Honeywell International Inc. HON recently partnered with Cisco Systems, Inc. CSCO to develop an AI-powered solution that automatically adjusts building systems based on various usage levels. This collaboration aims to minimize energy consumption and enhance the productivity and comfort of workers.
Based in San Jose, CA, Cisco is an IP-based networking company offering products and services to service providers, companies, commercial users and individuals. The company is rapidly expanding its presence in the network security domain.
Cisco Spaces is a workspace management solution of Cisco that gathers occupancy and environmental data using the company’s network infrastructure, environmental sensors, collaboration devices and third-party IoT devices. This solution doesn’t require any other hardware. Honeywell Forge Sustainability+ will then use this information to boost energy optimization and offer clarity into how these buildings are used. When integrated with Honeywell's Optimizer Advanced Controller for Buildings, the real-time occupancy data will further boost energy efficiency, making the building more robust.
With this solution, room temperatures, lighting and ventilation will be adjusted automatically based on people’s locations and user settings. This automation will simplify building operations, optimize energy use, improve employee comfort and monitor greenhouse gas emissions. It can manage a single building or an entire campus.
This partnership is in line with HON's goal to reduce the environmental footprint of buildings. It also supports the company's focus on three major trends, which are automation, energy transition and sustainability.
HON’s Zacks Rank
Strength in the commercial aviation and building automation businesses augurs well for Honeywell. The Aerospace segment is particularly strong, driven by robust demand in the aviation aftermarket.
In the past year, this Zacks Rank #3 (Hold) company’s shares has risen 10.4% against the industry’s 1.1% decline.
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However, weakness in the Industrial Automation segment due to lower demand for projects is worrisome. The weakened demand for personal protective equipment within the sensing and safety technologies business is also concerning.
Stocks to Consider
Better-ranked companies are discussed below.
Vector Group Ltd. VGR currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
VGR delivered a trailing four-quarter average earnings surprise of 15.4%. In the past 60 days, the Zacks Consensus Estimate for Vector Group’s 2024 earnings has increased 5.2%.
Federal Signal Corporation FSS presently carries a Zacks Rank of 2. The company delivered a trailing four-quarter average earnings surprise of 12.3%.
In the past 60 days, the Zacks Consensus Estimate for FSS’ 2024 earnings has increased 5.2%.
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Honeywell International Inc. (HON) : Free Stock Analysis Report
Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report
Federal Signal Corporation (FSS) : Free Stock Analysis Report
Vector Group Ltd. (VGR) : Free Stock Analysis Report
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