Honeywell Aerospace Shares Plummet on Revised Outlook and Supply Chain Woes

Honeywell Aerospace's shares plummeted by 20.8% to $161.21 on Thursday, marking its first earnings release as a standalone firm.

The decline came after the company revised its 2026 outlook downward due to supply chain issues and slower growth in aftermarket sales.

Honeywell lowered its organic sales growth forecast to 4-5%, down from the previous range of 7-9%, which led to a significant reduction in equity value, with an estimated $13.5 billion wiped out.

The company attributed the decline in profit margins to supply constraints that prioritized original-equipment shipments for Boeing and Airbus over higher-margin international contracts.