Honeywell: Analysts’ Recommendations and Target Price

Analysts’ consensus on Honeywell

Currently, 24 analysts are tracking Honeywell—one higher compared to the number of analysts at the beginning of the year. Among the analysts, 83% of them recommended a “buy,” while 17% recommended a “hold.” None of the analysts recommended a “sell.”

Honeywell: Analysts’ Recommendations and Target Price

Analysts’ latest consensus target price on Honeywell is ~$180.50, which implies a potential return of ~8.4% over the closing price of $166.44 as of May 23. In the past three months, analysts have moved the target price from $164.26 to the current target price.

Honeywell beat analysts’ expectations in its first-quarter earnings. Honeywell reported an EPS of $1.92 compared to analysts’ expectation of $1.83 per share. The company also made an upward revision to its 2019 EPS guidance of $7.90–$8.15 and its organic sales guidance of 3%–6%. As a result, most of the analysts have recommended a “buy” or a “hold.”

Analysts’ latest views and recommendations

  • J.P. Morgan (JPM) rated Honeywell as “overweight” and recommended a target price to $178, which implies a return potential of 6.9% over the closing price of $166.44 as of May 23.
  • HSBC (HSBC) rated Honeywell as a “hold” and raised the target price to $161. However, the current price is well above the recommended target price.
  • Credit Suisse (CS) raised Honeywell’s target price to $185, which implies a return potential of 11.20% over the closing price of $166.44 as of May 23.

Investors could hold Honeywell indirectly through the iShares U.S. Industrials ETF (IYJ), which has invested 3.5% of its portfolio in Honeywell as of May 23.