Honeywell International Inc. (HON) Rating Lowered to Sell at Zacks Investment Research
Honeywell International Inc. (NYSE:HON) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Monday.
According to Zacks, “Honeywell is susceptible to material price inflation, which in turn affects its profitability. Adverse foreign currency translations and volatility in commodity prices related to Brexit are likely to peg back Honeywell’s growth momentum. High R&D costs could also be a drag on its Aerospace segment margin. In addition, Honeywell is highly dependent on its supply chain, and any operating snag in one of the links might have an adverse impact. Nevertheless, Honeywell has managed to beat estimates thrice over the trailing four quarters, for a modest average positive surprise of 0.97%. Honeywell’s diversified business portfolio lends it the potential to earn consistent above-average returns in the upcoming quarters and mitigates operating risks. Honeywell is also divesting its $1.3 billion resins and chemicals business to focus on high-margin businesses and realigning its ACS business segment into two new segments.”
Several other analysts have also issued reports on the company. Barclays PLC set a $128.00 price objective on Honeywell International and gave the stock a “buy” rating in a report on Wednesday, October 12th. Argus reissued a “buy” rating on shares of Honeywell International in a research report on Wednesday, October 12th. Oppenheimer Holdings Inc. reissued an “outperform” rating and set a $122.00 target price (down from $128.00) on shares of Honeywell International in a research report on Wednesday, October 12th. Morgan Stanley reissued an “overweight” rating and set a $124.00 target price (down from $127.00) on shares of Honeywell International in a research report on Monday, October 10th. Finally, RBC Capital Markets reissued an “outperform” rating and set a $133.00 target price (down from $138.00) on shares of Honeywell International in a research report on Monday, October 10th. One analyst has rated the stock with a sell rating, four have given a hold rating and sixteen have issued a buy rating to the company’s stock. The stock has an average rating of “Buy” and a consensus target price of $123.00.
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Honeywell International (NYSE:HON) opened at 109.00 on Monday. Honeywell International has a 52 week low of $93.71 and a 52 week high of $120.02. The stock’s 50 day moving average price is $114.03 and its 200 day moving average price is $114.93. The firm has a market capitalization of $82.94 billion, a P/E ratio of 17.24 and a beta of 1.05.
Honeywell International (NYSE:HON) last released its quarterly earnings data on Friday, July 22nd. The company reported $1.66 earnings per share for the quarter, topping the consensus estimate of $1.64 by $0.02. The business earned $9.78 billion during the quarter, compared to analyst estimates of $10.13 billion. Honeywell International had a return on equity of 26.84% and a net margin of 12.60%. The company’s revenue was up 2.2% compared to the same quarter last year. During the same period last year, the company posted $1.51 EPS. On average, equities analysts expect that Honeywell International will post $6.68 EPS for the current year.
In other Honeywell International news, insider Timothy O. Mahoney sold 600 shares of Honeywell International stock in a transaction on Thursday, August 4th. The shares were sold at an average price of $116.29, for a total transaction of $69,774.00. Following the completion of the sale, the insider now owns 68,398 shares of the company’s stock, valued at approximately $7,954,003.42. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, SVP Katherine L. Adams sold 108,712 shares of Honeywell International stock in a transaction on Monday, August 15th. The stock was sold at an average price of $116.13, for a total transaction of $12,624,724.56. Following the sale, the senior vice president now directly owns 224,530 shares of the company’s stock, valued at approximately $26,074,668.90. The disclosure for this sale can be found here. 1.83% of the stock is currently owned by insiders.
A number of hedge funds have recently added to or reduced their stakes in the company. American National Bank raised its stake in Honeywell International by 112.0% in the second quarter. American National Bank now owns 956 shares of the company’s stock worth $111,000 after buying an additional 505 shares in the last quarter. First Personal Financial Services raised its stake in Honeywell International by 128.1% in the second quarter. First Personal Financial Services now owns 974 shares of the company’s stock worth $113,000 after buying an additional 547 shares in the last quarter. Bruderman Asset Management LLC raised its stake in Honeywell International by 19.6% in the second quarter. Bruderman Asset Management LLC now owns 1,048 shares of the company’s stock worth $122,000 after buying an additional 172 shares in the last quarter. Cable Hill Partners LLC raised its stake in Honeywell International by 364.0% in the second quarter. Cable Hill Partners LLC now owns 1,109 shares of the company’s stock worth $130,000 after buying an additional 870 shares in the last quarter. Finally, Zions Bancorporation raised its stake in Honeywell International by 14.6% in the first quarter. Zions Bancorporation now owns 1,332 shares of the company’s stock worth $152,000 after buying an additional 170 shares in the last quarter. 76.49% of the stock is owned by hedge funds and other institutional investors.
About Honeywell International
Honeywell International Inc (Honeywell) is a technology and manufacturing company. The Company operates in three segments: Aerospace, Automation and Control Solutions (ACS), and Performance Materials and Technologies (PMT). Its Aerospace segment supplies aircraft engines, integrated avionics, systems and service solutions, and related products and services for aircraft manufacturers, airlines, aircraft operators, military services, and defense and space contractors.
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