|Bid||0.00 x 1400|
|Ask||12.55 x 900|
|Day's range||12.26 - 12.73|
|52-week range||11.21 - 23.44|
|Beta (3Y Monthly)||0.85|
|PE ratio (TTM)||N/A|
|Earnings date||25 Oct 2018|
|Forward dividend & yield||0.48 (3.94%)|
|1y target est||15.75|
Honeywell (HON) announced its third-quarter earnings today before the market opened. It reported adjusted EPS of $2.03, an increase of 16.7% year-over-year, and beat Wall Street analysts’ expectation of $1.99.
Earnings expectations were high, but the industrial conglomerate still managed to impress on Friday. Third-quarter earnings per share bested analysts' estimates, as did a stellar 7 percent increase in sales excluding the impact of currency swings and M&A. Honeywell usually has to share an earnings day with General Electric Co., which has tended to suck up all the oxygen, especially lately. Honeywell's center-stage showcase went smoother than earnings reports at some other industrial companies: distributors Fastenal Co. and W.W. Grainger Inc. plunged earlier this month after reporting third-quarter gross margin disappointments and some slight cracks in sales momentum, fueling fears of an earnings peak.
In the previous article, we saw analysts’ recommendations for Honeywell (HON). The latest report on September 28 suggests that Honeywell’s short interest remained under 1% of the outstanding shares. As per the latest report, HON’s short interest is at 0.78% of the outstanding shares, a decline of 12 basis points sequentially.
RBC Capital Markets, Wolfe Research, and (BCS) all upgraded the shares this month after Larry Culp was named to replace John Flannery at the helm. Today, the Financial Times reported that GE Power was going to win a contract in Iraq over rival (SIE) (SIEGY). Wolfe analyst Nigel Coe wrote that could help turn investor sentiment on GE, noting that the struggles in GE Power are what drives most of the negative feelings toward the stock.
Iraq signed a memorandum of understanding with GE on Monday, after senior U.S. officials warned Iraqi Prime Minister Haider al-Abadi that the future of the U.S.-Iraq relationship would be at risk if his government accepted the deal with Siemens, according to the officials, who asked not to be identified discussing private deliberations. The Financial Times reported the U.S. move earlier Thursday.
Wall Street expects Honeywell (HON) to post adjusted EPS of $1.99 in Q3 2018, which implies an increase of 13.7% year-over-year. In Q3 2017, HON reported adjusted EPS of $1.75. HON has beaten Wall Street expectations in six quarters since 2017, and it appears that it is all set to beat expectations again.
Honeywell (HON) is set to announce its third-quarter 2018 earnings on October 19, 2018, before the market opens. It plans to hold a conference call at 8:30 AM EST that day. In this series, we’ll look at Honeywell stock’s performance since its second-quarter earnings, analysts’ revenue and EPS estimates, recommendations, and short interest trends.
The Financial Stability Oversight Council agreed in a Tuesday vote that the insurer doesn’t pose a special risk to the stability of the financial system, the Treasury Department said in a statement. The other non-banks that had been deemed systemically important financial institutions -- American International Group Inc., MetLife Inc. and General Electric Co.’s financial arm -- had been freed by FSOC over the past few years. The decision to scrap Prudential’s designation removes an additional layer of regulatory oversight, potentially saving the life insurer millions of dollars annually in compliance costs.
Financial regulators, mostly appointed by Trump, voted Wednesday to free Prudential Financial from Fed oversight, marking the end of nonbank supervision at the central bank.
Bob Stefanowski, the Republican candidate for governor and a former top executive at General Electric Co. and UBS AG’s investment bank, is promising to revive the third-worst performing U.S. state economy with tax cuts. “This state is screaming for a different tax policy," Stefanowski said in a phone interview.
3M Company (MMM) remained busy last week, launching two new products in different segments. On October 9, 3M launched SoluPrep Film-Forming Sterile Surgical Solution, a solution containing 2% chlorhexidine gluconate and 70% isopropyl alcohol, to fight surgical site infections caused by infectious bacteria around the surgical incision area.
The Financial Stability Oversight Council has been considering freeing the Newark, New Jersey-based insurer from heightened oversight for months. FSOC, whose members include the leaders of the Treasury Department, Federal Reserve and Securities and Exchange Commission, designated Prudential as a nonbank systemically important financial institution in 2013. It’s the only nonbank that still carries the label after regulators freed insurers American International Group Inc. and MetLife Inc., as well as General Electric Co.’s financial unit, from the designation in recent years.
The downtrodden manufacturer is weighed down by a deteriorating finance business and doesn’t have enough assets or cash-flow to pay down its liabilities, according to Steve Tusa, a JPMorgan Chase & Co. analyst and longtime GE bear. The comments came in a note Friday as another analyst, Gordon Haskett’s John Inch, initiated GE coverage by telling investors to sell the shares. The opinions throw cold water on a brief rally earlier this month after GE named Larry Culp, a respected industrial executive, to replace Chief Executive Officer John Flannery.
General Electric Co. said Friday it's postponing the release of its third-quarter earnings by a few days to give new CEO Larry Culp more time to complete "initial business reviews and site visits." Culp, the former CEO of Danaher Corp., was installed in the top job last week following the surprise ouster of John Flannery. GE tried to push a fair amount of bad news out the door with Flannery: In conjunction with the CEO change, the company warned it would miss its 2018 earnings and cash-flow guidance and would have to write down nearly all of the $23 billion in goodwill at its troubled power unit.
Credit Suisse initiated coverage of the troubled conglomerate with a Neutral rating, and notes that company culture may be tough to tackle.