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.”
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.