Since spin-off shares are down ~50% following the reveal of supply chain issues and a guidance cut from 7-9% to 4-5% organic growth. Those are a late reflection of HONA's further status as part of a conglomerate in our view. Mgmt acknowledged it had previously prioritized "efficiency" through, i.e., moving to single-sourcing. At 20x P/E, HONA is now at a roughly 50% discount to the sector. We believe 30x is a reasonable target multiple on normalized growth.
Honeywell Aerospace (HONA) reported earnings 30 days ago. What's next for the stock?
In an earnings season where many companies delivered standout results, Honeywell Aerospace NASDAQ: HONA stood out for the wrong reasons. The company delivered its first earnings report as a stand-alone company, and the results were underwhelming.
Honeywell Aerospace (NASDAQ:HONA) had a rough debut as a standalone public company.
Honeywell Aerospace HONA shares plunged about 20% on Thursday after the newly independent aerospace and defense supplier reported weaker-than-expected second-quarter results and sharply reduced its full-year guidance, raising fresh concerns over execution and supply chain challenges. The company, which completed its separation from Honeywell Technologies in June, reported second-quarter revenue of $4.52 billion, up 5% from a year earlier but below Wall Street's expectation of $4.6 billion.
HONA misses Q2 earnings and revenue estimates as supply constraints, cost pressures and a weaker outlook weigh despite higher sales and backlog growth.
Honeywell Aerospace Inc. (HONA) Q2 2026 Earnings Call Transcript
Honeywell Aerospace NASDAQ: HONA reported 5% organic sales growth in the second quarter of 2026, but reduced its full-year outlook as supply-chain bottlenecks continued to limit production and shift sales toward lower-margin original-equipment and domestic defense programs.
HONA's Q2 results are expected to reflect commercial aviation strength, aftermarket growth and improving defense execution after its spin-off.
HONA enters public markets with aerospace scale, a large backlog and recurring aftermarket revenue, while investors watch its standalone execution.
HONA combines aerospace scale, a sizable backlog and recurring revenue, with valuation hinging on consistent standalone execution.
Jim Cramer recently spotlighted Honeywell Aerospace (NASDAQ:HONA) on a Mad Dash segment, the newly independent aerospace company created after Honeywell Technologies (NASDAQ:HON | HON Price Prediction) completed its spinoff on June 29, 2026.