Jim Cramer recently spotlighted Honeywell Aerospace (NASDAQ:HONA) on a Mad Dash segment, the newly independent aerospace company created after Honeywell Technologies (NASDAQ:HON | HON Price Prediction) completed its spinoff on June 29, 2026. Cramer says he plans to own both Honeywell Aerospace and Honeywell Technologies in his charitable trust.
His argument for the new Honeywell Aerospace business is straightforward: “People want a new aerospace play. They love aerospace. They don’t like Boeing,” he said. Boeing (NYSE:BA) was last quoted near $216.95, against analysts’ average price target of $270.
Honeywell Aerospace: The New Aerospace Pure-Play
Cramer called the aerospace operation “top flight” and pushed back on Wall Street’s caution. He flagged that Jefferies rates the aerospace unit a hold, but said he disagrees and intends to own it personally. He also disclosed a personal angle, noting a friendship with one of the aerospace leaders, whom he described as a former neighbor. Honeywell Aerospace is led by President and CEO Jim Currier with Josh Jepsen as CFO.
On growth, Cramer pointed to management’s framework of roughly 9% compound annual growth through 2030, then added that he would “go a little bit higher than that,” framing the guidance as conservative. The underlying business supports the case.
In its final quarter as a segment inside the parent company, Aerospace Technologies generated $4.322 billion in Q1 2026 revenue with 4% organic growth, a 1.1x book-to-bill ratio, and 6% order growth. The prior quarter showed even more torque, with $4.520 billion in revenue and 13% organic growth, including 10% growth in Defense & Space.
Honeywell Technologies: The Automation Story Cramer Still Wants to Own
The remaining Honeywell Technologies entity is the automation-focused parent, led by CEO Vimal Kapur. Cramer said he likes the automation business and its leadership and is keeping HON in his trust alongside HONA. Honeywell has a market capitalization of roughly $73.57 billion, a forward P/E of 22, and a share price of $224.46, vs. an analyst price target of $247.69.
Honeywell delivered Q1 2026 adjusted EPS of $2.45 against a $2.32 consensus, its fourth straight earnings beat, with segment margin expanding 90 basis points to 23.3% and orders rising 7% organically on a backlog of $38.30 billion. Management reaffirmed full-year guidance of $38.8 billion to $39.8 billion in sales and adjusted EPS of $10.35 to $10.65.
Kapur framed the rationale on the call: “All of the acquisitions, divestitures, spin-offs and simplification efforts over the last several years have positioned both aerospace and automation for bright futures as independent, leading companies.”
What Investors Should Watch Next
Cramer’s bullish view rests on two key ideas. First, he believes investors looking for aerospace exposure beyond Boeing now have a large, standalone pure-play in Honeywell Aerospace. Second, he thinks management’s long-term growth outlook through 2030 could prove conservative.
Commercial aftermarket demand remains strong, and the U.S. Department of War’s FY 2027 budget request includes a $3 billion increase for Weapon System Sustainment, a $14.9 billion investment in munitions, and higher funding for aircraft flying hours, which supports demand for avionics, auxiliary power units (APUs), and engine systems that Honeywell Aerospace supplies.
The biggest near-term question is execution. Cramer noted Jefferies’ Hold rating, while Honeywell has warned that temporary supply-chain constraints could limit production in the short term. As a newly public company, investors will be watching the first few quarters of standalone results and any updated long-term guidance from management to see whether the company’s growth outlook begins to exceed its initial targets.
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