Jim Cramer highlights Honeywell spin-off as potential long-term investment opportunity
Honeywell has completed its split into three separate public companies: Honeywell Technologies (HON), Honeywell Aerospace (HONA), and Solstice Advanced Materials (SOLS). Jim Cramer, host of CNBC's Mad Money, sees the aerospace division in particular as a compelling long-term opportunity. He compares this breakup to General Electric’s multiyear restructuring, suggesting that focused businesses may eventually outperform their former conglomerate parent. In its first quarter post-split, Honeywell Technologies reported $5.2 billion in sales and raised full-year revenue guidance between $19.8 billion and $20 billion. The company also expects adjusted earnings of $8.05 to $8.35 per share for the year. Cramer emphasizes that investors should evaluate each business separately based on growth, profitability, and cash flow rather than expecting immediate sum-of-the-parts value. Honeywell Aerospace began trading independently in June 2026 after being spun off from HON. The separation process has created two distinct investment opportunities with different strategic focuses: automation for industrial sectors versus aerospace and defense.
Topics: conglomerate_breakup investment_strategy stock_splits