No qualifying author-owned investment thesis was confirmed in this post.
no investment thesis
Score1
Comments3
▶ Full Post Text
Honeywell (HON) has been on my watchlist. They're planning on doing a spinoff in Q3 2026. I think their aerospace segment is being spun off and the automation segment will retain the HON ticker.
Should I wait to buy until after the spinoff? I haven't dealt with a spinoff before so I'm not sure if there's anything as an investor I should be concerned about.
The combined company had an earnings beat last week, but I'm not sure how much each segment contributed to that. I'm also unsure how the valuation changes when the spinoff happens. I assume overhead costs will increase because each company will need its own HR department, lawyers, etc., right?
Would you invest before or after the spinoff? (I'd like to own shares in both segments/companies when the spinoff is complete).
Thanks!