Honeywell's Stock Set For Selloff After Downbeat Sales Outlook

Shares of Honeywell International Inc. were indicated down nearly 9% in premarket trade Friday, after the diversified technology and manufacturing company provided a downbeat outlook for 2017. The company affirmed its fourth-quarter 2016 earnings-per-share outlook of $1.74, but that was below the FactSet consensus of $1.75. For 2017, Honeywell expects EPS of $6.85 to $7.10, compared with the FactSet consensus of $7.08. Revenue is expected to decline 1% to 2% from this year, while the current FactSet consensus of $39.92 billion implies 1% growth over the 2016 consensus of $39.51 billion. The stock has rallied 13% year to date through Thursday, while the S&P 500 has gained 11%.