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olivLaw · US equity research

Honeywell Technologies HON

Aircraft Engines & Engine Parts · SIC 3724 · Vertical: Aircraft Engines & Engine Parts (SIC 3724)

228.47USD+1.97% · 1 dayClose 04 Nov 2026

Honeywell Technologies (formerly Honeywell International, traded on NASDAQ as HON) reported third-quarter 2026 sales of $5.0 billion, up 7% organically. The company raised its 2026 outlook, now expecting sales of $20.0 billion to $20.1 billion and organic growth of 4% to 5%. Following the Aerospace spin-off and the Catalyst Technologies acquisition from Johnson Matthey, its profile has changed considerably.

At the close of 04 Nov 2026, Honeywell Technologies (HON) stock was 228.47 USD (+1.97% on the day), with market capitalisation 72.5 bn USD, P/E 10.9 on diluted EPS of 21.02 USD over the last 12 months, dividend yield 2.39%, beta 0.77, 52-week range 197.32–260.14 USD. Latest reported quarter (Q3 2026): revenue of 5.0 bn USD (+1.3% YoY), net income of 664.0 m USD (−63.6% YoY), diluted EPS 2.08 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
72.5 bn USD
shares as of 30 Sept 2026
P/E (TTM)
10.9
Diluted EPS TTM 21.02 · TTM to 30 Sept 2026
E/P (TTM)
9.20%
TTM to 30 Sept 2026
Dividend yield
2.39%
DPS 12m 5.46
Beta (2y)
0.77
Volatility (1y) 26%
52-week range
197.32260.14

Price history

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Technical reading

RSI (14)
69.5
strong (55–70)
Bollinger (20, 2)
202.80 – 228.44
above the upper band · %B 1.00 · band width 11.9%
SMA 50 / 200
212.23 / 230.72
mixed trend
MACD (12, 26, 9)
3.42 / 2.08
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month+6.7%−1.1%+7.8 pp—
3 months−7.9%−0.5%−7.5 pp—
6 months+0.5%+4.4%−3.9 pp—
Year to date+11.7%+12.3%−0.7 pp—
1 year+10.9%+13.5%−2.7 pp+6.6%
3 years+22.3%+76.4%−54.1 pp+218.2%
5 years+2.2%+63.7%−61.4 pp—
Max drawdown (1y)
−22.6%
02 Mar 2026 → 14 Sept 2026
Max drawdown (5y)
−26.7%
09 Nov 2021 → 30 Sept 2022
Compound annual growth (5y)
+0.4%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q3 2026 · 30 Sept 2026

Revenue
5.0 bn USD
+1.3% YoY
Net income
664.0 m USD
−63.6% YoY
Diluted EPS
2.08
−63.6% YoY
net / operating
13.3% / 21.3%

Quarterly margins

Quarterly statements · USD

Fiscal yearQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26Q3 '26
Revenue9.2 bn8.9 bn9.3 bn4.9 bn9.8 bn9.1 bn9.7 bn5.0 bn
Cost of revenue3.9 bn5.5 bn5.7 bn3.2 bn14.7 bn5.6 bn6.1 bn3.0 bn
Gross profit3.4 bn3.5 bn3.7 bn3.2 bn3.5 bn———
Research & development344.0 m416.0 m459.0 m268.0 m1.0 bn492.0 m524.0 m239.0 m
SG&A1.2 bn1.3 bn1.4 bn1.1 bn2.1 bn1.3 bn1.3 bn1.0 bn
Operating income1.1 bn2.0 bn2.1 bn866.0 m5.6 bn2.1 bn2.2 bn1.1 bn
Depreciation & amortisation196.0 m325.0 m348.0 m248.0 m672.0 m357.0 m312.0 m256.0 m
Interest expense281.0 m285.0 m329.0 m263.0 m629.0 m356.0 m363.0 m143.0 m
Pre-tax income575.0 m1.7 bn1.6 bn1.1 bn3.5 bn886.0 m7.3 bn839.0 m
Income tax30.0 m369.0 m244.0 m153.0 m581.0 m91.0 m1.6 bn60.0 m
Net income1.3 bn1.4 bn1.6 bn1.8 bn-115.0 m821.0 m5.7 bn664.0 m
Diluted EPS1.962.224.905.71-0.181.2917.832.08
Operating cash flow2.3 bn597.0 m1.3 bn ≈3.3 bn ≈1.2 bn-650.0 m1.3 bn ≈117.0 m ≈
Capex100.0 m190.0 m226.0 m ≈-41.0 m ≈611.0 m223.0 m315.0 m ≈-169.0 m ≈
Dividends paid741.0 m732.0 m747.0 m ≈735.0 m ≈762.0 m781.0 m795.0 m ≈240.0 m ≈
Share repurchases455.0 m1.9 bn1.7 bn ≈100.0 m ≈100.0 m1.0 bn0 ≈0 ≈

≈ derived quarter (cumulative difference / share-days average)

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 5 percentile of its own 44-quarter history (min 9.1, median 21.9, max 74.9; quarters with earnings only).

Fiscal years

Fiscal year20182019202020212022202320242025
Revenue41.8 bn36.7 bn32.6 bn34.4 bn35.5 bn33.0 bn34.7 bn37.4 bn
Revenue YoY+3.1%−12.2%−11.1%+5.4%+3.1%−6.9%+5.2%+7.8%
Net income6.8 bn6.1 bn4.8 bn5.5 bn5.0 bn5.7 bn5.7 bn4.7 bn
Net income YoY+337.9%−9.2%−22.2%+16.0%−10.4%+13.9%+0.8%−17.1%
Diluted EPS8.988.416.727.917.278.478.717.36
Diluted EPS YoY+349.0%−6.3%−20.1%+17.7%−8.1%+16.5%+2.8%−15.5%
net %16.2%16.7%14.6%16.1%14.0%17.1%16.4%12.6%
Free cash flow5.6 bn6.1 bn5.3 bn5.1 bn4.5 bn4.6 bn5.2 bn5.4 bn

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
12.3 bn USD
Financial debt
34.6 bn USD
Net debt
22.3 bn USD
Equity
15.0 bn USD
Total assets
73.7 bn USD
Debt / equity
2.30x
Current ratio
1.30x
ROE
27.7%
ROA
6.4%
FCF margin
14.5%

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
33.0 bn
2024
34.7 bn
2025
37.4 bn

SEC (XBRL)· 17 Feb 2026verified

Cost of revenue
2023
20.6 bn
2024
21.4 bn
2025
23.6 bn

SEC (XBRL)· 17 Feb 2026verified

Gross profit
2023
12.4 bn ≈
2024
13.4 bn ≈
2025
13.8 bn ≈

SEC (XBRL)· 17 Feb 2026derived

Research & development
2023
1.4 bn
2024
1.5 bn
2025
1.8 bn

SEC (XBRL)· 17 Feb 2026verified

SG&A
2023
4.9 bn
2024
5.2 bn
2025
5.5 bn

SEC (XBRL)· 17 Feb 2026verified

Operating income
2023
7.6 bn
2024
7.7 bn
2025
8.1 bn

SEC (XBRL)· 17 Feb 2026verified

Depreciation & amortisation
2023
1.0 bn
2024
1.2 bn
2025
1.4 bn

SEC (XBRL)· 17 Feb 2026verified

EBITDA
2023
8.6 bn ≈
2024
8.8 bn ≈
2025
9.5 bn ≈

SEC (XBRL)· 17 Feb 2026derived

Interest expense
2023
749.0 m
2024
1.0 bn
2025
1.3 bn

SEC (XBRL)· 17 Feb 2026verified

Pre-tax income
2023
6.2 bn
2024
6.2 bn
2025
5.5 bn

SEC (XBRL)· 17 Feb 2026verified

Income tax
2023
1.3 bn
2024
1.2 bn
2025
1.0 bn

SEC (XBRL)· 17 Feb 2026verified

Net income
2023
5.7 bn
2024
5.7 bn
2025
4.7 bn

SEC (XBRL)· 17 Feb 2026verified

Diluted EPS
2023
8.47
2024
8.71
2025
7.36

SEC (XBRL)· 17 Feb 2026verified

Weighted average diluted shares
2023
668.2 m
2024
655.3 m
2025
642.8 m

SEC (XBRL)· 17 Feb 2026verified

Dividend per share
2023
4.17
2024
4.37
2025
4.58

SEC (XBRL)· 17 Feb 2026verified

Balance sheet · USD

Cash
2023
7.9 bn
2024
9.9 bn
2025
12.3 bn

SEC (XBRL)· 22 Oct 2026verified

Receivables
2023
7.5 bn
2024
7.2 bn
2025
4.4 bn

SEC (XBRL)· 22 Oct 2026verified

Inventories
2023
6.2 bn
2024
5.9 bn
2025
1.7 bn

SEC (XBRL)· 22 Oct 2026verified

Current assets
2023
23.5 bn
2024
27.9 bn
2025
30.4 bn

SEC (XBRL)· 17 Feb 2026verified

Property, plant & equipment, net
2023
—
2024
—
2025
—

SEC (XBRL)· 10 Feb 2023verified

Goodwill
2023
17.2 bn
2024
21.0 bn
2025
18.1 bn

SEC (XBRL)· 22 Oct 2026verified

Intangibles (excl. goodwill)
2023
3.2 bn
2024
6.6 bn
2025
5.2 bn

SEC (XBRL)· 22 Oct 2026verified

Total assets
2023
61.5 bn
2024
75.2 bn
2025
73.7 bn

SEC (XBRL)· 17 Feb 2026verified

Accounts payable
2023
6.8 bn
2024
6.1 bn
2025
3.4 bn

SEC (XBRL)· 22 Oct 2026verified

Short-term debt
2023
2.1 bn
2024
4.3 bn
2025
5.9 bn

SEC (XBRL)· 17 Feb 2026verified

Long-term debt
2023
18.4 bn
2024
26.8 bn
2025
28.7 bn

SEC (XBRL)· 22 Oct 2026verified

Current liabilities
2023
18.5 bn
2024
21.3 bn
2025
23.4 bn

SEC (XBRL)· 17 Feb 2026verified

Equity
2023
16.4 bn
2024
19.2 bn
2025
15.0 bn

SEC (XBRL)· 17 Feb 2026verified

Cash flow · USD

Operating cash flow
2023
5.3 bn
2024
6.1 bn
2025
6.4 bn

SEC (XBRL)· 17 Feb 2026verified

Capex
2023
741.0 m
2024
871.0 m
2025
986.0 m

SEC (XBRL)· 17 Feb 2026verified

Free cash flow
2023
4.6 bn ≈
2024
5.2 bn ≈
2025
5.4 bn ≈

SEC (XBRL)· 17 Feb 2026derived

Investing cash flow
2023
-1.3 bn
2024
-10.2 bn
2025
-2.7 bn

SEC (XBRL)· 17 Feb 2026verified

Financing cash flow
2023
-5.8 bn
2024
6.8 bn
2025
-2.0 bn

SEC (XBRL)· 17 Feb 2026verified

Dividends paid
2023
2.9 bn
2024
2.9 bn
2025
3.0 bn

SEC (XBRL)· 17 Feb 2026verified

Share repurchases
2023
3.7 bn
2024
1.7 bn
2025
3.8 bn

SEC (XBRL)· 17 Feb 2026verified

Computed indicators

Growth

Revenue growth (YoY)
7.8%
computed by olivLawFY 2025
Revenue CAGR 3Y
1.8%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
2.8%
computed by olivLawFY 2020 → FY 2025
EBIT growth (YoY)
6.0%
computed by olivLawFY 2025
Net income growth (YoY)
-17.1%
computed by olivLawFY 2025
Net income CAGR 3Y
-1.6%
computed by olivLawFY 2022 → FY 2025
Net income CAGR 5Y
-0.2%
computed by olivLawFY 2020 → FY 2025
EPS growth (YoY)
-15.5%
computed by olivLawFY 2025
EPS CAGR 3Y
0.4%
computed by olivLawFY 2022 → FY 2025
EPS CAGR 5Y
1.8%
computed by olivLawFY 2020 → FY 2025
FCF growth (YoY)
3.8%
computed by olivLawFY 2025

Profitability

Gross margin
41.1%
computed by olivLawTTM to 30 Sept 2026
EBITDA margin
37.5%
computed by olivLawTTM to 30 Sept 2026
EBIT margin
32.7%
computed by olivLawTTM to 30 Sept 2026
Net margin
21.0%
computed by olivLawTTM to 30 Sept 2026
FCF margin
2.9%
computed by olivLawTTM to 30 Sept 2026

Returns

ROE
36.0%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
ROA
10.5%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
ROIC
23.7%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
ROCE
28.8%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Payout ratio (EPS)
26.0%
computed by olivLawTTM to 30 Sept 2026
Payout ratio (FCF)
266.6%
computed by olivLawTTM to 30 Sept 2026

Balance sheet

Net debt
10.9 bn USD
computed by olivLawbalance sheet at 30 Sept 2026
Net debt / EBITDA
0.9x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Debt / equity
0.7x
computed by olivLawbalance sheet at 30 Sept 2026
Interest coverage
7.4x
computed by olivLawTTM to 30 Sept 2026

Liquidity

Current ratio
1.0x
computed by olivLawbalance sheet at 30 Sept 2026
Quick ratio
0.8x
computed by olivLawbalance sheet at 30 Sept 2026
Cash ratio
0.4x
computed by olivLawbalance sheet at 30 Sept 2026

Cash

Operating cash flow
1.9 bn USD
computed by olivLawTTM to 30 Sept 2026
Capital expenditure
980.0 m USD
computed by olivLawTTM to 30 Sept 2026
Free cash flow
967.0 m USD
computed by olivLawTTM to 30 Sept 2026
FCF conversion
13.7%
computed by olivLawTTM to 30 Sept 2026
Cash conversion
15.5%
computed by olivLawTTM to 30 Sept 2026

Efficiency

Days sales outstanding
76 days
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Days inventory outstanding
57 days
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Days payables outstanding
68 days
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Cash conversion cycle
65 days
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026

Market and valuation

Market capitalisation
72.5 bn USD
computed by olivLawbalance sheet at 30 Sept 2026
Enterprise value
83.4 bn USD
computed by olivLawbalance sheet at 30 Sept 2026
Market cap / net income TTM
10.3x
computed by olivLawTTM to 30 Sept 2026
P/E (TTM)
10.9x
computed by olivLawTTM to 30 Sept 2026
Earnings yield
9.2%
computed by olivLawTTM to 30 Sept 2026
P/B
3.2x
computed by olivLawbalance sheet at 30 Sept 2026
P/S
2.2x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
EV/EBITDA
6.6x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
EV/EBIT
7.6x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
EV/Sales
2.5x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
P/FCF
75.0x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
FCF yield
1.3%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Dividend yield
2.4%
computed by olivLawTTM to 30 Sept 2026
Shareholder yield (distributions)
5.1%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026

Risk

Altman Z
unavailable
input data missing

Valuation

olivLaw classification

Neutral profile

Score: 51 / 100

A scoring methodology on indicators and valuation, not investment advice.

Closing price

228.47 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 72.5 bn USD

Key indicators

Market capitalisation
72.5 bn USD
computed by olivLawbalance sheet at 30 Sept 2026
P/E (TTM)
10.9x
computed by olivLawTTM to 30 Sept 2026
P/B
3.2x
computed by olivLawbalance sheet at 30 Sept 2026
EV/EBITDA
6.6x
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
ROE
36.0%
computed by olivLawTTM to 30 Sept 2026 · balance sheet at 30 Sept 2026
Net margin
21.0%
computed by olivLawTTM to 30 Sept 2026
Revenue growth (YoY)
7.8%
computed by olivLawFY 2025
Dividend yield
2.4%
computed by olivLawTTM to 30 Sept 2026

Coverage and freshness

35/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 30 Sept 2026
Latest balance sheet date: 30 Sept 2026
Share count (cover of the latest filing), as of: 30 Sept 2026
Source: SEC (XBRL)published 22 Oct 2026
verified 3036derived 213

Score by group

  • Valuation69
  • Balance sheet40
  • Quality73
  • Growth9
  • Returns43

Estimated value range

Low
279.28
USD per share
Mid
321.53
USD per share
High
377.05
USD per share
Price: 228.47 USD
The price is below the range
Potential to the central value: 40.7% (value / price − 1)
Margin of safety: 28.9% (1 − price / value)
Agreement between methods: low · 4 methods used · 3 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 59.96 – 645.58 USD.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)59.96 – 117.82 (Mid 81.67)
    WACC 8.5% · starting FCFF 2.2 bn USD · terminal value share of EV 75%
    The WACC × g sensitivity gives the method's bounds; these are not probabilities.
    Reverse DCF: no growth between −30% and +40% justifies the price
  • Peers: EV/EBITDA498.38 – 645.58 (Mid 561.38)
    4 companies used · median multiple 15.0x · quartiles 13.4x – 17.1x
    RTX, SARO, SIF, TATT
  • Peers: P/E578.07 – 636.28 (Mid 603.42)
    4 companies used · median multiple 28.7x · quartiles 27.5x – 30.3x
    RTX, SARO, SIF, TATT
  • Dividend discount (DDM)60.19 – 80.94 (Mid 69.04)
Multiple comparisons use the SIC vertical: Aircraft Engines & Engine Parts (SIC 3724)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Neutral profile · Score 51/100

FactorValueScoreWeight used
ROIC · Quality23.7%100 (vs peers)10%
Net margin · Quality21.0%100 (vs peers)6%
FCF conversion · Quality13.7%0 (on a fixed band)6%
Revenue CAGR 3Y · Growth1.8%15 (on a fixed band)8%
EPS CAGR 3Y · Growth0.4%3 (on a fixed band)8%
Net debt / EBITDA · Balance sheet0.9x20 (vs peers)10%
Interest coverage · Balance sheet7.4x90 (on a fixed band)6%
Current ratio · Balance sheet1.0x13 (on a fixed band)4%
P/E (TTM) · Valuation10.9x100 (vs peers)10%
EV/EBITDA · Valuation6.6x80 (vs peers)10%
FCF yield · Valuation1.3%17 (on a fixed band)8%
Shareholder yield (distributions) · Returns5.1%72 (on a fixed band)6%
Payout ratio (FCF) · Returns266.6%0 (on a fixed band)4%

Score groups

  • Balance sheet40/100 · 3/3 factors with a value
  • Growth9/100 · 2/2 factors with a value
  • Quality73/100 · 3/3 factors with a value
  • Returns43/100 · 2/2 factors with a value
  • Valuation69/100 · 3/3 factors with a value

Memo

Honeywell International Inc (HON). Latest full fiscal year: 2025; data up to 2026-09-30.

Figures computed from the financial statements: revenue 37.4 bn USD in 2025; YoY growth 7.8%; net margin 21.0%; ROE 36.0%; net debt/EBITDA 0.9x.

The estimated value range is 279.28–377.05 USD per share (median of 4 methods, agreement: low); assumptions are illustrative. Against the central value of 321.53 USD, the price of 228.47 USD leaves a potential of 40.7% (value / price − 1) and a margin of safety of 28.9% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

olivLaw score 51/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • ROIC: 23.7%
  • Net margin: 21.0%
  • Interest coverage: 7.4x
  • P/E (TTM): 10.9x
  • EV/EBITDA: 6.6x
  • Shareholder yield (distributions): 5.1%
  • The price is below the estimated value range

What contradicts it

  • FCF conversion: 13.7%
  • Revenue CAGR 3Y: 1.8%
  • EPS CAGR 3Y: 0.4%
  • Net debt / EBITDA: 0.9x
  • Current ratio: 1.0x
  • FCF yield: 1.3%
  • Payout ratio (FCF): 266.6%
  • The valuation methods diverge

Versus the vertical median

Aircraft Engines & Engine Parts (SIC 3724) · same industry (4-digit SIC) · compared with 5 companies

The size band was not applied: too few companies would have remained; the vertical includes much smaller or larger companies.

Multiples and returns vs the median

P/E
10.9x
vertical median 29.6x
below median (−63.3%)
EV/EBITDA
6.6x
vertical median 13.5x
below median (−51.0%)
P/S
2.2x
vertical median 1.8x
above median (+22.9%)
P/B
3.2x
vertical median 2.9x
above median (+13.4%)
ROE
36.0%
vertical median 12.3%
above median (+192.5%)
Net margin
21.0%
vertical median 8.8%
above median (+139.6%)
EBIT margin
32.7%
vertical median 10.6%
above median (+209.5%)
Revenue YoY
7.8%
vertical median 15.8%
below median (−50.2%)
Net debt/EBITDA
0.9x
vertical median -0.2x
above median
Dividend yield
2.4%
vertical median 0.9%
above median (+168.3%)

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
RTXRtx Corporation267.8 bn32.212.6%8.8%+9.7%+13% / +144%
HONHoneywell International Inc72.5 bn10.936.0%21.0%+7.8%+11% / +22%
HEIHeico Corporation9.1 bn56.118.7%16.4%+16.3%+7% / +97%
SAROStandardAero, Inc.8.5 bn26.612.3%5.1%+15.8%−2% / unavailable
TATTTat Technologies Ltd494.3 m27.811.7%9.4%+17.0%−1% / +293%
SIFSIFCO Industries, Inc.118.5 m29.610.3%4.0%+6.5%+201% / +452%

1- and 3-year price returns: for HON from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

Bear
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Base
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Bull
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Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
1 years
138.92
Total return -37% · Per year -37%
245.93
Total return 10% · Per year 10%
370.88
Total return 65% · Per year 65%
3 years
127.67
Total return -39% · Per year -15%
254.98
Total return 19% · Per year 6%
423.22
Total return 95% · Per year 25%
5 years
117.33
Total return -40% · Per year -10%
264.36
Total return 29% · Per year 5%
482.95
Total return 129% · Per year 18%
What moves the 3-year price the most
  • Exit P/E± 63.74
  • Net margin± 44.62
  • Annual revenue growth± 37.59
  • Annual dilution± 3.75

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

In brief

Honeywell Technologies (formerly Honeywell International, traded on NASDAQ as HON) reported third-quarter 2026 sales of $5.0 billion, up 7% organically 2. The company raised its 2026 outlook, now expecting sales of $20.0 billion to $20.1 billion and organic growth of 4% to 5% 2. Following the Aerospace spin-off and the Catalyst Technologies acquisition from Johnson Matthey, its profile has changed considerably 1.

SWOT

Strengths

  • The company has a diversified automation portfolio whose segments complement each other, backed by a broad global installed base 2.
  • Operating profitability improved markedly in the third quarter of 2026, driven by productivity and the removal of inherited fixed costs 2.
  • The order backlog grew, giving a base of visibility for future sales 2.

Weaknesses

  • Results are strongly affected by acquisition and divestiture effects, which makes period-to-period comparisons harder 1.
  • Margin in the Process Automation and Technology segment contracted, partly due to project mix and the recent acquisition 2.
  • Operating cash flow fell in the third quarter of 2026 compared with the prior year, after a one-time settlement in that prior year 2.

Opportunities

  • LNG and petrochemical projects and service demand could continue to support growth in the process segment 2.
  • Integrating Catalyst Technologies could open new opportunities in process technology if the expected synergies materialise 1.
  • If separation from aerospace allows more focused investment, the company could accelerate innovation in automation 2.

Threats

  • Geopolitical conflicts and shifting trade policies can disrupt supply chains and raise costs 1.
  • Persistent inflation could erode the benefit of price increases and weigh on margins 1.
  • Delays in customer projects, such as those in utilities, can limit growth in certain product lines 2.

Risks

  • Geopolitical and trade volatilityhigh

    The Middle East conflict, trade policies and tariffs can affect energy, transport and material costs, with potential impact on consolidated results 1.

  • Inflationary pressuresmedium

    Persistent inflation can raise material and labour costs, and pricing may not fully offset them 1.

  • Integration risksmedium

    The Catalyst Technologies acquisition and recent divestitures may create integration difficulties and dilute margins in the short term 12.

  • Concentration in large projectsmedium

    Project mix in the process segment can produce volatility in margins and revenue timing 2.

  • Delays in utility demandlow

    Deferred meter deployments in utilities can slow growth in Industrial Automation products 2.

Investment thesis

What would need to be true (bull case)

  • Organic growth accelerated in the third quarter and the company raised its 2026 outlook, which could point to solid operating momentum 2.
  • Removal of inherited fixed costs and pricing discipline could continue to support margins and cash conversion 2.
  • The order backlog grew, and demand for services and energy projects could provide visibility into future periods 2.

What would break the thesis

  • Results are sensitive to geopolitical tensions and inflation, and a harsher environment could weigh on profitability 1.
  • Process segment margin contracted, and integrating a large acquisition could prolong that pressure 2.
  • Period comparisons are distorted by spin-offs and divestitures, making the underlying trend hard to assess 1.

What to watch

  • Delivery of the raised 2026 organic growth and segment margin guidanceQ4 2026
  • Integration of Catalyst Technologies and its effect on Process Automation and Technology margin2027
  • Order trends and demand for LNG and petrochemical projectsQ1 2027

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

The business

On the portfolio side, the company completed in July 2026 the acquisition of Johnson Matthey's Catalyst Technologies business for total consideration of $1,743 million, net of cash acquired 1. The WWS and PSS businesses were divested in late July and early August 2026 1. It retained a 48% noncontrolling stake in Quantinuum after that company's IPO in June 2026, accounted for as an equity method investment 1.

Market context

The company operates in a difficult macroeconomic environment shaped by the Middle East conflict, inflationary pressures and capital markets volatility 1. Global growth has moderated, while demand for LNG and petrochemical projects and for fire and security products supported third-quarter 2026 sales 12.

Pricing offset inflation across the segments and volumes contributed to sales growth 12. Deferred meter deployments in utilities limited growth in Industrial Automation products 2.

Trends

  • Portfolio reshapingmixed

    The Aerospace spin-off, the Catalyst Technologies acquisition and the WWS and PSS divestitures change the company's structure and can alter year-over-year comparability 1. If integration proceeds as planned, removal of inherited fixed costs could support margins over the medium term 2.

  • Pricing and inflation offsetmixed

    Price increases helped offset inflation and supported margins across segments 12. If inflationary pressures persist, material and labour costs could erode the benefit of pricing 1.

  • Demand for energy and process infrastructuretailwind

    LNG and petrochemical projects grew strongly in the third quarter of 2026 2. Continued demand could support the Process Automation and Technology segment, although project mix can influence margins 2.

  • Geopolitical tensions and supply chainsheadwind

    The Middle East conflict, shifting trade policies and tariffs can affect shipping flows and the cost of critical materials 12. If these tensions intensify, consolidated results could be adversely affected 1.

Competitive position

The company competes in building, process and industrial automation with other global suppliers of equipment, software and services. Its position rests on a broad portfolio, its installed base and its ability to offer integrated solutions 2.

Competitive pressure comes from process technology and catalyst providers as well as firms active in building security and industrial measurement. Such pressure can affect pricing and margins, particularly in large projects 12.

  • Industrial and process automation suppliers

    Active competitors in the process and industrial segments, offering comparable measurement, control and process technology.

  • Building systems and security providers

    Firms offering security, fire and building automation solutions that compete with the Building Automation segment.

  • Catalyst and chemical process technology providers

    Specialised players in catalysts and process licensing, relevant to the acquired Catalyst Technologies business.

  • Utility metering and measurement solution providers

    Competitors in metering and measurement systems, where deployments were deferred in the third quarter of 2026.

News & filings

In the press

No news in our archive over the last 180 days.

SEC filings

  • Quarterly report22 Oct 2026
  • Current report22 Oct 2026
    Results of operations · Financial statements and exhibits
  • Current report19 Aug 2026
    Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
  • Quarterly report23 Jul 2026
  • Current report23 Jul 2026
    Results of operations · Financial statements and exhibits
  • Current report29 Jun 2026
    Material agreement · Acquisition or disposition of assets · Results of operations · Item 3.03 · Departure or appointment of officers · Amendments to articles or bylaws · Regulation FD disclosure · Financial statements and exhibits
  • Current report15 Jun 2026
    Departure or appointment of officers · Regulation FD disclosure · Other events
  • Current report05 Jun 2026
    Regulation FD disclosure · Other events · Financial statements and exhibits
  • Current report02 Jun 2026
    Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits

Sources

  1. [1] Form 10-Q, quarter ended 2026-09-30 · SEC / Honeywell Technologies · 22 Oct 2026
  2. [2] Form 8-K, results release (exhibit 99.1) · SEC / Honeywell Technologies · 22 Oct 2026

Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.

Honeywell Technologies (HON): stock, results, valuation and forecast · olivLaw