Honeywell Q3 Earnings: Revenue And Profit Growth, Adjusts Annual Outlook Factoring Acquisitions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 24 2024
0mins
Source: Benzinga
Third-Quarter Results: Honeywell reported a 6% year-over-year revenue growth to $9.728 billion, missing expectations, while adjusted EPS rose 8% to $2.58, surpassing estimates. The company also revised its FY24 sales guidance down to $38.6-$38.8 billion.
Future Outlook and Strategy: CEO Vimal Kapur highlighted ongoing portfolio optimization efforts, including plans to spin off Advanced Materials and exit the PPE business, alongside strong order rates and backlog growth, despite current sales headwinds.
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Analyst Views on HON
Wall Street analysts forecast HON stock price to rise
15 Analyst Rating
8 Buy
6 Hold
1 Sell
Moderate Buy
Current: 223.010
Low
195.00
Averages
235.07
High
262.00
Current: 223.010
Low
195.00
Averages
235.07
High
262.00
About HON
Honeywell International Inc. is an integrated operating company serving a range of industries and geographies around the world, with a portfolio that is underpinned by its Honeywell Accelerator operating system and Honeywell Forge platform. The Company provides actionable solutions for aerospace, building automation, industrial automation, process automation, and process technology. The Company supplies products, software, and services for aircrafts that it sells to original equipment manufacturers (OEM) and other customers in a variety of end markets. The Company’s portfolio of solutions and services is used in buildings worldwide for fire prevention, controls, access and security. Its offerings serve as the fundamental building blocks of industrial automation. Its sensor technologies and value-added smart edge devices offer connectivity across a variety of sensing and measurement applications. The Company offers a comprehensive portfolio of end-to-end process automation solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Honeywell Commits $500 Million to Enhance Production Capacity
- Strategic Investment Agreement: Honeywell has signed a groundbreaking supplier framework agreement with the U.S. Department of War, committing $500 million over several years to enhance production capacity, thereby rapidly addressing defense needs and demonstrating the company's leadership in critical technology sectors.
- Production Capacity Enhancement: This agreement will significantly boost Honeywell's production capabilities in key areas such as navigation systems, Assure™ actuators, and electronic warfare solutions, ensuring its critical role on global precision-guided weapon platforms and further solidifying its market position.
- Innovation-Driven Technology: Honeywell's commercial operating system will facilitate investments in advanced technologies, enabling the company to manufacture at greater speed and scale, thus providing lasting value to customers and taxpayers while meeting urgent national security demands.
- Industry Leadership Position: As one of the first Tier 1 suppliers to sign such an agreement with the Department of War, Honeywell Aerospace showcases its extensive influence across aerospace, defense, and industrial markets, further reinforcing its leadership in the global defense technology sector.
See More
Honeywell Aerospace Signs Defense Agreement with U.S. Department of War
- Strategic Partnership Agreement: Honeywell Aerospace has signed a supplier framework agreement with the U.S. Department of War, backed by a $500 million multi-year investment to rapidly enhance production capacity for critical defense technologies, marking the company as one of the first Tier 1 suppliers to enter such an agreement with the department.
- Production Capacity Enhancement: This agreement will drive Honeywell's production across key areas including navigation systems, missile actuators, and electronic warfare solutions, ensuring the delivery of more efficient defense capabilities in response to rapidly changing military demands.
- Electronic Warfare Solutions: Honeywell's electronic warfare solutions are already deployed across U.S. military platforms, including fighter jets and missile systems, supporting signals and electronic intelligence operations, thereby further solidifying its position in the defense market.
- Positive Market Reaction: In pre-market trading on Nasdaq, Honeywell International's stock rose by 1.30% to $224.45, reflecting market optimism and confidence in the company's new agreement.
See More
Honeywell Commits $500 Million to Production Capacity Upgrades
- Strategic Investment Agreement: Honeywell has signed a groundbreaking supplier framework agreement with the U.S. Department of War, committing $500 million over several years to enhance production capacity, thereby rapidly addressing national defense needs and demonstrating its leadership in critical defense technologies.
- Production Capacity Enhancement: This agreement positions Honeywell Aerospace as one of the first Tier 1 suppliers to sign such a framework with the DoW, indicating the company's commitment to delivering critical capabilities at the speed and scale required by the U.S. and its allies.
- Technological Investment Advantage: Jim Currier, President of Honeywell Aerospace, stated that the company's commercial operating system enables significant investments in advanced technologies and scalable manufacturing, providing lasting benefits to customers and taxpayers while further solidifying its market position.
- Wide Application Scope: Honeywell Aerospace Technologies' products and services are found in virtually every commercial, defense, and space aircraft, covering engines, electronics, wireless connectivity, and more, thereby enhancing fuel efficiency and safety across the aviation industry.
See More
Industrials Post Best Start in 25 Years, Outlook Ahead
- Strong Sector Performance: In 2026, industrials have emerged as a star in the stock market, with the State Street Industrial Select Sector SPDR ETF (XLI) rallying over 5% year-to-date, showcasing robust market demand among the S&P 500 sectors.
- Significant Stock Gains: Among the top 20 stocks by market cap, 14 have risen this year, with GE Vernova up 37%, Caterpillar up 25%, and Lockheed Martin up 26%, reflecting a strong recovery in the sector and increased investor confidence.
- Market Challenges Intensify: Despite the strong performance of industrials, the S&P 500 index has declined nearly 4% due to geopolitical risks and ongoing concerns in artificial intelligence and private credit, highlighting the complexity and uncertainty of the market environment.
- Cautious Future Growth: Trivariate Research notes that industrials are trading at a forward price-to-earnings ratio of about 24, indicating high valuations, and future earnings revisions are necessary to sustain current performance, adding to investor scrutiny and challenges.
See More
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- Automation Market Focus: Honeywell emphasizes automation in critical sectors such as buildings, energy, and industrial infrastructure, highlighting the necessity for high reliability in these systems to enhance customer productivity and safety.
- Business Model Breakdown: Approximately 60% of new Honeywell's revenue comes from product and solution sales, while 40% is generated through services and software that maintain installed equipment, ensuring a steady revenue stream.
- Diverse Market Opportunities: The company is expanding its installed base across rapidly growing markets like data centers, hospitals, and entertainment, ensuring it does not rely on a single growth vector, which enhances its cyclical resilience.
- Future Growth Potential: While data centers represent a significant growth area, Honeywell's diversified strategy allows it to maintain stable growth in other sectors such as life sciences and semiconductors, reducing dependence on any one market.
See More
Honeywell Launches New Gas Sensor Using Infrared Technology
- New Gas Sensor: Honeywell has launched a new gas sensor utilizing non-dispersive infrared technology to detect flammable gases such as methane, propane, and butane in industrial settings, enhancing safety in sectors like mining, oil and gas, and petrochemical production.
- Performance in Harsh Conditions: The sensor is engineered to operate in harsh environments characterized by dust, temperature fluctuations, and high humidity, featuring a condensation management system that ensures stable performance in locations like underground mines and refineries, significantly improving device reliability.
- Alternative to Traditional Sensors: Honeywell's new sensor employs infrared technology, which can resist the effects of certain contaminants compared to conventional catalytic bead or pellistor sensors, thereby reducing inaccuracies caused by sensor degradation and enhancing safety monitoring accuracy.
- Energy Efficiency Improvement: This infrared system consumes less power than some traditional sensors, potentially extending the operational time of portable gas detectors, thereby increasing device efficiency and cost-effectiveness, further strengthening Honeywell's competitive position in the gas detection market.
See More
Honeywell Commits $500 Million to Enhance Production Capacity
- Strategic Investment Agreement: Honeywell has signed a groundbreaking supplier framework agreement with the U.S. Department of War, committing $500 million over several years to enhance production capacity, thereby rapidly addressing defense needs and demonstrating the company's leadership in critical technology sectors.
- Production Capacity Enhancement: This agreement will significantly boost Honeywell's production capabilities in key areas such as navigation systems, Assure™ actuators, and electronic warfare solutions, ensuring its critical role on global precision-guided weapon platforms and further solidifying its market position.
- Innovation-Driven Technology: Honeywell's commercial operating system will facilitate investments in advanced technologies, enabling the company to manufacture at greater speed and scale, thus providing lasting value to customers and taxpayers while meeting urgent national security demands.
- Industry Leadership Position: As one of the first Tier 1 suppliers to sign such an agreement with the Department of War, Honeywell Aerospace showcases its extensive influence across aerospace, defense, and industrial markets, further reinforcing its leadership in the global defense technology sector.
See More
Honeywell Aerospace Signs Defense Agreement with U.S. Department of War
- Strategic Partnership Agreement: Honeywell Aerospace has signed a supplier framework agreement with the U.S. Department of War, backed by a $500 million multi-year investment to rapidly enhance production capacity for critical defense technologies, marking the company as one of the first Tier 1 suppliers to enter such an agreement with the department.
- Production Capacity Enhancement: This agreement will drive Honeywell's production across key areas including navigation systems, missile actuators, and electronic warfare solutions, ensuring the delivery of more efficient defense capabilities in response to rapidly changing military demands.
- Electronic Warfare Solutions: Honeywell's electronic warfare solutions are already deployed across U.S. military platforms, including fighter jets and missile systems, supporting signals and electronic intelligence operations, thereby further solidifying its position in the defense market.
- Positive Market Reaction: In pre-market trading on Nasdaq, Honeywell International's stock rose by 1.30% to $224.45, reflecting market optimism and confidence in the company's new agreement.
See More
Honeywell Commits $500 Million to Production Capacity Upgrades
- Strategic Investment Agreement: Honeywell has signed a groundbreaking supplier framework agreement with the U.S. Department of War, committing $500 million over several years to enhance production capacity, thereby rapidly addressing national defense needs and demonstrating its leadership in critical defense technologies.
- Production Capacity Enhancement: This agreement positions Honeywell Aerospace as one of the first Tier 1 suppliers to sign such a framework with the DoW, indicating the company's commitment to delivering critical capabilities at the speed and scale required by the U.S. and its allies.
- Technological Investment Advantage: Jim Currier, President of Honeywell Aerospace, stated that the company's commercial operating system enables significant investments in advanced technologies and scalable manufacturing, providing lasting benefits to customers and taxpayers while further solidifying its market position.
- Wide Application Scope: Honeywell Aerospace Technologies' products and services are found in virtually every commercial, defense, and space aircraft, covering engines, electronics, wireless connectivity, and more, thereby enhancing fuel efficiency and safety across the aviation industry.
See More
Industrials Post Best Start in 25 Years, Outlook Ahead
- Strong Sector Performance: In 2026, industrials have emerged as a star in the stock market, with the State Street Industrial Select Sector SPDR ETF (XLI) rallying over 5% year-to-date, showcasing robust market demand among the S&P 500 sectors.
- Significant Stock Gains: Among the top 20 stocks by market cap, 14 have risen this year, with GE Vernova up 37%, Caterpillar up 25%, and Lockheed Martin up 26%, reflecting a strong recovery in the sector and increased investor confidence.
- Market Challenges Intensify: Despite the strong performance of industrials, the S&P 500 index has declined nearly 4% due to geopolitical risks and ongoing concerns in artificial intelligence and private credit, highlighting the complexity and uncertainty of the market environment.
- Cautious Future Growth: Trivariate Research notes that industrials are trading at a forward price-to-earnings ratio of about 24, indicating high valuations, and future earnings revisions are necessary to sustain current performance, adding to investor scrutiny and challenges.
See More
Honeywell Prioritizes Growth in Automation Sector
- Automation Market Focus: Honeywell emphasizes automation in critical sectors such as buildings, energy, and industrial infrastructure, highlighting the necessity for high reliability in these systems to enhance customer productivity and safety.
- Business Model Breakdown: Approximately 60% of new Honeywell's revenue comes from product and solution sales, while 40% is generated through services and software that maintain installed equipment, ensuring a steady revenue stream.
- Diverse Market Opportunities: The company is expanding its installed base across rapidly growing markets like data centers, hospitals, and entertainment, ensuring it does not rely on a single growth vector, which enhances its cyclical resilience.
- Future Growth Potential: While data centers represent a significant growth area, Honeywell's diversified strategy allows it to maintain stable growth in other sectors such as life sciences and semiconductors, reducing dependence on any one market.
See More
Honeywell Launches New Gas Sensor Using Infrared Technology
- New Gas Sensor: Honeywell has launched a new gas sensor utilizing non-dispersive infrared technology to detect flammable gases such as methane, propane, and butane in industrial settings, enhancing safety in sectors like mining, oil and gas, and petrochemical production.
- Performance in Harsh Conditions: The sensor is engineered to operate in harsh environments characterized by dust, temperature fluctuations, and high humidity, featuring a condensation management system that ensures stable performance in locations like underground mines and refineries, significantly improving device reliability.
- Alternative to Traditional Sensors: Honeywell's new sensor employs infrared technology, which can resist the effects of certain contaminants compared to conventional catalytic bead or pellistor sensors, thereby reducing inaccuracies caused by sensor degradation and enhancing safety monitoring accuracy.
- Energy Efficiency Improvement: This infrared system consumes less power than some traditional sensors, potentially extending the operational time of portable gas detectors, thereby increasing device efficiency and cost-effectiveness, further strengthening Honeywell's competitive position in the gas detection market.
See More
