Honeywell International ( HON ) shares are down during Thursday’s premarket session. The company disclosed a collaboration with Rhombus to enhance its cloud-connected security solutions.

This strategic partnership aims to address the rising demand for integrated cloud access and video solutions, adding pressure as broader markets edged lower.

Partners Rhombus On Cloud Security

Honeywell ( HON ) and Rhombus will deliver an integrated access control and video management solution that is easy to deploy and manage.

This collaboration is set to support a variety of commercial environments, including retail chains and schools, with Rhombus products initially available through Honeywell ( HON ) in North America.

The partnership is part of Honeywell’s ongoing effort to modernize building security, which began with the acquisition of LenelS2 in 2024.

Notably, the cloud video solutions market is projected to grow at over 20% annually (as per Omdia), indicating a strong demand for such innovations in the security industry.

Commits $500M In Defense Deal

On Wednesday, Honeywell ( HON ) disclosed a deal of $500 million to upgrade its production capacity under this new agreement. This marks a significant investment in defense technologies.

This framework agreement positions Honeywell Aerospace as a key supplier, enabling the company to meet urgent demands for critical capabilities in national defense.

The agreement highlights Honeywell's ( HON ) focus on delivering advanced technologies across various sectors, including aerospace, defense, and industrial automation.

HON 3.8% Below 20-Day SMA

The broader market experienced declines on Wednesday, with the S&P 500 falling 0.84%. Honeywell’s stock decline occurred as the industrials sector also faced pressure, suggesting that the company’s movement may be influenced by broader market trends.

The stock is currently trading 3.8% below its 20-day simple moving average (SMA) and 2.8% below its 50-day SMA, indicating short-term weakness. However, Honeywell ( HON ) shares have increased 12.41% over the past 12 months and are positioned closer to their 52-week highs than lows.

The RSI is at 41.31, which is considered neutral territory. Meanwhile, MACD is at -2.8838, below its signal line at -0.7471, indicating bearish pressure on the stock.

The combination of neutral RSI and bearish MACD suggests mixed momentum.

Key Resistance: $245.50

Key Support: $193.00

HON Q1 Update Set for April 23

Honeywell International, Inc. ( HON ) is slated to provide its next financial update on April 23, 2026 (confirmed).

EPS Estimate: $2.32 (Down from $2.51)

Revenue Estimate: $9.27 Billion (Down from $9.82 Billion)

Valuation: P/E of 32.5x (Indicates premium valuation)

Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $252.17. Recent analyst moves include:

Morgan Stanley: Equal-Weight (Raises Target to $245.00) (Mar. 12)

Jefferies: Hold (Raises Target to $245.00) (Mar. 4)

Barclays: Overweight (Raises Target to $275.00) (Mar. 4)

HON ETF Weights: NATO 5.38%, PPA 4.40%

Invesco Aerospace & Defense ETF ( PPA ) : 4.40% Weight

Themes Transatlantic Defense ETF ( NATO ) : 5.38% Weight

BrandywineGLOBAL-Dynamic US Large Cap Value ETF ( DVAL ) : 4.22% Weight

Significance: Because HON carries significant weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.

HON Stock Price Activity: Honeywell Intl ( HON ) shares were down 0.66% at $224.30 during premarket trading on Thursday, according to Benzinga Pro data.