By Aatreyee Dasgupta and Allison Lampert
June 29 (Reuters) – Honeywell Aerospace shares closed down 0.4% on Monday after the company made its Nasdaq debut following its spinoff from Honeywell as part of a broader breakup of one of the last major industrial conglomerates.
Shares opened the day higher, at one point gaining about 7%, before falling back on volume of about 8.5 million shares to end down 82 cents at $220.19 a share.
The company’s debut comes at a time of strong investor appetite for aerospace and defense assets, driven by pent-up demand and rising military spending.
CEO Jim Currier said the spinoff will help the company better meet demand from planemakers Boeing and Airbus by allowing it to make decisions more quickly, such as whether to deploy capital to support higher production.
“We can support Boeing and Airbus as they’re continuing to ramp,” Currier said. “We have very, very clear visibility in terms of their ramp needs going forward.”
The U.S. maker of auxiliary power units, avionics and other aircraft systems expects $6.5 billion in adjusted earnings by 2030. It foresees sales growth of 7% to 9% this year and free cash flow of $1 billion to $1.5 billion.
Honeywell in 2025 announced it would separate into three standalone companies focused on automation, aerospace and advanced materials in a process expected to conclude this year.
Commercial and private jet makers are struggling with supply chain challenges that have weighed on output.
Honeywell Aerospace is also looking at M&A opportunities focused on technologies in high demand in aerospace, such as electrification, autonomy, safety, productivity and efficiency, he added. The company said earlier this month it would prioritize investing to grow its capacity and supply chain, rather than emphasizing dividends or share buybacks.
Currier said planemakers are also more open about their growth plans with large suppliers like Honeywell.
“There used to be a little bit of a lack of transparency historically in the past about what those production rates would be that drive second guessing: Are they really going to achieve, are they not going to achieve?” he said.
“That transparency now is at a level I’ve never seen before, which really in a supply-constraint environment is necessary,” he said.
(Reporting by Aatreyee Dasgupta in Bengaluru and Allison Lampert in Montreal; Editing by Joyjeet Das and David Gaffe)
By Aatreyee Dasgupta and Allison Lampert | Reuters | © Copyright Thomson Reuters 2026.
