Honeywell International Inc. Stock Price Targets

Comprehensive analysis of short, mid, and long-term price targets for Honeywell International Inc. (HON).

Back to Analysis Hub

Give me a comprehensive price target analysis for Honeywell International Inc. (HON).

Below is a comprehensive HON (Honeywell International Inc.) analysis tied to the provided price targets and data. I have drawn horizontal trendlines for the Low, Median, and High targets and extended them 30 days into the future as requested.

Notes on the drawing

  • Target lines drawn (extended 30 days into the future from 2025-10-08):
    • Low Target: 210.00 (blue) [Hex: #1f77b4]
    • Median Target: 250.00 (green) [Hex: #2ca02c]
    • High Target: 290.00 (red) [Hex: #d62728]
  • These lines are anchored today and project through 2025-11-07 on the active chart.

Executive Summary

  • HON trades near the low end of the analyst target band, with a current price of about $208.98 vs. a Low target of $210, a Median target of $250, and a High target of $290.
  • The consensus price targets imply a potential upside of roughly 0.5% to the Low target, ~19.6% to the Median target, and ~38.8% to the High target over the next 12+ months.
  • The stock’s fundamentals show solid profitability and cash generation but carry elevated leverage. The forward multiple remains below the market peak given the multi-industry mix, positioning HON for upside if margin and cash flow momentum improve and if the cyclicality of its end markets stabilizes.

Fundamental Analysis Key metrics (selected)

  • Current price: $208.98
  • Market cap: $132.68B
  • Enterprise value: $160.22B
  • Trailing P/E: 23.75
  • Forward P/E: 18.98
  • Price-to-Book: 8.24
  • Return on Equity (ROE): 33.6%
  • Return on Assets (ROA): 7.15%
  • Profit margin: 14.30%
  • Gross margin: 38.08%
  • Operating margin: 21.43%
  • Debt to equity: 226.06%
  • Total cash: $10.68B
  • Total debt: $37.65B
  • Dividend yield: 2.19%
  • Five-year avg dividend yield: 1.97%
  • Beta: 1.05

Valuation context

  • Forward P/E around 19x suggests a reasonable multiple given growth expectations, but the elevated leverage (Debt/Equity ~226%) can be a risk if rates or growth slow.
  • Price-to-book is high for a diversified industrial (8.24x); this reflects brand, scale, and return profile but warrants attention to balance sheet flexibility.

Earnings Analysis Recent Earnings Summary (selected highlights)

  • Quarter ended 2025-06-30:
    • Total revenue: $10.352B
    • Gross profit: $4.023B
    • EBITDA (normalized): $2.701B
    • Operating income: $2.114B
    • Net income (continuing ops): $1.570B
    • Diluted EPS: $2.45; Basic EPS: $2.46
    • Tax rate for calc: 0.161 (context for normalization)
    • Normalized income: $1.650B (approx.)
  • The company reported a solid quarterly top line with stable gross and operating margins; normalization factors (e.g., tax effects of unusual items) help explain earnings quality.

EPS Trend (recent see-through)

  • Current: 2.563
  • 7 days ago: 2.565
  • 30 days ago: 2.565
  • 60 days ago: 2.566
  • 90 days ago: 2.536
  • +1Q forward-looking: 2.733
  • +1Y forward-looking (estimated): 11.387 (trailing 4-quarter basis referenced in the data)

EPS Revisions Period-based revisions (ups vs downs)

  • 0Q: UpLast7days = 1; UpLast30days = 0; DownLast30days = 2; DownLast7Days = 0
  • +1Q: UpLast7days = 1; UpLast30days = 1; DownLast30days = 1; DownLast7Days = 1
  • 0Y: UpLast7days = 1; UpLast30days = 1; DownLast30days = 1; DownLast7Days = 1
  • +1Y: UpLast7days = 1; UpLast30days = 1; DownLast30days = 2; DownLast7Days = 1

Interpretation

  • EPS revisions show a modest tilt toward upward revisions over multiple horizons, with occasional down revisions in certain windows. The net signal is cautiously constructive, supporting a constructive view on earnings power if operating leverage and revenue growth persist.

Technical Analysis Current price and momentum context

  • Price: ~ $208.98
  • 50-day moving average (latest): ~ $214.8
    • Price is below the 50-day MA, implying near-term softness relative to the intermediate trend.
  • RSI (14): currently in the mid-30s (recent readings around 37–38)
    • Indicates mild oversold territory, potential for a near-term bounce if support holds.
  • MACD (12,26,9): currently negative (MACD around -1.9; Signal around -2.2 on 2025-10-07)
    • Negative momentum, though not extreme; potential for a trend shift if fundamentals improve or macro conditions stabilize.

Key support/resistance context

  • Immediate nearby support: sub-210 area (with 210 target as a line). If HON holds 208–210, risk of a near-term bounce remains.
  • Resistance is encountered near the 50-day MA around 214–215, and then at higher levels near 250 (the Median target line) as a mental milestone.

Analyst Consensus & Price Targets

  • Number of analysts: 21
  • Current price: $208.98
  • Targets (Low/Median/High):
    • Low: $210
    • Median: $250
    • High: $290
  • Target Mean: $252.26
  • The available targets imply a broad ~20%+ upside to the median and ~39% to the high, suggesting a constructive medium-term stance if earnings power and margin expansion materialize.
  • Catalysts to watch: earnings momentum, cash flow generation, balance-sheet refinement, and end-market demand (industrial, aerospace, safety and productivity solutions).

Price Target Analysis (Short, Mid, Long-Term) Short-Term (3 months)

  • Target: ~210 (Low) to ~230 (implied near-term upside around the 210–230 zone)
  • Justification:
    • Momentum remains modestly negative (MACD negative, RSI not oversold enough to imply a guaranteed bounce)
    • Warranted caution due to price trading below the 50-day MA, but a shallow upside risk exists if 210 holds and 214–216 area acts as a springboard.
  • Key drivers:
    • Stabilization of end-market demand, stabilization in order pipelines, and favorable cash conversion in the quarter.
  • Target reference: 210 (low) to 230 (conservative near-term target band around technicals and consensus around mid- to late-Q4.

Mid-Term (12 months)

  • Target: 250 (Median)
  • Justification:
    • Substantial upside from current levels given a plausible combination of margin stabilization, ongoing cost discipline, and favorable divestitures/portfolio actions that could lift earnings quality.
    • Forward P/E around 19x, with expected earnings growth sustaining above inflation in this multi-industry business.
  • Key drivers:
    • Margin expansion (operating margin around 21% historically; if this improves, profits rise)
    • Revenue growth from HVAC, aerospace, and safety/productivity solutions
    • Free cash flow generation that supports potential dividends or buybacks
    • Reaccelerated buyback activity could lift earnings per share and drive multiple expansion
  • Target reference: 250 (Median)

Long-Term (3+ years)

  • Target: 290 (High)
  • Justification:
    • Structural demand for safety, productivity, and energy efficiency products across industrial, aerospace, and commercial markets could sustain above-market margins and cash generation, supporting multiple expansion.
  • Key drivers:
    • Sustained cost leadership and efficiency improvements
    • Balance-sheet optimization, potential deleveraging in a lower-rate environment
    • Product and services mix improvements that raise long-term margins and ROE
    • Potential growth from new programs in defense/aerospace and energy transition solutions
  • Target reference: 290 (High)

Key Risks & Opportunities

  • Risks
    • Leverage and leverage-driven balance-sheet risk (Debt/Equity ~226%)
    • Cyclicality of industrials and aerospace exposure; macro sensitivity to global growth and defense budgets
    • Margin pressure from competitive pricing, supply chain volatility, and potential inflation in input costs
  • Opportunities
    • Strong ROE and robust gross margins support earnings power
    • Healthy forward-looking earnings revisions and potential upside from cost controls
    • Dividend yield around 2.2%, with potential for dividend growth if cash flow remains robust
    • Analyst consensus points to meaningful upside to the Median/High targets if execution improves

Investment Recommendation

  • View: Moderate Buy / Hold
  • Time Horizon: 12–24 months
  • Expected return potential: Approximately 19–39% to the Median/High targets based on current consensus targets, with a baseline around 0–5% to the Low target in the near term unless a quick bounce occurs.
  • Rationale:
    • The stock trades near the Low target and below the 50-day moving average, suggesting some near-term headwinds. However, the strong ROE, healthy gross and operating margins, and constructive EPS revisions support upside in the medium term if end-market demand stabilizes and margin discipline persists.
    • The Median price target ($250) implies mid-teens to high-teens percent upside over a 12–24 month horizon, with the High target ($290) offering a higher upside scenario if earnings quality improves and cash flow remains robust.
    • Balance-sheet leverage is a notable risk; improvements in cash flow quality or deleveraging could unlock multiple expansion and further upside.

Supporting Tables (selected data)

  • Valuation and fundamentals | Metric | Value | Notes | |---|---:|---| | Current price | $208.98 | As of 2025-10-08 | | Market cap | $132.68B | | | Enterprise value | $160.22B | | | Trailing P/E | 23.75 | | | Forward P/E | 18.98 | | | P/B | 8.24 | | | ROE | 33.60% | | | ROA | 7.15% | | | Profit margin | 14.30% | | | Gross margin | 38.08% | | | Operating margin | 21.43% | | | Debt / equity | 226.06% | | | Total cash | $10.68B | | | Total debt | $37.65B | | | Dividend yield | 2.19% | | | 5-year avg dividend yield | 1.97% | | | Beta | 1.049 | |

  • Earnings snapshot (latest quarter) | Item | 2025-06-30 | 2025-03-31 | 2024-12-31 | 2024-09-30 | |---|---:|---:|---:|---:| | Total revenue | $10.352B | $9.822B | $10.089B | $9.728B | | Gross profit | $4.023B | $3.785B | $3.670B | $3.749B | | EBITDA (normalized) | $2.701B | $2.547B | $2.212B | $2.479B | | Operating income | $2.114B | $2.170B | $1.835B | $2.121B | | Net income (continuing ops) | $1.570B | $1.449B | $1.285B | $1.413B | | Diluted EPS | $2.45 | $2.22 | $1.96 | $2.16 |

  • EPS Trend (latest) | Period | EPS (current) | EPS (7d ago) | EPS (30d) | EPS (60d) | EPS (90d) | |---|---:|---:|---:|---:|---:| | 0Q | 2.563 | 2.565 | 2.565 | 2.566 | 2.536 |

  • EPS Revisions (summary view) | Horizon | Up Last 7d | Up Last 30d | Down Last 30d | Down Last 7d | |---|---:|---:|---:|---:| | 0Q | 1 | 0 | 2 | 0 | | +1Q | 1 | 1 | 1 | 1 | | 0Y | 1 | 1 | 1 | 1 | | +1Y | 1 | 1 | 2 | 1 |

  • Technical indicators (latest snapshot) | Indicator | Latest Value | |---|---:| | 50-day MA | ~$214.8 | | RSI (14) | ~37–38 | | MACD | -1.9 (Signal -2.2) |

Appendix: Chart lines placed

  • Low Target line at 210.00 (blue)
  • Median Target line at 250.00 (green)
  • High Target line at 290.00 (red)
  • All lines extended to 2025-11-07 on the active HON price chart.

Conclusion

  • HON presents a compelling upside path to the Median and High targets if earnings power, margins, and cash flow hold their course and macro conditions stabilizes. The near term shows some pressure with price below the 50-day MA and negative MACD, but revisions and earnings quality metrics argue for a constructive longer horizon. The recommended stance is a Moderate Buy / Hold with a 12–24 month horizon, monitoring leverage, cash flow, and end-market demand signals for confirmation of the upside trajectory.

If you’d like, I can tailor the Price Target Analysis section to include alternative scenarios (e.g., best-case, base-case, worst-case) with explicit assumptions and drivers, or add sensitivity analysis around EPS growth and margin expansion.

Chart is loading...