Honeywell International Inc. (NASDAQ:HON) Faces Headwinds as Honeywell Aerospace (NASDAQ:HONA) Struggles Post-Spin-off

• Investment firm Jefferies lowered its price target for Honeywell International Inc. (NASDAQ:HON) to $175 from $235, maintaining a "Hold" rating despite the stock's current trading price of $246.21.
• The cautious outlook is primarily driven by the poor performance of its recent spin-off, Honeywell Aerospace (NASDAQ:HONA), which saw its shares drop over 20% after missing earnings expectations, reporting $1.87 per share against an anticipated $2.13.
• Despite Honeywell Aerospace's significant decline, Honeywell International Inc. stock only fell by 2.14%, suggesting that investors may view the separation from the underperforming aerospace unit as a positive strategic move.

Honeywell International Inc. (NASDAQ:HON) is a large technology and manufacturing company. It recently spun off its aerospace division into a new company. Honeywell International Inc.'s stock is currently trading around $246.21 per share. The company has a market capitalization of approximately $78.03 billion.

On August 9, 2026, investment firm Jefferies lowered its price target for Honeywell International Inc. to $175 from $235. This new target is well below the stock's current price. Despite this, Jefferies kept its "Hold" rating. A "Hold" rating suggests that investors should not buy or sell the stock at its current level.

The cautious stance from Jefferies comes as Honeywell International Inc.'s recent spin-off, Honeywell Aerospace (NASDAQ:HONA), faces significant challenges. As highlighted by Seeking Alpha, Honeywell Aerospace's shares dropped over 20% after its first earnings report as a standalone company. This happened shortly after it separated from Honeywell International Inc. in June.

Honeywell Aerospace's report showed it missed earnings expectations. It earned $1.87 per share, below the anticipated $2.13. While revenue grew 5% to $4.5 billion, its profit under standard accounting rules (GAAP) fell by 71%. This resulted in an official GAAP profit of only $0.78 per share.

In contrast to Honeywell Aerospace's sharp decline, Honeywell International Inc.'s stock only fell by 2.14%. This may show that investors approve of Honeywell International Inc.'s strategy to separate from its underperforming aerospace unit. Honeywell Aerospace's CEO remains optimistic, citing "significant customer demand" in a statement highlighted by The Motley Fool, despite the poor results.