile suggests a focus on a more price-sensitive segment of the market.
A newly-focused industrial automation leader executing a turnaround and capitalizing on an energy upcycle, with its value tied to converting a massive backlog and monetizing its installed base.
Following its 2026 transformation into a pure-play automation company, Honeywell is now focused on three core markets. The company is leveraging a nearly $19 billion backlog and strong demand in energy (fueling a 'multiyear growth inflection' in its Process Automation segment) and data centers to drive growth. The investment thesis hinges on successful execution of its new focused strategy, including a turnaround in its Industrial Automation segment and expanding high-margin recurring revenues from software and services.
Sustained double-digit backlog growth in the Process Automation segment, continued margin expansion in Industrial Automation, and acceleration of recurring software revenue.
A sharp downturn in the global energy cycle, failure to eliminate stranded costs from the Aerospace spin-off leading to margin pressure, or a stall in the Industrial Automation turnaround.
Quarter-to-quarter volatility in large project bookings, which management notes do not always correlate with underlying market demand.
Repricing Catalyst
Demonstrating sustained profitable growth as a standalone automation company, particularly converting its large project backlog in the Process Automation segment, which management believes is at the beginning of a multiyear growth inflection.
Building Automation
$7.4B TTM (20% of Total)What It Is
Sells unified building automation solutions including fire detection, building controls, energy management systems, access control, and video management software to building owners and occupants.
Who Pays & How
Building owners and operators pay to convert their facilities into safe, sustainable, and integrated assets. They choose Honeywell for its integrated systems and equipment-agnostic approach which creates a large aftermarket opportunity.
Competition
Industrial Automation
$9.4B TTM (25% of Total)What It Is
Sells sensing and measurement solutions for mission-critical applications to customers in diversified verticals including energy, aerospace and defense, medical devices, and semiconductors.
Who Pays & How
Customers in critical industries pay for solutions that improve operational efficiency, asset effectiveness, and safety. They choose Honeywell for its extensive installed base and ability to deliver enterprise-level outcomes via its Honeywell Forge platform.
Competition
Honeywell International — Investor Video Playlist









Industry Resources
| Industrials Resources |
| IndustryWeek |
| Manufacturing.net |
| Aviation Week |
| Industrial Conglomerates Resources |
| Bloomberg Businessweek |
External Quote Links
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