Honeywell Sets a Low Bar for Itself

A good rule thumb for industrial companies right now is to do the exact opposite of what General Electric Co. did for the past few years. Honeywell International Inc. seems to have taken this to heart.

The $119 billion company released its outlook for 2018 on Wednesday, calling for organic revenue growth 2 percent to 4 percent and earnings per share in the $7.55 to $7.80 range. There's little wow factor in those numbers -- at the midpoint, both sets fall short of analysts' expectations in light of a growing global economy and positive trends in Honeywell's primary markets. "Call it prudence or conservatism or whatever you want," Chief Financial Officer Tom Szlosek said when pressed by analysts on aspects of the uninspiring guidance. "We're trying to set up a plan that we are confident in being able to achieve."