Honeywell(HON) See It Market·2025-03-13 19:38Market Overview - The S&P 500 experienced a significant decline from its February 19 high, influenced by tariff discussions and economic adjustments mentioned by President Trump and Treasury Secretary Bessent [1][2] - The aggressive tariff stance against Mexico, Canada, and Europe was unexpected, as China was primarily viewed as the main trade adversary [2] Stock Performance - The Magnificent Seven stocks faced substantial losses, with Tesla (TSLA) dropping 56% from its all-time high and NVIDIA (NVDA) down over 30% from its peak [3][4] - The current market conditions resemble those of late 2018 and early 2022, with rapid declines reminiscent of February-March 2020 [4] International Market Insights - Low P/E countries like Germany, Spain, Italy, and France have shown impressive gains year-to-date, contrasting with the U.S. market [5] - The euro trades at $1.09 against the USD, indicating a shift towards fiscal expansion in the Euro Area while the U.S. may face austerity measures [5] Corporate Strategies - Companies are focusing on maximizing shareholder value amidst policy uncertainty, with spinoffs being a strategic move to enhance value [7][8] - Honeywell (HON) plans to split into three entities: Honeywell Automation, Honeywell Aerospace, and an Advanced Materials division, aiming to streamline operations and increase shareholder value [11][12] Honeywell's Spinoff Plan - Honeywell's separation of Automation and Aerospace is expected to be completed in the second half of 2026, creating industry-leading companies [12] - The company has underperformed compared to its sector and the S&P 500 since late 2022, prompting the need for strategic restructuring [12]