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Honeywell Technologies Raises 2026 Profit Guidance Following Reverse Stock Split
Summary
The automation firm has increased its earnings per share forecast for the second half and full year of 2026 after completing a one-for-two reverse stock split. The adjustment follows the recent spinoff of its aerospace division.
Honeywell Technologies announced on Wednesday an upward revision of its profit targets for the second half and full year of 2026. The updated guidance comes after the automation company completed a one-for-two reverse stock split.
The company now anticipates second-half adjusted earnings per share (EPS) to be in the range of $4.40 to $4.70, a significant increase from its previous forecast of $2.20 to $2.35. For the full year, the adjusted EPS target has been raised to a range of $7.90 to $8.30, compared to the earlier estimate of $3.95 to $4.15. Honeywell Technologies noted that its sales and segment margin targets for the same periods remain unchanged.
The reverse stock split was executed following a major corporate restructuring. The company, formerly known as Honeywell, recently spun off its aerospace arm, Honeywell Aerospace, which was listed as a separate public company late last month.
AdThis move is part of a broader three-way split announced last year, which divided the former Honeywell into Honeywell Technologies, Solstice Advanced Materials, and Honeywell Aerospace. The restructuring reportedly followed pressure from activist investor Elliott Investment Management.