Shares from the industrial conglomerate are under pressure after Honeywell International Inc. (NYSE: HON) provided a downbeat forecast for the third and fourth quarters.
The company now expects GAAP EPS of $1.60 and adjusted EPS of $1.67 for the third quarter. The company claimed that it was in
line with its earlier forecast. However, this fell short of analysts' estimates of $1.70 a share.
Honeywell blamed the weak shipments to business and general aviation OEMs apart from the continued delays and completions in the
defense & space segment in the domestic and global businesses. Lower volumes in productivity solutions also played its part in the
soft guidance.
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Honeywell's Guidance Update: "This Does Not Make Sense"
For the fourth quarter, the company expects EPS to be $1.74–$1.78 while guiding adjusted EPS to be $6.60–$6.64 for the full
year. The company expects core organic sales to fall 1–2 percent for the full year. Analysts are looking for an EPS of $1.80 and
$6.68 for the fourth quarter and full year, respectively.
Following the downbeat forecast, shares of other industrial conglomerates also started trading in volatile on Friday.
At Last Check ...
Honeywell was down 7.72 percent at $106.68.
Other stocks in the sector:
-
3M Co (NYSE: MMM) was down 0.43 percent at
$170.90.
-
Carlisle Companies, Inc. (NYSE: CSL) was
down 0.33 percent at $104.98.
-
E I Du Pont De Nemours And Co (NYSE: DD)
was down 0.45 percent at $68.75.
-
Illinois Tool Works Inc. (NYSE: ITW) was
down 1.65 percent at $117.59.
-
Raven Industries, Inc. (NASDAQ: RAVN)
was down 1.81 percent at $22.22.
-
Trinity Industries Inc (NYSE: TRN) was
down 1.25 percent at $24.25.
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