Honeywell Aerospace Cuts Sales Forecast Amid Supply Chain Woes

Honeywell Aerospace's sales growth forecast has been lowered to 4-5% in 2026 due to supply chain constraints, which are diverting output from its higher-revenue aftermarket business. The company cited persistent supply-chain hurdles as the main reason for this decrease.

The aerospace supplier is prioritizing original equipment deliveries to Boeing and Airbus as production ramps up, leaving a less favorable sales mix in the back half of the year. This decision has resulted in lower-than-expected earnings per share, with Honeywell projecting $7.60-$7.90 for 2026.

The company's shares tumbled 12% after this announcement, and its quarterly core profit fell by 7% due to separation-related costs and inventory obsolescence charges.