Honeywell reported adjusted earnings of $2.59 per share for the fourth quarter of 2025, exceeding the consensus estimate of $2.54. Quarterly revenue reached $9.76 billion, up 6% year-over-year, though slightly below the $9.85 billion analysts had forecast. Segment results were mixed, with strong margin performance in the aerospace division offset by a modest shortfall in building technologies sales.

For the fiscal year 2026, Honeywell issued guidance for adjusted earnings per share in the range of $10.35 to $10.65, compared with the consensus projection of $10.38. Revenue is expected between $38.8 billion and $39.8 billion, relative to the street estimate of $39.62 billion. In the first quarter, management anticipates adjusted EPS of $2.25 to $2.35 and revenue of $9.1 billion to $9.4 billion, against consensus targets of $2.34 per share and $9.29 billion in sales.

Chairman and CEO Vimal Kapur highlighted a record backlog exceeding $37 billion at the end of 2025, setting the stage for robust order flow in 2026. The company reaffirmed plans to separate its automation and aerospace businesses by the third quarter of 2026. To facilitate the upcoming spin-off, Honeywell has established a go-forward segment structure designed to enhance cross-portfolio synergies and accelerate profitable growth, and has named the leadership team for the standalone aerospace entity.

Analysts responded to the quarterly report by raising their price targets. Wells Fargo’s Joseph O’Dea maintained an Equal-Weight rating and lifted his target from $215 to $235. Barclays’ Julian Mitchell kept an Overweight rating and increased his target from $250 to $259. RBC Capital’s Deane Dray held an Outperform rating and raised his target from $249 to $268, citing the strength of Honeywell’s backlog and margin outlook.