Technology and manufacturing solutions behemoth Honeywell (NASDAQ:HON) posted robust numbers for the first quarter. Impressively, the company’s order backlog ballooned to $32 billion, driven by $10.2 billion in new orders during the quarter.
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Honeywell’s Robust Q1 Performance
In Q1, Honeywell’s revenue increased by 3% year-over-year to $9.1 billion. The figure came in better than expectations by $70 million. Additionally, its EPS of $2.25 outpaced estimates by $0.08. The better-than-expected numbers have propelled Honeywell shares over 2% higher in the early trading session today.
This performance was driven by growth across Honeywell’s Aerospace Technologies, Energy and Sustainability Solutions, and Connected Enterprise offerings. Concurrently, the company’s operating margin expanded by 130 basis points to 20.4% in Q1.
HON Reaffirms Outlook
Buoyed by this performance and robust demand trends, Honeywell reaffirmed its financial outlook for the full year. Full-year sales are expected to rise by 4%-6% to a range of $38.1 billion-$38.9 billion. The EPS for the year is anticipated to be in the range of $9.80-$10.10, indicating a growth of 7%-10%.
What Is the Forecast for HON Stock?
Today’s price gains further build up on the nearly 11% rise in Honeywell’s share price over the past six months. Overall, the Street has a Moderate Buy consensus rating on Honeywell, alongside an average HON price target of $225.33. However, analysts’ views on the stock could see a revision following today’s earnings report.
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