Citigroup cuts Honeywell's PT, sees aerospace spin-off costs weighing on 2026 margins
BUZZ-Citigroup cuts Honeywell's PT, sees aerospace spin-off costs weighing on 2026 margins ** Citigroup cuts price target on Honeywell International to $260 from $269.4; reiterates "buy" rating
** New PT still represents a 16% premium to the stock's last close
** The brokerage says following the separation of its aerospace business, HON is now a more focused technology and automation company, positioning it to deliver steadier and more predictable revenue growth
** However, it expects separation-related costs to pressure 2026 margins
** Sees HON reducing these costs in 2027, supported by product launches, improving short-cycle demand and a solid backlog of long-term projects, particularly in LNG-related businesses
** Median PT of 30 brokerages covering the stock is $455 - data compiled by LSEG
** As of last close, stock up ~10% YTD
(Reporting by Megavarshini G. Somasundaram in Bengaluru)
((Megavarshini.SomasundaramGnanasundari@thomsonreuters.com))
Recent news on Honeywell International
See all newsHoneywell International Inc. reports results for the quarter ended September 30 - Earnings Summary
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Brief: Honeywell Technologies Expects Q4 Adjusted EPS $2.42 - $2.47, Presentation Shows
PREVIEW: Honeywell's post spinoff earnings seen dropping 62% y/y