HONEYWELL INTERNATIONAL INC(HON)Stock Analysis
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Rank #562 of 2,879 stocksTOP 25%
Rankings refresh quarterly once 80% of peers have filed (~45 days after quarter-end). Next update: ~Aug 14, 2026.
Revenue Growth
Profitability
Balance Sheet
Earnings Quality
Free Cash Flow
Institutional Flow
Revenue Scale
Dilution Risk
HON Stock Analysis & AI Quality Score
AI stock analysis and institutional research for HONEYWELL INTERNATIONAL INC (HON), a Industrials sector company. 13F Pro's AI-powered ranking engine scores HON at 65.7/100 on a 32-signal composite quality model, placing it at rank #562 of 2,879 stocks — the top 25% of the AI-ranked universe. HON scores in the top quartile across revenue scale (96.4), balance sheet strength (80.6). Areas of concern include institutional flow (4.4) and earnings quality (36.4), which score below median versus the broader universe. Based on the latest XBRL financial filings (Q1 2026), HONEYWELL INTERNATIONAL INC reports quarterly revenue of $9.1B, net income of $821.0M, free cash flow of $-873.0M. Top institutional holders of HON by reported 13-F value include BlackRock,, VANGUARD CAPITAL MANAGEMENT, STATE STREET, based on the most recent SEC filings. HON trades on the Nasdaq exchange and files with the SEC under CIK 773840. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate HON daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for HONEYWELL INTERNATIONAL INC directly from SEC EDGAR. HONEYWELL INTERNATIONAL INC's 13F Pro composite quality score has ranged between 8 and 75 since 2021, currently 65.7 — an improving long-term trajectory across 56 quarterly and live scoring snapshots.
What's Driving HON's Business? Latest 10-Q Breakdown
✓ 14/14 datapoints verifiedAI-extracted from HONEYWELL INTERNATIONAL INC's 10-Q filed 2026-04-23 — Q1 2026 (quarter ended March 31, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Honeywell's Q1 net sales reached $9.1B (+2% YoY) with segment profit of $2.1B (+6% YoY), though earnings per share declined to $1.29 due to $239M debt extinguishment loss and $263M asset impairment related to planned portfolio divestitures.
Biggest Revenue Drivers
Total revenue: $9.1B+2% YoY
Higher pricing in Defense & Space and Commercial Aviation Aftermarket, partially offset by lower volumes.
Higher demand in both Products and Solutions, driven by organic growth of 8%.
Sundyne acquisition contributed inorganic growth of 9%, partially offset by lower organic sales in Aftermarket.
Decline reflects divestiture of personal protective equipment business in May 2025; organic growth of 1% when adjusted.
Largest Expense Items
Higher direct and indirect material costs and labor costs.
Increased due to pre-separation debt financing in advance of Aerospace business spin-off.
Increased investment in new product development in Aerospace Technologies.
Write-down of Productivity Solutions and Services and Warehouse Workflow Solutions businesses classified as held for sale.
Margins: Gross margin percentage declined 10 basis points to 38.7% despite higher sales, as material and labor cost increases offset pricing gains. Segment margin expanded in most businesses, with Building Automation up 40bp and Process Automation up 200bp, benefiting from operational leverage and the Sundyne acquisition.
Watch Items from the Filing
- Aerospace Technologies represents 47% of Q1 2026 revenue; segment growth slowed to +3% organically, dependent on defense spending and commercial aviation recovery.
- Planned separation of Honeywell Aerospace (expected Q3 2026) and sales of Productivity/Warehouse businesses (H2 2026) create execution risk; $16B in new Aerospace debt issued in March 2026.
- Supply chain pressures persist: tariffs, inflation, and material cost increases constrain gross margins; mitigation strategies (pricing, sourcing changes) only partially offsetting headwinds.
- Moody's placed Honeywell on review for downgrade (Feb 2026); S&P outlook revised to negative (Mar 2026); credit ratings remain at A2/A/A but at risk amid debt increase and separation.
- Flexjet litigation settlement of $375M paid in Q1 2026 resolves prior disputes; MSA extended through 2035, reducing litigation tail risk.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
Revenue
Q1 2026
$9.1B
Net Income
Q1 2026
$821.0M
Free Cash Flow
Q1 2026
$-873.0M
ROIC
Q1 2026
4.7%
D/E Ratio
Q1 2026
2.93
Revenue & Net Income
Earnings Per Share
Key Financials Over Time
Export Financial Table · Pro+Revenue
+2.1% YoYNet Income
-16.4% YoYOperating Income
+7.5% YoYEPS (Diluted)
-7.8% YoYTotal Assets
+19.8% YoYTotal Debt
+56.3% YoYOp. Cash Flow
+20.0% YoY| Metric | FY 2025 | FY 2023 | FY 2021 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|
| Revenue | $37.44B +2.1% | $36.66B +6.6% | $34.39B -6.3% | $36.71B -12.2% | $41.80B +3.1% | $40.53B |
| Net Income | $4.73B -16.4% | $5.66B +2.1% | $5.54B -9.8% | $6.14B -9.2% | $6.76B +337.9% | $1.54B |
| Operating Income | $8.13B +7.5% | $7.56B | — | — | — | — |
| EPS (Diluted) | $7.36 -7.8% | $7.98 +7.1% | $7.46 -5.9% | $7.93 -6.3% | $8.46 +349.0% | $1.89 |
| Total Assets | $73.68B +19.8% | $61.52B -4.6% | $64.47B +9.9% | $58.68B +1.6% | $57.77B -2.9% | $59.47B |
| Total Debt | $28.69B +56.3% | $18.36B -14.2% | $21.40B +23.2% | $17.38B -8.9% | $19.09B -0.8% | $19.23B |
| Operating Cash Flow | $6.41B +20.0% | $5.34B -11.6% | $6.04B -12.5% | $6.90B +7.2% | $6.43B +7.8% | $5.97B |
AI Insight: HON Financial Trends
Honeywell's earnings collapsed in Q4 2025 and Q1 2026 amid revenue volatility and sharply rising debt, offsetting prior-year operating margin gains.
• Net income swung from $1,825M profit in Q3 2025 to $-115M loss in Q4 2025, then recovered to $821M in Q1 2026—highest volatility in 12-month period.
• Operating margin compressed: Q3 2025 showed 23.1% margin; Q4 2025 fell to 16.0%; Q1 2026 recovered to 23.3% but revenue down 12% Q-o-Q.
• Total debt rose 67% from Q2 2024 ($30.5B) to Q1 2026 ($39.8B); equity fell 20% over same period, materially weakening capital structure.
⚠ Operating cash flow turned negative ($-650M) in Q1 2026 for first time in dataset; prior quarters ranged $597M–$3,288M.
⚠ Q4 2025 and Q1 2026 revenue combined declined 25% vs. Q3 2025; investigate whether seasonal, structural, or one-time event.
⚠ Debt-to-equity ratio deteriorated from 1.80x (Q2 2024) to 2.93x (Q1 2026), signaling leverage stress amid earnings pressure.
AI Insight: HON Ratio Trends
Q4 2025 profitability collapse—operating margin halved to 16.0%, net income turned negative—has yet to fully normalize in Q1 2026.
• Operating margin recovered to 23.3% in Q1 2026 from 16.0% in Q4 2025, suggesting Q4 was anomalous.
• Net profit margin remains depressed at 9.0% in Q1 2026 versus 17.5% in Q3 2025; NPM turned -1.7% in Q4 2025.
• ROIC fell to 15.9% in Q1 2026 from 17.9% in Q3 2025; TTM ROIC of 15.0% is lowest in trailing data.
• Leverage rose sharply; D/E climbed to 2.93 in Q1 2026 from 1.80 in Q2 2024, nearing 3.0x.
⚠ Q4 2025 profitability crater (OpMargin 16.0%, NPM -1.7%) and Q1 2026 partial recovery signal unresolved operational or cost headwinds.
⚠ ROE plummeted to 24.2% in Q1 2026 from 43.5% in Q3 2025; capital efficiency and earnings quality deteriorating.
⚠ Debt-to-equity spike to 2.93 (TTM) alongside margin compression raises solvency and financial flexibility concerns.
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Available Research
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Top Institutional Holders of HON
BlackRock, Inc.
$11.0B48,831,876 shVANGUARD CAPITAL MANAGEMENT LLC
$9.3B41,280,753 shSTATE STREET CORP
$7.2B31,726,805 shMORGAN STANLEY
$4.2B18,428,804 shWELLINGTON MANAGEMENT GROUP LLP
$3.8B16,635,316 shGEODE CAPITAL MANAGEMENT, LLC
$3.7B16,250,601 shVANGUARD PORTFOLIO MANAGEMENT LLC
$3.5B15,650,414 shFRANKLIN RESOURCES INC
$3.1B13,545,305 shNewport Trust Company, LLC
$2.9B12,865,197 shMASSACHUSETTS FINANCIAL SERVICES CO /MA/
$2.5B8,707,049 sh
| Fund | Value | Shares |
|---|---|---|
| BlackRock, Inc. | $11.0B | 48,831,876 |
| VANGUARD CAPITAL MANAGEMENT LLC | $9.3B | 41,280,753 |
| STATE STREET CORP | $7.2B | 31,726,805 |
| MORGAN STANLEY | $4.2B | 18,428,804 |
| WELLINGTON MANAGEMENT GROUP LLP | $3.8B | 16,635,316 |
| GEODE CAPITAL MANAGEMENT, LLC | $3.7B | 16,250,601 |
| VANGUARD PORTFOLIO MANAGEMENT LLC | $3.5B | 15,650,414 |
| FRANKLIN RESOURCES INC | $3.1B | 13,545,305 |
| Newport Trust Company, LLC | $2.9B | 12,865,197 |
| MASSACHUSETTS FINANCIAL SERVICES CO /MA/ | $2.5B | 8,707,049 |
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Is HON a good stock to buy?
13F Pro's AI-powered analysis of HONEYWELL INTERNATIONAL INC (HON) draws on SEC EDGAR-sourced fundamentals, institutional 13F holdings, and insider Form 4 transactions in the Industrials sector (listed on Nasdaq). The 32-signal AI Quality Score, current rank, and full bull/bear verdict for HON are available on the HON stock profile dashboard — with the same data, AI insights, ratios, and institutional activity refreshed after every 10-K, 10-Q, 13F, and Form 4 filing.
Which hedge funds own HON?
Institutional investors are required to disclose their holdings quarterly via SEC Form 13F. 13F Pro aggregates these filings to show which hedge funds, mutual funds, and asset managers are buying or selling HON. Combined with insider transaction data from Form 4 filings and AI-powered analysis from 10 specialized research agents, 13F Pro provides a comprehensive view of HONEYWELL INTERNATIONAL INC's investment landscape.