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Honeywell International Inc. (HON) is scheduled to report its Q2 2012 results on July 18, 2012, before the market opens. The street expects EPS and revenue of $1.12 and $9.56B, respectively.

In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from HON and the news from its closest competitors.

Honeywell International Inc. Revenue and Net Income History

Recent EPS Actuals vs. Estimates

The company has met or beaten analysts' estimates in the last four quarters. In the last quarter it reported $1.04 EPS, beating analyst estimates of $0.99.

Honeywell International Inc. EPS Historical Results vs Estimates

The consensus EPS estimate is $1.12 based on 20 analysts' estimates, up from $1.02 a year ago. Revenue estimates are $9.56B, up from $9.09B a year ago. The median target price by analysts for the stock is $68.00.

Average recommendation: Overweight

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On March 8, 2012, RBC Capital Mkts reiterated Outperform rating for the company.
  • On January 30, 2012, UBS reiterated Neutral rating for the company.
  • On January 30, 2012, Oppenheimer reiterated Outperform rating for the company.
  • On January 30, 2012, Barclays Capital reiterated Overweight rating for the company.

Latest News

  • On June 4, 2012, Honeywell International Inc announced that it has acquired INNCOM, a Connecticut-based, privately held manufacturer of advanced software-based energy management solutions and in-room controls for lodging, healthcare and educational institutions.
  • On April 26, 2012, Honeywell International Inc's UOP LLC announced that it has been selected to provide key technology to produce propylene in China. Zhangjiagang Yangzi River Petrochemical Co. Ltd will use Honeywell's UOP C3 Oleflex process technology to convert propane to propylene, which is used in the production of materials such as films and packaging.
  • On April 20, 2012, Honeywell International Inc announced that as a result of strong first quarter 2012 and continued favorable outlook for major markets, the Company is raising fiscal 2012 earnings per share (EPS) outlook.
  • On April 18, 2012, Honeywell International Inc announced that Honeywell International Inc will manufacture hardware for in-flight internet connectivity for satellite communications company Inmarsat Plc's broadband network.
  • On March 27, 2012, BM&FBovespa (Bovespa) announced that, on April 4, 2012, the Brazilian Depositary Receipts (BDRs) Level I of Honeywell International Inc will start being traded on Bovespa's over-the-counter (OTC) market, quoted in BRL per unit and with standard trading lot of 100 BDRs, under the ticker HONB11B.
  • On March 20, 2012, Honeywell International Inc announced that it has introduced its new Attune Advisory Services, a suite of professional services that combines cloud-based tools and analytics with a global network of operations centers, and energy and facility experts to provide enhancements that can reduce utility bills and operating expenses up to 20%.
  • On March 7, 2012, Honeywell International Inc reaffirmed its previously announced 2012 outlook and narrowed its estimate of expected first quarter 2012 earnings per share to $0.96 to $0.98, the high-end of the previously communicated range ($0.93 to $0.98). According to I/B/E/S Estimates, analysts on an average are expecting the Company to report revenue of $38.5 billion and EPS of $4.44 for fiscal 2012; and EPS of $0.98 for the first quarter of 2012.
  • On February 20, 2012, Honeywell International Inc announced that Furuno Electric Co., Ltd. and Honeywell International Inc have signed a settlement agreement on January 18, 2012, regarding two lawsuits filed against each other.
  • On February 16, 2012, Honeywell International Inc. announced that it has declared a regular quarterly dividend of $0.3725 per share on the Company's outstanding common stock.
  • On February 16, 2012, Honeywell International Inc's Honeywell Aerospace announced that it as been awarded a contract to provide iits auxiliary power units (APUs) and a three-year maintenance program for Eastar Jet's growing fleet of Boeing 737-800 NG aircraft.
  • On February 15, 2012, China Eastern Airlines announced that it has strengthened its strategic relationship with Honeywell International Inc, signing several agreements that will enhance the safety, efficiency and performance of its growing narrow-body fleet, while lowering overall cost of ownership.
  • On February 6, 2012, Honeywell International Inc. announced that it has filed a patent infringement lawsuit against Nest Labs, Inc. in the United States District Court for the District of Minnesota.
  • On January 27, 2012, Honeywell International Inc announced that for first quarter of 2012, it expects revenue to be in the range of $9-$9.2 billion, up 4% to 6% from last year, assuming a euro rate of $1.30. Earnings per share in the range of $0.93-$0.98. The Company reaffirmed fiscal 2012 guidance and expects sales to be in the range of $37.8-$38.9 on a reported basis and EPS in the range of $4.25-$4.50. According to I/B/E/S Estimates, analysts are expecting the Company to report revenue of $9.2 billion and EPS of $1.00 for first quarter of 2012; revenue of $38.6 billion and EPS of $4.43 for fiscal 2012.

Competitors

The Boeing Company (BA), Emerson Electric Co. (EMR), General Electric Company (GE), Johnson Controls Inc. (JCI) and United Technologies Corp. (UTX) are considered major competitors for Honeywell International and the table below provides the key metrics for these companies and the industry.

Honeywell International Inc. key ratio comparison with direct competitors

The chart below compares the stock price changes as a percentage for the selected companies for the last one year period.

(click to enlarge)HON Chart

HON data by YCharts

Competitors' Latest Development

  • On July 11, 2012, Hamilton Sundstrand Corporation, a subsidiary of United Technologies Corporation, announced that it has awarded a multi-year Overhaul & Repair contract from the U.S. Army for BLACK HAWK helicopter T700 fuel controls, with initial delivery orders starting in 2012 and covering a period of performance through 2017.
  • On July 11, 2012, Dow Jones reported that & Whitney and JetBlue Airways signed a definitive agreement for PurePower PW1100G-JM engines to power its order of 40 firm A320neo family aircraft finalizing the MOU announced in late 2011.
  • On July 11, 2012, Dow Jones reported that Pratt & Whitney, a United Technologies Corp. company announced that it has signed a memorandum of understanding for an exclusive maintenance services agreement with Alba Star Airlines to provide engine overhaul services on the airline's fleet of CFM56-3 engines.
  • On July 10, 2012, Dow Jones reported that General Electric Co plans to spend an additional $70 million to expand its advanced battery factory in upstate New York. The plant, located in Schenectady, N.Y., produces GE's Durathon battery products, which are half the size of conventional lead-acid batteries but last about 10 times longer.
  • On July 10, 2012, Mitsubishi Heavy Industries, Ltd. announced that the judgment of the lawsuit, which the Company filed against General Electric, for patent infringement on wind turbine technology, on May 21, 2010.
  • On July 10, 2012, Sikorsky Aerospace Services (SAS) announced the expansion of an existing contract that doubles the size of the in-country maintenance support team for the Colombian Army UH-60 BLACK HAWK fleet.
  • On July 9, 2012, Duro Felguera SA announced its participation in collaboration with General Electric Co and a local entity Fainser in a turn-key project to build a gas-turbine electric power plant in Vuelta de Obligado, Argentina.
  • On July 9, 2012, Faruqi & Faruqi, LLP, a national law firm concentrating on investor rights, consumer rights and the enforcement of federal antitrust laws announced that it is investigating potential wrongdoing at United Technologies Corporation.
  • On July 9, 2012, The Boeing Company and Air Lease Corporation announced a firm order for 60 737 MAX 8 and 15 737 MAX 9 airplanes, with reconfirmation rights for 25 additional 737 MAXs.
  • On July 9, 2012, United Technologies Corp.'s subsidiary Hamilton Sundstrand Corporation and Japan Airlines Co., Ltd. (JAL) agreed to extend their exclusive repair agreement on Airlines on Boeing 767/777 and MD90 fleets.
  • On July 9, 2012, Sundstrand Corporation, the system supplier to the Boeing 787 Dreamliner, has ramped up its operations and its supply chain to support Boeing's rate readiness needs for 787 production.
  • On July 9, 2012, Hamilton Sundstrand Corporation, a subsidiary of United Technologies Corporation, signed a long-term agreement with Fokker Services to provide spare parts to support components repaired by Fokker workshops through 2016.
  • On July 9, 2012, LifePort, Inc. announced that it has received a subcontract from L-3 Platform Integration in support of a 747-8 Head-of-State Completion Project. LifePort will equip the upper deck of the aircraft with customized cabinets, partitions and a lavatory.
  • On July 9, 2012, Sikorsky Aerospace Services (SAS) announced an exclusive sales and distribution agreement with Northrop Grumman Corporation's Italy-based subsidiary, Northrop Grumman Italia (NGI), to equip BLACK HAWK utility aircraft with its NAVEX-12 Air Navigation System.
  • On July 6, 2012, Reuters reported that United Technologies Corp. is set to win EU approval for its $16.5 billion purchase of Goodrich Corporation after agreeing to sell assets in the United States and Britain.
  • On July 5, 2012, Reuters reported that Virgin Australia Holdings Ltd. said it has ordered 23 The Boeing Company 737 MAX 8 aircraft in a deal worth USD2.19 billion at list prices.
  • On July 4, 2012, Dow Jones reported that General Electric Co is suspending construction of a thin-film solar panel factory in Colorado, Bloomberg News reported. Danielle Merfeld, general manager of solar technologies, said in an interview that work would stop for at least 18 months.
  • On July 3, 2012, Reuters reported that EverBank Financial Corp said it would buy General Electric Capital's Business Property Lending Inc division for $2.51 billion to boost its ability to lend to small and mid-size companies, driving up its shares more than 4%. The latest deal includes about $2.44 billion of performing commercial loans, origination and servicing platforms, and servicing rights on $3.1 billion of loans securitized by GE Capital.
  • On July 2, 2012, EDAC Technologies announced that it has revised its facility relocation plan and has purchased a 293,000 square foot manufacturing facility located in Cheshire, Conn. from United Technologies Corporation.
  • On July 2, 2012, General Electric Co And OJSC Rosneft announced that it has signed a memorandum of understanding (MOU) that lays the foundation for the two companies to jointly evaluate and develop commercial opportunities in oil and gas exploration and production in the Russian Federation.
  • On July 2, 2012, General Electric Co announced that Swedish energy developer Triventus Wind Power AB will use GE's wind turbine technology to power a new 27.5-megawatt (MW) wind farm project being built near Falkenberg on Sweden's west coast.
  • On June 26, 2012, ICO Global Communications (Operations) Ltd. (ICO), a subsidiary of Pendrell Corporation, announced that it has withdrawn its petition for review to the California Supreme Court in connection with its litigation against The Boeing Company and certain of its subsidiaries.
  • On June 26, 2012, Servicesource International Inc announced that General Electric Co's GE Healthcare has expanded its partnership with ServiceSource in Asia-Pacific to drive renewal of recurring service contracts for both small and large scale medical equipment.
  • On June 26, 2012, The Boeing Company announced an agreement to collaborate on the KC-390 aircraft program. Under this agreement, Boeing and Embraer will share some specific technical knowledge and evaluate markets where they may join their sales efforts for medium-lift military transport opportunities.
  • On June 21, 2012, NK Rosneft' OAO (Rosneft) announced that on June 21, 2012 Mr. I. Sechin, Rosneft President, and Mr. John Krenicki, General Electric Co Vice Chairman President and CEO of GE Energy, and Mr. Cristiano Tortelli, GE Energy CEO for CEE, Russia and CIS, signed a Memorandum of Understanding and a Cooperation Agreement.
  • On June 20, 2012, Dow Jones reported that Boeing will collaborate on air traffic management (ATM) research with LOT Polish Airlines, Polish government agencies and academic institutions to make commercial aviation in Poland more efficient and to support airline profitability.
  • On June 18, 2012, Reuters reported that United Technologies Corp. is looking to sell power generation assets within its Pratt and Whitney subsidiary in a deal that could fetch around $1 billion, according to three people familiar with the matter.
  • On June 16, 2012, Reuters reported that General Electric Co aims to buy a medium-sized business in Germany in the next six months to expand its technological footprint, German daily Sueddeutsche Zeitung reported, citing a manager at the U.S. conglomerate.
  • On June 13, 2012, United Technologies Corp. announced that the Board of Directors declared, effective July 5, an 11.5% increase in its third quarter dividend to $0.535 per common share.
  • On June 13, 2012, United Technologies Corp. announced that it has successfully priced its offering of equity units. Net proceeds of the offering are expected to be used primarily to pay a portion of the cash consideration for the previously announced acquisition of Goodrich Corporation.
  • On June 12, 2012, General Electric Co announced that it had secured an order for GBP3.25 million from General Dynamics UK for subsystems required for the Demonstration Phase for the Scout Specialist Vehicle family of platforms for the British Army for which General Dynamics UK is currently on contract.
  • On June 12, 2012, United Technologies Corp. announced an offering of $1.00 billion of equity units. Net proceeds of the offering are expected to be used primarily to pay a portion of the cash consideration for the previously announced acquisition of Goodrich Corporation.
  • On June 8, 2012, General Electric Co announced that it declared a $0.17 per share dividend on the outstanding common stock of the Company payable on July 25, 2012, with a record date of June 25, 2012 and ex-dividend date of June 21, 2012.
  • On June 6, 2012, Johnson Controls Inc announced a planned $200 million automotive battery plant, pending final approval. The facility will supply automakers and the aftermarket in China with high quality maintenance-free lead-acid starter batteries and advanced batteries for Start-Stop vehicles.
  • On June 6, 2012, General Electric Co's GE Oil & Gas announced that it will supply advanced turbocompression technology for the PETRONAS LNG Train 9 project, which will add 3.6 million tons per annum (mtpa) to the existing 25.7 mtpa production capacity of the PETRONAS LNG Complex in Bintulu, Sarawak, Malaysia.
  • On June 5, 2012, General Electric Co's GE Healthcare announced the acquisition of XPRO, a Brazilian Interventional X-ray equipment manufacturer company with over 15 years of experience and with more than 120 systems installed at private customer sites.
  • On June 2, 2012, General Electric Co's GE Healthcare signed an agreement with Affibody AB to collaborate on the development of a Her2-targeted PET imaging agent, which is scheduled to begin clinical trials later this year.
  • On June 2, 2012, General Electric Co's GE Healthcare announced results from the Tamoxifen and Exemestane Adjuvant Multinational (TEAM) Trial at the 2012 Annual Meeting of the American Society of Clinical Oncology.
  • On May 31, 2012, General Electric Co's Clarient Diagnostic Services, Inc., a GE Healthcare company, and molecular diagnostics company Insight Genetics, Inc., announced a worldwide licensing agreement for intellectual property from Insight Genetics, granting Clarient rights to develop a genetic test covering the ALK (anaplastic lymphoma kinase) biomarker, a promising target for several classes of cancer drugs.
  • On May 25, 2012, United Technologies Corp. announced that it has successfully priced an offering of senior notes consisting of: $1.0 billion aggregate principal amount of 1.200% senior notes due 2015; $1.5 billion aggregate principal amount of 1.800% senior notes due 2017; $2.3 billion aggregate principal amount of 3.100% senior notes due 2022; $3.5 billion aggregate principal amount of 4.500% senior notes due 2042; $1.0 billion aggregate principal amount of floating rate senior notes due 2013; and $500 million aggregate principal amount of floating rate senior notes due 2015.
  • On May 24, 2012, Reuters reported the pricing of a bond offering of almost $10 billion from United Technologies Corp. Up to $38 billion of orders were placed with underwriters on the deal, according to market sources.
  • On May 22, 2012, United Technologies Corp. announced that for fiscal 2012, it remain confident on guidance and will deliver EPS of $5.30 to $5.50, sales will be $61 billion to $62 billion, including Goodrich.
  • On May 22, 2012, Reuters reported that United Technologies Corp. is confident that its pending $16.5 billion takeover of aircraft components maker Goodrich Corp will close in July, despite an ongoing European Union antitrust review of the deal.
  • On May 16, 2012, General Electric Co announced that it is pursuing acquisitions of two underground mining equipment manufacturers in support of the global expansion of its mining business.
  • On May 15, 2012, Reuters reported that private equity firms TPG Capital and Carlyle Group LP are separately considering bids for United Technologies Corp.'s industrial units that make pumps and compressors valued at $3.5 billion to $4 billion.
  • On May 10, 2012, GE Healthcare, the healthcare business of General Electric Co announced that it has completed the acquisition of Xcellerex, Inc., a supplier of manufacturing technologies for the fast-growing biopharmaceutical industry.
  • On May 10, 2012, The Boeing Company announced that it has completed the acquisition of Inmedius, a provider of software applications and services for managing and sharing information and learning content.
  • On May 9, 2012, Biosense Webster Inc announced the execution of strategic collaboration agreements with two global imaging companies, General Electric Co's GE Healthcare and Siemens AG's Siemens Healthcare.
  • On May 7, 2012, General Electric Co And China Xd Electric Co announced the formation of a new partnership to deliver a full-line of electric transmission and distribution (T&D) and grid automation solutions to customers around the world.
  • On May 1, 2012, Emerson Electric Co revised fiscal 2012 outlook and expects to report the sales growth of 2% to 4% and earnings per share $3.35 to $3.50. The Company reported revenues of $24.2 billion in fiscal 2011.
  • On April 30, 2012, General Electric Co's GE Oil & Gas announced that it will supply ATP Oil & Gas (UK) Limited with subsea production equipment, ancillary systems and related services for ATP`s signature Cheviot oilfield project in the North Sea, under the terms of an $80 million contract.
  • On April 30, 2012, The Boeing Company announced that its Board of Directors declared a regular quarterly dividend of $0.44 per share. The dividend is payable June 1, 2012, to shareholders of record as of May 11, 2012.
  • On April 26, 2012, The Boeing Company announced that it has signed an agreement to acquire Inmedius, a provider of software applications and services for managing and sharing information and learning content.
  • On April 25, 2012, General Electric Co announced that for fiscal 2012 and fiscal 2013, it expects continued double digit earnings growth.
  • On April 25, 2012, The Boeing Company announced that for fiscal 2012, it expects revenue to be in the range of $78-$80 billion and earnings per share in the range of $4.15-$4.35. According to I/B/E/S Estimates, analysts are expecting the Company to report revenue of $79 billion for fiscal 2012.
  • On April 24, 2012, Johnson Controls Inc announced that it is acquiring a 24.9% share in its Novo Mesto, Slovenia joint venture called TPV Johnson Controls. The acquisition of these additional shares gives Johnson Controls a 74.9% ownership stake, making it the majority shareholder in the joint venture.
  • On April 24, 2012, United Technologies Corp. announced that continued focus on cost reduction and strong execution will allow the Company to deliver earnings per share in fiscal 2012 of $5.30 to $5.50, on sales of $61 billion to $62 billion, including Goodrich.
  • On April 20, 2012, Johnson Controls Inc announced that for third quarter of 2012, it expects earnings to increase approximately 20% compared the third quarter of 2011 and its fourth quarter earnings to increase approximately 25% from the prior year period.
  • On April 19, 2012, General Electric Co's GE Healthcare and NXT2B announced they have entered into a joint financing agreement with the goal of developing a micro-scale radiotracer infrastructure including cyclotron and PET tracer production.
  • On April 19, 2012, Reuters reported that a federal judge on Wednesday dismissed claims against Goldman Sachs Group Inc, JPMorgan Chase & Co. and 40 other defendants that they helped mislead investors in General Electric Co's $12.2 billion stock offering in 2008.
  • On April 18, 2012, Otis Brazil, a unit of Otis Elevator Company and United Technologies Corp. announced a contract win to install 21 energy-efficient elevators and escalators at Rio de Janeiro's famous Maracana Stadium -- the site of the 2014 FIFA World Cup final championship match and the 2016 Summer Olympics' opening and closing ceremonies.
  • On April 17, 2012, General Electric Co announced that it's broad and competitive portfolio of advanced technology wind turbines will power a new wind project in the province of Ontario, Canada that will add 100 megawatts of clean energy to the region's electricity grid.

Technical Overview


The stock has a market capitalization of $41.76B and is currently trading at $53.60 with a 52 week range of $41.22 - $62.00. The stock's year-to-date performance has been -0.11%. It is currently trading below 20, 50 and 200 SMA.

Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.

Source: Earnings Preview: Honeywell International