Topic: How To Invest

What is Pat’s commentary for the week of October 10, 2018

Article Excerpt

Honeywell was one the first stocks we analyzed in our Spinoffs, Takeovers & Special Situations newsletter, which is part of our Inner Circle Pro service. In 2017, the company came under activist pressure to improve shareholder value by spinning off its Aerospace business. It resisted that plan and decided instead to spin off two of its smaller businesses. Thanks to those plans—plus the improved outlook for Honeywell’s remaining businesses—the stock has gained 25% in the past year. The company has now completed its first spinoff, and expects to complete the second by the end of October. This is our special expanded update on Honeywell. HONEYWELL INTERNATIONAL INC., $157.81 (New York symbol HON; Shares outstanding: 742.6 million; Market cap: $119.5 billion; www.honeywell.com) is a diversified technology firm operating through four main segments: Aerospace (36% of its 2017 sales) makes a variety of equipment for commercial and military airplanes and helicopters, such as jet engines, aircraft control systems, and communications and navigation gear. This segment also…