Citi Raises Honeywell (HON) Price Target, Maintains Buy Rating

Citi has raised its price target on Honeywell International Inc. (NASDAQ:HON) to $265 from $242, maintaining a Buy rating, as findings from the firm’s latest automation survey suggest supportive conditions for continued investment in industrial technology. Based on responses from 200 manufacturing executives, the firm’s sixth annual automation report points to a stable demand environment for automation solutions despite broader economic uncertainties.

A marketing manager looking at the data dashboard of a marketing automation software showing successful campaign results.

According to Citi, companies are prioritizing automation to boost operational efficiency, manage labor constraints, and control costs. This emerging priority positions Honeywell International Inc. (NASDAQ:HON)—and similarly exposed peers like Emerson and Rockwell Automation, Inc. (NYSE:ROK)—to benefit from a growing shift in manufacturing strategies. The report indicates that automation adoption is poised to accelerate over the next few years, fueled by strategic goals tied to productivity improvements and long-term cost optimization. Citi sees this as creating a favorable multi-year setup for industrial firms with automation capabilities, highlighting Honeywell’s diversified product portfolio as a competitive advantage.

While macroeconomic volatility remains a factor, the survey findings suggest that capital allocation toward automation initiatives is unlikely to slow meaningfully in the near term. Decision-makers continue to prioritize digital transformation and operational resilience, offering firms like Honeywell durable demand visibility. Citi’s revised target reflects growing confidence in Honeywell’s role as a key beneficiary of evolving industrial priorities, particularly as manufacturers shift toward smarter, tech-enabled infrastructure at scale.

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Disclosure: None.