Honeywell Stock Downgrade: Honeywell's stock fell 1.2% after Bank of America analyst Andrew Obin downgraded it from "Buy" to "Sell," significantly lowering the price target from $265 to $205 due to disappointing performance from its spun-off company, Solstice Advanced Materials.
Challenges Post-Separation: The separation of Honeywell's refrigerants and materials business into Solstice has not met investor expectations, with Solstice shares declining from over $50 to $41.58, indicating that the anticipated value creation is not materializing.
Limited Growth Outlook: Obin forecasts limited earnings growth for Honeywell's core business through 2026, which diminishes the appeal of the stock despite its relatively low valuation compared to competitors like GE Aerospace and Rockwell Automation.
Analyst Consensus: Despite the downgrade, the consensus among 13 analysts remains a "Moderate Buy," with eight recommending a Buy and an average 12-month price target of $247.58, suggesting a potential upside of over 28% from the current price.
Wall Street analysts forecast HON stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for HON is 235.07 USD with a low forecast of 195.00 USD and a high forecast of 262.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
Wall Street analysts forecast HON stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for HON is 235.07 USD with a low forecast of 195.00 USD and a high forecast of 262.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Buy
6 Hold
1 Sell
Moderate Buy
Current: 222.540
Low
195.00
Averages
235.07
High
262.00
Current: 222.540
Low
195.00
Averages
235.07
High
262.00
JPMorgan
Neutral -> Overweight
upgrade
$218 -> $255
2026-01-16
Reason
JPMorgan
Price Target
$218 -> $255
AI Analysis
2026-01-16
upgrade
Neutral -> Overweight
Reason
JPMorgan upgraded Honeywell to Overweight from Neutral with a price target of $255, up from $218. The firm adjusted ratings in the electrical equipment and multi-industry group as part of its 2026 outlook. The analyst is more positive on Honeywell, citing the stock's discount to the company's sum-of-the-parts. JPMorgan sees a "disconnect" on Honeywell's asset value, especially for its aerospace unit.
Wells Fargo
Joseph O'Dea
Equal Weight
downgrade
$218 -> $215
2026-01-07
Reason
Wells Fargo
Joseph O'Dea
Price Target
$218 -> $215
2026-01-07
downgrade
Equal Weight
Reason
Wells Fargo analyst Joseph O'Dea lowered the firm's price target on Honeywell to $215 from $218 and keeps an Equal Weight rating on the shares. Discussing the Electrical Equipment & Multi-Industry space, the firm says it expects largely underwhelming initial 2026 guidance ranges in a prudent approach to expectation setting.
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Mizuho
Brett Linzey
Outperform -> NULL
downgrade
$250 -> $240
2026-01-05
Reason
Mizuho
Brett Linzey
Price Target
$250 -> $240
2026-01-05
downgrade
Outperform -> NULL
Reason
Mizuho analyst Brett Linzey lowered the firm's price target on Honeywell to $240 from $250 and keeps an Outperform rating on the shares. The firm adjusted ratings and price targets in the electrical equipment and multi-industry group as part of its 2026 outlook. It sees "uneven terrain ahead" for the sector but says the "tariff fog" is clearing.
Vertical Research
Jeffrey Sprague
Buy
to
Hold
downgrade
$220
2026-01-05
Reason
Vertical Research
Jeffrey Sprague
Price Target
$220
2026-01-05
downgrade
Buy
to
Hold
Reason
Vertical Research analyst Jeffrey Sprague downgraded Honeywell to Hold from Buy with a $220 price target.
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.
