Cramer loads up on Honeywell stock despite weaker-than-expected Q4 sales

Honeywell International Inc (NASDAQ: HON) came in shy of Street estimates for revenue in its fiscal fourth quarter. Still, Jim Cramer loaded up shares of the industrial giant on Thursday.

Cramer’s view on Honeywell stock

The multinational conglomerate now forecasts about $9.95 a share of earnings in its fiscal 2024 – roughly in line with analysts at $9.96.

But Cramer is confident that Honeywell will beat that “conservative” guidance. His Charitable Trust now owns 560 shares of the Charlotte-headquartered firm including 30 it bought this morning.

The famed investor is bullish on Honeywell stock also because he’s content with its management and how it’s executing.

Cramer’s view is in line with Wall Street that also currently has a consensus “overweight” rating on $HON. The industrial stock is now down over 6.0% versus its recent high.

Cramer is bullish for two main reasons

The Mad Money host did acknowledge broad-based disappointment in fourth-quarter sales, including in the aerospace segment that typically steals the spotlight.

But better-than-expected margins except in “building technologies” is what contributed to keeping him bullish on the Nasdaq-listed firm.

Jim Cramer sees upside in Honeywell stock also because the cash flow it generated in its recently concluded quarter handily topped Street estimates on Thursday.

$HON is down nearly 3.0% after reporting its quarterly results today – which he used as an opportunity to increase his stake. Note that the $129 billion behemoth does also pay a dividend yield of 2.20% at writing.