Zacks Investment Research downgraded shares of Honeywell International (NYSE:HON) from a buy rating to a hold rating in a research report report published on Tuesday morning.
According to Zacks, “Honeywell’s diversified business portfolio aims to earn consistent above-average returns and mitigate operating risks. The company’s diligent focus on working capital management, free cash flow generation and a conservative balance sheet remain key positive attributes amid a challenging macroeconomic environment. The company invests in innovative technologies which will help it maintain its leadership position. The stock has outperformed the industry in the last six months. However, adverse foreign currency translations, high R&D expenses and volatility in commodity prices are likely to hurt its growth momentum. A change in the U.S. government’s defense and aerospace funding could adversely impact sales of Aerospace’s defense and space-related products and services. Honeywell is highly dependent on its supply chain to scale production and adjust delivery of long-lead time products during times of volatile demand. “
Several other research analysts have also recently issued reports on the stock. Deutsche Bank restated a buy rating and issued a $171.00 target price on shares of Honeywell International in a report on Tuesday, November 28th. Royal Bank of Canada cut shares of Honeywell International from an outperform rating to a sector perform rating and cut their target price for the stock from $163.00 to $158.00 in a report on Wednesday, January 3rd. They noted that the move was a valuation call. Citigroup set a $180.00 price target on shares of Honeywell International and gave the company a buy rating in a report on Thursday, December 14th. Barclays assumed coverage on shares of Honeywell International in a report on Thursday, February 15th. They issued an overweight rating and a $170.00 price target on the stock. Finally, Oppenheimer lifted their price target on shares of Honeywell International from $155.00 to $168.00 and gave the company an outperform rating in a report on Thursday, December 14th. Three equities research analysts have rated the stock with a hold rating and sixteen have given a buy rating to the company. The stock presently has an average rating of Buy and a consensus target price of $166.73.
Honeywell International (NYSE:HON) opened at $146.00 on Tuesday. The company has a quick ratio of 1.13, a current ratio of 1.38 and a debt-to-equity ratio of 0.72. Honeywell International has a fifty-two week low of $122.40 and a fifty-two week high of $165.13. The stock has a market cap of $113,823.02, a P/E ratio of 70.62, a PEG ratio of 2.14 and a beta of 0.98.
Honeywell International (NYSE:HON) last issued its earnings results on Friday, January 26th. The conglomerate reported $1.85 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.84 by $0.01. Honeywell International had a net margin of 4.08% and a return on equity of 27.27%. The firm had revenue of $10.84 billion for the quarter, compared to analysts’ expectations of $10.80 billion. During the same quarter last year, the business earned $1.74 earnings per share. The business’s revenue was up 8.6% on a year-over-year basis. research analysts forecast that Honeywell International will post 7.97 EPS for the current fiscal year.
Honeywell International announced that its Board of Directors has approved a share buyback plan on Friday, December 8th that allows the company to buyback $6.50 billion in outstanding shares. This buyback authorization allows the conglomerate to reacquire shares of its stock through open market purchases. Stock buyback plans are often an indication that the company’s management believes its stock is undervalued.
The firm also recently announced a quarterly dividend, which was paid on Friday, March 9th. Stockholders of record on Friday, February 23rd were issued a dividend of $0.745 per share. This represents a $2.98 dividend on an annualized basis and a dividend yield of 2.04%. The ex-dividend date of this dividend was Thursday, February 22nd. Honeywell International’s dividend payout ratio (DPR) is presently 143.27%.
In other news, Director Jaime Chico /Fa Pardo sold 2,868 shares of the business’s stock in a transaction on Monday, February 26th. The shares were sold at an average price of $156.36, for a total transaction of $448,440.48. Following the sale, the director now owns 41,092 shares in the company, valued at approximately $6,425,145.12. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Linnet F. Deily sold 2,886 shares of the business’s stock in a transaction on Wednesday, February 14th. The shares were sold at an average price of $147.71, for a total transaction of $426,291.06. Following the sale, the director now owns 9,105 shares in the company, valued at approximately $1,344,899.55. The disclosure for this sale can be found here. Insiders own 1.33% of the company’s stock.
Several hedge funds have recently made changes to their positions in HON. Welch Group LLC purchased a new position in shares of Honeywell International in the 4th quarter worth about $100,000. Wagner Wealth Management LLC purchased a new position in shares of Honeywell International in the 4th quarter worth about $101,000. Taylor Hoffman Wealth Management purchased a new position in shares of Honeywell International in the 4th quarter worth about $113,000. Mascoma Wealth Management LLC raised its position in shares of Honeywell International by 113.2% in the 3rd quarter. Mascoma Wealth Management LLC now owns 806 shares of the conglomerate’s stock worth $114,000 after purchasing an additional 428 shares during the last quarter. Finally, Invictus RG purchased a new position in shares of Honeywell International in the 3rd quarter worth about $117,000. Hedge funds and other institutional investors own 75.27% of the company’s stock.
About Honeywell International
Honeywell International Inc is a technology and manufacturing company. The Company operates through four segments: Aerospace, Home and Building Technologies, Performance Materials and Technologies, and Safety and Productivity Solutions. The Company’s Aerospace segment supplies products, software and services for aircraft and vehicles that it sells to original equipment manufacturers (OEMs) and other customers.
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