- Honeywell’s adjusted earnings per share (EPS) for Q1 2025 were $2.51, surpassing the estimate of $2.21.
- Sales for the quarter reached $9.82 billion, exceeding the estimate of $9.6 billion.
- Free cash flow was $346 million, falling short of the estimated $515.8 million.
- Aerospace Technologies revenue stood at $4.17 billion, surpassing the expected $4.05 billion.
- Industrial Automation revenue was slightly above expectations at $2.38 billion, compared to the estimate of $2.37 billion.
- Building Automation revenue came in at $1.69 billion, beating the estimate of $1.61 billion.
- Energy and Sustainability Solutions revenue reached $1.56 billion, just above the estimate of $1.54 billion.
- Overall, organic sales increased by 4%, outpacing the estimated growth of 1.47%.
- Aerospace Technologies organic sales rose by 9%, slightly below the predicted increase of 9.24%.
- Industrial Automation saw a reduction in organic sales by 2%, better than the expected decline of 3.68%.
- Building Automation organic sales grew by 8%, significantly exceeding the estimate of 2.7% growth.
- Energy and Sustainability Solutions experienced a 2% decline in organic sales.
- The annual forecast for adjusted EPS is set between $10.20 and $10.50, with previous guidance ranging from $10.10 to $10.50 and estimates at $10.40.
- Honeywell anticipates sales to be between $39.6 billion and $40.5 billion, compared to a previous range of $39.6 billion to $40.6 billion and an estimate of $40.36 billion.
- The outlook for organic sales growth remains at 2% to 5%, against an estimate of 3.88%.
- Free cash flow is still projected at $5.4 billion to $5.8 billion, in line with the estimate of $5.42 billion.
- The guidance accounts for the impact of current tariffs, mitigation actions, and global demand uncertainty.
Honeywell International on Smartkarma
Analyst coverage on Honeywell International on Smartkarma reveals significant developments within the company. Richard Howe‘s report “Upcoming Spin-Offs: Key Details” discusses Honeywell’s plan to separate into three independent public entities in 2025, citing recent spin-off announcements and stock performance trends. Another report by Baptista Research titled “Honeywell: Why This Historic Breakup Could Change the Aerospace and Automation Game!” highlights the strategic transformation underway as Honeywell prepares to split into aerospace, automation, and advanced materials companies. The report points out pressure from activist investor Elliott Investment Management and draws parallels to successful breakups in similar sectors.
In a separate analysis, Richard Howe‘s report “Weekly Update (MRP, WDC, HON, LGFA)” mentions Honeywell’s decision to spin off its Advanced Materials business in 2024, with subsequent plans to separate into three independent entities that focus on specific sectors. Baptista Research‘s report “Honeywell’s Aerospace Split: Why Elliott’s Activist Call Could Unlock Billions in Value” delves into the attention Honeywell has garnered due to activist pressure, particularly regarding the aerospace business. Additionally, Baptista Research explores the impact of Honeywell’s acquisition activities, such as the LNG business deal with Air Products, on the company’s strategic direction and valuation moving forward.
A look at Honeywell International Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, Honeywell International has a positive long-term outlook. With a Value score of 2, the company is deemed to be fairly valued, offering potential for growth. Its Dividend score of 3 indicates a stable dividend payout, adding to the attractiveness for income-seeking investors. In terms of Growth, Resilience, and Momentum, Honeywell International scores a 3, suggesting a balanced mix of growth potential, ability to weather economic downturns, and positive stock price trends.
Honeywell International Inc. is a diversified technology and manufacturing company with a global presence. The company offers a wide range of products and services, including aerospace technology, control systems, turbochargers, automotive components, specialty chemicals, and energy-efficient solutions. With moderate scores across key factors, Honeywell International presents a solid investment opportunity for those seeking a well-rounded company with growth potential and dividend stability.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
