From CNBC: 2024-07-25 15:30:20

Honeywell’s second-quarter sales of $9.58 billion beat expectations, with adjusted earnings per share of $2.49 exceeding forecasts. Shares slid despite strong results due to mixed outlook. Management focused on three mega-trends: automation, future of aviation, energy transition. Guidance revised lower for segment margin, earnings, and cash flow due to slow short-cycle business rebound.

Despite lower outlook, Honeywell’s performance remains strong. Aerospace led in organic growth. Supply chain dynamics improving. Profitability expected to rebound next year. Management aligning business with mega-trends for better future performance. Reiterating price target of $225/share and 2 rating, expecting stronger 2025 rebound.

Honeywell’s third-quarter outlook is mixed, with better sales but lower profitability than expected. Aerospace saw strong performance, but slight miss impacted segment margin. Industrial Automation expects modest improvement. Guidance revised due to acquisitions and sales mix. Continuing to anticipate rebound and positive future performance.



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