Honeywell to report Q2 2018 earnings
Honeywell (HON) is set to announce its Q2 2018 earnings on July 20 before the market opens. It plans to hold a conference call at 9:30 AM EST that day. In this series, we’ll look at Honeywell stock since its first-quarter earnings and analysts’ revenue and EPS estimates and recommendations.
HON stock since Q1 2018 earnings
HON announced its Q1 2018 earnings on April 20. That day, the stock rose 2.4%, but since then, it has fallen 1.4%. HON’s peers United Technologies (UTX) and Textron (TXT) have risen 1.8% and 6.2%, respectively, while General Electric (GE) has fallen 5.9%. HON also underperformed the S&P 500 (SPY), which has gained 5.2% as of July 17.
The decline in HON stock was primarily attributed to the tariff war between the United States and China. However, HON has confirmed that the impact from the import tariffs on steel and aluminum is limited, but investors still appear to be a little nervous.
If HON delivers solid earnings results in Q2 2018 and with progress on its spin-off going smoothly, the company could bounce back and recover some of its lost ground.
Moving averages and relative strength index
As the Q2 2018 earnings release approaches, HON stock is gradually recovering and is trading 0.5% above its 100-day moving average of $147.80. Its 14-day RSI (relative strength index) score of 51 indicates that it is neither overbought nor oversold. An RSI score below 30 indicates that a stock may be oversold, while an RSI score above 70 indicates that a stock may be overbought.
Investors can indirectly hold HON through the iShares U.S. Industrials ETF (IYJ), which had 3.2% of its portfolio invested in Honeywell as of July 17.