HON

United Technologies’ Third Quarter Results Left Much to Be Desired

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On Tuesday, United Technologies (click ticker for report: ) reported weak third-quarter results. Sales advanced 6%, but earnings dropped by a similar amount, excluding restructuring costs. Organic sales fell 2% as negative foreign currency fluctuations adversely impacted expansion by 3 percentage points. The company’s operating margin also fell 100 basis points from the prior-year period, after adjusting for restructuring costs and net one-time items. Though the results weren’t as strong as we would have liked, we don’t expect any change to our fair value estimate to be material. New equipment orders were solid at Otis and in its North American residential HVAC business, but commercial aerospace spares orders dropped over 20% at Pratt & Whitney and 6% at UTC Aerospace … Read more

Honeywell Shows Continued Strong Execution; Revenue Environment Weakens

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Last Friday, Honeywell (click ticker for report: ) reported mixed third-quarter results that showed weakness in Europe (as expected) but strength in commercial aerospace, infrastructure spending, and oil and gas investments. Though revenue was roughly flat from the same period a year ago, organic sales edged up 2% and earnings per share from continuing operations jumped nearly 40%, though the firm benefited from a more-favorable tax rate in the most recently reported quarter. The company lowered its 2012 revenue guidance modestly, but it only narrowed the range of its 2012 proforma earnings per share outlook to $4.45-$4.50 per share (was $4.40-$4.55 per share), still representing a double-digit increase from last year. Free cash flow for the year is expected to … Read more

Search Dividend Reports by Company Name: F to J

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Going forward, please use the ‘Symbol’ search box to download stock and dividend reports of companies you are interested in. The ‘Symbol’ search box can be found in our website header. Image shown from above. Use the active search box in the website header above. Learn more about your membership >>  Note: We have now discontinued this list. Please use the ‘Symbol’ search box in the website header for stock and dividend reports. Please read about our Valuentum Dividend Cushion score (ratio) here. Just having access to this valuable metric alone could save your income portfolio thousands of dollars! The past meets the future as we showcase the Valuentum Dividend Cushion scores of Dividend Aristocrats in this article (click here). The dividend reports below … Read more

Honeywell and General Electric Reveal Industrial Strength

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On Friday, General Electric (GE) and Honeywell (HON) set the tone for industrial earnings in the first quarter. We continue to believe aerospace will be a bright spot and are expecting strong performance from our three aerospace holdings when each reports results in coming trading sessions: Precision Castparts (PCP), Astronics (ATRO), and EDAC Tech (EDAC). General Electric’s industrial performance was nothing short of excellent, in our opinion. For starters, industrial segment revenue jumped 14% on impressive double-digit organic growth (11%). Importantly, orders followed suit. Infrastructure orders, for example, advanced 20%, with equipment orders up nearly 30% and services up 11%. On an organic basis, orders increased 14%, outpacing organic top-line expansion. Industrial segment orders from growth markets also did quite well, jumping 21% in the … Read more

Honeywell Expects Strong 2012 Despite Downturn in Europe During First Half

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Honeywell (HON) posted solid results Friday that showed strong organic growth, impressive cash-flow generation, and margin expansion across all of its business segments. Our above-market fair value estimate remains unchanged. The industrial conglomerate’s fourth-quarter sales advanced 8% (7% organic) reflecting ongoing expansion in most of its end markets, new product introductions, and geographic expansion on key process initiatives. Honeywell experienced particular strength from its aerospace end market thanks to 20% growth in commercial original equipment and aftermarket volumes. Though we are reducing our aerospace exposure in the portfolio of our Best Ideas Newsletter to lock in some of our big gains of the previous few months, we continue to expect strength from this industry as commercial production rates at Boeing … Read more

Honeywell, United Tech See Strength in Emerging Markets; No Global Recession in 2012

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This week we received some encouraging comments out of two bellwethers on the global industrial economy. As we outlined in our Best Ideas Newsletter, we continue to believe that the US will avoid a double-dip recession, and the results from FedEx (FDX) coupled with recently-issued 2012 outlooks from Honeywell (HON) and United Tech (UTX) reinforce this thesis. Honeywell issued its 2012 financial outlook this week indicating that sales will expand 4% to 7% (4% to 6% organic) despite some weakness in Europe and China and overall defense spending. Earnings-per-share from continuing operations is expected to jump as much as 19% over the prior year on margin expansion of 40 to 70 basis points. This is on the back of expectations … Read more

Honeywell Lifts 2011 Outlook; Organic Growth Remains Robust

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Honeywell (HON) reported fantastic third-quarter results Friday that showed strong organic revenue growth and impressive margin improvement. We liked the firm’s performance and outlook, and we are maintaining our $61 fair value estimate. The conglomerate’s revenue advanced 14%, with 8% coming organically – a level matching General Electric’s (GE) organic expansion during its quarter. Honeywell’s third-quarter performance was driven particularly by aerospace, an industry which we continue to overweight in our best ideas portfolio. We firmly believe the build rates by Boeing (BA) and Airbus (EADSY.PK) will accelerate in coming years thanks to the jet makers’ massive backlogs and material narrowbody rate increases. Honeywell, as well as a number of other component suppliers, are well-positioned to capitalize on this strength. … Read more

Ignore Debt Ceiling News, Focus on Corporate Earnings

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Simply put, the United States is not going to default on its debt. In other words, we think any market action resulting from the debt-ceiling issue will be irrelevant in coming months, and resolve itself in due time — as it has with any other crisis. Further, we remain unconvinced that this topic is a legitimate concern for long-term equity investors. The fact that America has a large national debt (and a problem with entitlement programs) is well documented in every history and social-studies textbook in grammar schools across the country; how can this be something that will blindside the markets? We’re not talking about derivatives on complex mortgage instruments here. The debt-ceiling deadline is purely a political issue, one … Read more

Honeywell Posts Strong 2Q Results, Raises Full-Year Guidance

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Honeywell (HON) reported second-quarter results Friday that showed strong sales growth and solid earnings expansion. The firm’s top-line expanded 15% in the period (7% organic growth), while earnings per share jumped over 40% from the same quarter a year ago thanks to a 70 basis-point expansion of segment margins to 14.3% in the quarter. Despite the strong quarter, we are maintaining our view that Honeywell is fairly valued at this time in the mid $50s, low $60s per share. The key driver fueling the growth in the quarter was solid performance in the firm’s aerospace commercial aftermarket (up 21% in the period) reflecting strong spare sales and higher aircraft utilization rates. Total aerospace sales advanced 6% from the same period … Read more