Honeywell International, Inc.NYSE
Honeywell Appears To Have A Lot To Offer
Stephen Simpson, CFA
Stephen Simpson, CFA
Thu, Dec. 1, 4:00 AM
- The EU plans to boost its defense budget to its highest level in over a decade, setting up a €5B fund and sending a signal to Donald Trump that it intends to pay for its own security.
- "This is not about an EU army, this is not about spending on the military instead of social security," European Commission Vice President Jyrki Katainen said. "We face multiplying threats and we must act."
- Related tickers: LMT, RTN, GD, NOC, OA, HII, HON, UTX, ITT, TXT, LLL, COL
Wed, Nov. 30, 8:41 AM
- Honeywell's (NYSE:HON) TALIN inertial land navigation technology has been selected for installation on the British Army's new AJAX armored fighting vehicles.
- TALIN is a solution that can improve mission success in difficult terrain by providing users with a lightweight and highly accurate laser guidance system.
Sun, Nov. 20, 4:30 AM
- "Given the outcome of the congressional election and learning more specifically who is (and isn’t) involved as space advisers, I anticipate a larger appetite for a change agenda and a better than expected potential to get at least some of their agenda accomplished," Lori Garver, former No.2 at NASA writes.
- Expected areas of change: i) NASA’s bureaucracy/infrastructure is much too large and expensive. ii) NASA shouldn’t be spending so much money on Earth sciences. iii) The Moon is a better and more important destination than Mars. iv) Entrepreneurial space should play a larger role in all aspects of space. v) Space activities cut across international, civil, military and commercial arenas and should be run out of the White House, by a National Space Council, reporting to Vice President Pence.
- She also takes a few parting shots at the departing administration: "NASA Administrator Charlie Bolden’s perceived lack of enthusiastic support of the White House agenda gave an opening to the opposition. Without a willingness to take on these special interests, the administration made a Faustian bargain to secure congressional support for Earth sciences, technology and commercial crew, in exchange for support of developing a large expendable rocket (the Space Launch System or SLS) and deep space capsule (Orion) for human spaceflight. While these parochial interests still exist, a Trump White House has the opportunity to more effectively defend its own agenda."
- Stocks potentially impacted: AVAV, B, BA, GLOB, HON, I, JEC, LMT, OTCPK:MDDWF, MOG.A, OA, SAIC, SPACE, T
Wed, Nov. 16, 2:34 AM
- Honeywell (NYSE:HON) has agreed to supply avionics for a proposed supersonic jetliner - intended to carry only premium passengers - that could cruise 10% faster than the now extinct Concorde.
- The demonstrator vehicle, called Baby Boom, is slated to take to the air in 2017.
- If development goes as planned, the full-size version, including engines manufactured by General Electric (NYSE:GE), could start carrying passengers as early as next decade.
Wed, Nov. 9, 5:34 AM
- Donald Trump has called for eliminating the sequester on defense spending and initiating a military buildup, boosting troop levels and the number of ships and aircraft.
- He seeks to fully offset the cost through "common sense reforms that eliminate government waste and budget gimmicks" and additional payments from countries where the U.S. has military bases, including Germany, Saudi Arabia and Japan.
- Premarket movement: LMT +4.5%, RTN +1.7%, GD, BA, NOC, OA, HII, HON, UTX, OTCPK:EADSF, ITT, TXT, LLL, OTCPK:BAESY, OTCPK:FINMY, COL
Mon, Oct. 31, 4:55 AM
- Hawkers of civil and military aircraft - and the money to finance them - will try to drum up new business at aerospace expos this week, conscious their high-risk industry is approaching a turning point.
- China's biggest aviation event - Airshow China - starts in Zhuhai tomorrow. A defense trade show will also take place in Jakarta and an air finance conference in Hong Kong, as well as the annual U.S. business jet jamboree in Orlando, Florida.
- Among the U.S. exhibitors: AME, BA, ERJ, HON, HXL, LLL, LMT, SNA, TKR, TXT, UTX
Fri, Oct. 28, 10:44 AM
Wed, Oct. 26, 10:17 AM
- Honeywell (HON +0.1%) and Flowserve (FLS -0.2%) are collaborating to provide Industrial Internet of Things solutions to help industrial customers make their operations, safer, more efficient and more reliable.
- The collaboration will be part of the Honeywell INspire program, the company's joint customer development program for its IIoT ecosystem.
Fri, Oct. 21, 8:58 AM
- Honeywell (NYSE:HON) -0.9% premarket after reporting Q3 earnings that missed analyst estimates and fell for the first time since 2011, hurt by an unexpectedly weak September and a lackluster performance in aerospace.
- HON had dropped 7.5% on Oct. 7 after it cut its sales and profit guidance and pre-announced the Q3 results.
- HON reaffirms guidance for Q4, seeing EPS of $1.74-$1.78, vs. $1.76 analyst consensus estimate, as well as FY 2016, expecting EPS of $6.60-$6.64, vs. $6.61 consensus, on sales of $39.4B-$39.6B vs. prior $40B-$40.6B and $40.65B consensus, with core organic sales declining by 1%-2%.
- "We are well positioned for double-digit earnings growth in [Q4], leading to 8%-9% earnings growth in 2016," Chairman and CEO Dave Cote says.
- HON's Q3 aerospace organic revenue fell 6% to $3.6B due to the impact of sales incentives, weakness in business jets and commercial helicopters, and the completion of space and international defense programs; it expects Q4 sales to slide 7%-9% due to weakness in the business jets, defense and space areas.
Fri, Oct. 21, 6:34 AM
Thu, Oct. 20, 5:30 PM
Fri, Oct. 14, 12:49 PM
- Honeywell (HON +0.6%) is higher after CEO Dave Cote told CNBC last night that he should have provided a more optimistic outlook for the company, while releasing an updated presentation that painted a much brighter picture for the future.
- "I could have done a significantly better job of communicating this story," Cote told Jim Cramer, saying that HON tried to explain the moving parts of the company instead of presenting its prospects in an overall package.
- "I was astounded by the reaction," Cote said about the stock's 7% fall on Oct. 7 in response to what was seen as surprisingly gloomy guidance (I, II).
- The Oct. 7 guidance addressed upfront the weakness in aerospace, but Cote now says that while the business jet market is declining, the commercial, defense and aerospace segments are doing fine.
- HON also indicated in its updated presentation that its oil and gas business bottomed in Q3.
Fri, Oct. 14, 8:06 AM
- Chairman and CEO David Cote appeared on Mad Money last night.
- Link to slide show »
Mon, Oct. 10, 11:25 AM
- Morgan Stanley cuts its stock price target for Honeywell (HON -0.2%) to $124 from $127 but believes the stock remains a top pick, retaining its Overweight rating despite the company's downbeat guidance and concerns over the CEO transition.
- The firm indicates that the management's margin expansion forecast of 45-75 bps is on the conservative side, saying HON could gain 45 bps from restructuring, 20 bps from currency hedging and 30 bps from disposal mix-up and the absence of deal-related expenses.
- At the same time, Goldman Sachs still calls HON a Buy but removes the stock from its Conviction List, citing less conviction in HON's execution following three quarters of EBIT misses while continuing to expect above-average fundamentals.
Sat, Oct. 8, 8:25 AM
- “This is the bottom” for Honeywell's (NYSE:HON) businesses exposed to the oil and gas industries, but troubles in the business jet industry “will get worse” next year, CEO David Cote said Friday, a day after the company cut its earnings and sales forecast, causing shares to slide 7.5% in their worst showing in five years.
- "This was a surprise," says William Blair's Nick Heymann, as HON had been considered a safe-haven stock amid sluggish industrial growth, on Cote's reputation and record of delivering on profit targets.
- Morgan Stanley analyst Nigel Coe compared HON’s announcement to a “paella bowl” dropped in front of investors and said “credibility is becoming a growing issue.”
- Other analysts are more confident: J.P. Morgan's Steve Tusa says "it's not that bad in the grand scheme," noting that HON’s profits are off ~5% YTD, roughly in line with its industrial peers.
- “While this quarter and maybe next quarter look to be a little bit worse than anticipated, we still believe they’re well positioned long term to benefit from growth opportunities," according to Edward Jones' Jeff WIndau.
- HON supplies parts to Textron (NYSE:TXT) and General Dynamics (NYSE:GD), which fell a respective 3.6% and 0.8% yesterday, while aerospace parts makers Heico (NYSE:HEI), B/E Aerospace (NASDAQ:BEAV) and TransDigm (NYSE:TDG) each slid more than 1%; also, GE slipped 0.6%, United Technologies (NYSE:UTX) fell 1.5%, and Boeing (NYSE:BA) lost 0.4%.
Fri, Oct. 7, 9:14 AM