Honeywell Aerospace (NASDAQ:HONA) Posts Quarterly Earnings Results, Misses Estimates By $0.20 EPS

Honeywell Aerospace (NASDAQ:HONA) issued its quarterly earnings data on Wednesday. The company reported $1.87 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.07 by ($0.20), FiscalAI reports. The company had revenue of $4.52 billion during the quarter. Honeywell Aerospace updated its FY 2026 guidance to 7.600-7.900 EPS.

Here are the key takeaways from Honeywell Aerospace’s conference call:

• Honeywell Aerospace cut its 2026 outlook, now expecting organic sales growth of 4%–5%, adjusted EBIT of $4.35–$4.45 billion, and adjusted EPS of $7.60–$7.90. The reductions reflect slower-than-expected production ramp-up, unfavorable mix, and a $50 million inventory obsolescence charge.
• Supply-chain constraints continued to limit output, with year-over-year production growth improving only from 3% in the first quarter to 4% in the second. Limited component availability is forcing a shift toward lower-margin OE and domestic defense shipments, while commercial aftermarket and international defense volumes remain constrained.
• Demand remains strong, with orders up 8% year over year, a 1.1 book-to-bill ratio, and more than $15 billion in lifetime-value customer wins year to date. Notable wins include IndiGo’s selection of Honeywell avionics and APUs for more than 800 Airbus A320-family aircraft and expanding adoption of the SURF-A runway safety system.
• Management is investing heavily to improve supply resiliency, including adding second sources for 50 constrained parts in the first half and another 50 planned for the second half, increasing supplier tooling, and expanding internal production capacity. Executives reiterated their 2030 targets and expect these actions to support accelerated, more profitable growth beginning in 2027.

Honeywell Aerospace Trading Down 19.8%

NASDAQ HONA traded down $40.24 on Thursday, reaching $163.40. 10,514,365 shares of the company’s stock traded hands, compared to its average volume of 3,107,852. Honeywell Aerospace has a 12 month low of $150.03 and a 12 month high of $297.50.

Honeywell Aerospace News Summary

Here are the key news stories impacting Honeywell Aerospace this week:

• Positive Sentiment: Second-quarter sales rose 5% year over year to approximately $4.5 billion, while adjusted EBIT was about $1.0 billion. Honeywell also cited strong aftermarket demand, which supports longer-term revenue visibility. Honeywell Aerospace reports second quarter results; updates 2026 outlook
• Positive Sentiment: Honeywell Aerospace secured a fleetwide weather-radar upgrade contract from Omni Táxi Aéreo, adding to its commercial aerospace and aftermarket opportunities. Honeywell Aerospace wins fleetwide weather radar upgrade from Omni Taxi Aereo
• Neutral Sentiment: The company maintained its second-half 2026 free-cash-flow guidance and initiated full-year standalone adjusted EPS guidance of $7.60 to $7.90. However, investors are still assessing Honeywell Aerospace’s financial profile following its June 29 spin-off from Honeywell Technologies.
• Negative Sentiment: Second-quarter EPS of $1.87 missed analysts’ consensus estimate of $2.07, raising concerns about execution during the company’s transition to independence. Honeywell Aerospace quarterly earnings results
• Negative Sentiment: Honeywell cut its 2026 organic sales-growth forecast to roughly 4%–5% and lowered its profit outlook because of continuing supply-chain disruptions. The reduced guidance, combined with the earnings miss, prompted the stock’s steep decline and led some analysts to downgrade the shares. Honeywell Aerospace shares tank as sales forecast cut, profit miss disappoint

Institutional Investors Weigh In On Honeywell Aerospace

A number of institutional investors have recently made changes to their positions in the business. Oppenheimer Asset Management Inc. bought a new position in shares of Honeywell Aerospace during the 2nd quarter valued at $8,809,000. SFE Investment Counsel bought a new stake in Honeywell Aerospace in the second quarter worth $2,981,000. Bryn Mawr Trust Advisors LLC purchased a new stake in Honeywell Aerospace during the second quarter valued at about $1,301,000. Hardy Reed LLC purchased a new stake in Honeywell Aerospace during the second quarter valued at about $1,151,000. Finally, Summit Asset Management LLC bought a new position in shares of Honeywell Aerospace during the second quarter valued at about $1,081,000.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the company. Wells Fargo & Company assumed coverage on Honeywell Aerospace in a research report on Wednesday, July 1st. They set an “equal weight” rating and a $250.00 price target for the company. JPMorgan Chase & Co. began coverage on shares of Honeywell Aerospace in a research note on Friday, July 10th. They issued a “neutral” rating and a $255.00 target price on the stock. Royal Bank Of Canada set a $250.00 price target on shares of Honeywell Aerospace in a research note on Thursday. Evercore set a $210.00 price target on shares of Honeywell Aerospace in a report on Thursday. Finally, Morgan Stanley set a $235.00 price objective on shares of Honeywell Aerospace in a research report on Wednesday, July 15th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and ten have given a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $244.75.

Honeywell Aerospace Company Profile

Honeywell Aerospace Inc manufactures and supplies aircraft components, avionics, engines, and systems for airframe manufacturing, commercial airline, military and defense, business aviation, and space markets, as well as other markets in the aerospace industry. The company offers actuation products, air and thermal management products, auxiliary power units, cabin management and entertainment products, cockpit systems and displays, electric power products, engines, health and usage monitoring products, lighting products, microelectronics, navigation products and radios, recorders and transmitters, satellite communications, sensors, space products, terrain and traffic awareness, vehicle turbochargers, weather radars, and wheels and braking systems.