Honeywell International Inc. (HON): Among the Best Quantum Computing Stocks to Invest in Now
Our Methodology
To compile the list of 12 Best Quantum Computing Stocks to Invest in Now, we conducted thorough research, analyzing multiple financial media reports and industry reports. Starting with an initial list of 20 companies, we narrowed it down by choosing pure-play quantum computing stocks that are popular among elite hedge funds. The final selection is ranked in ascending order of their hedge fund sentiment, as of Q4 2024.
At Insider Monkey, we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A shot of a commercial plane with a blur of color in the background, representing the production of auxiliary power units in the Safety and Productivity Solutions segment.
Honeywell International Inc. (NASDAQ:HON)
Number of Hedge Fund Holders: 67
Honeywell International Inc. (NASDAQ:HON) is a multinational conglomerate known for its innovations in aerospace, automation, and advanced technologies. Honeywell has taken major strides in quantum computing through its dedicated subsidiary, Quantinuum, which was created by merging Honeywell Quantum Solutions with Cambridge Quantum Computing in 2021. This strategic move positioned Honeywell as a leader in the quantum technology space. The company has achieved notable breakthroughs in quantum volume, demonstrating improvements in computational performance. In cybersecurity, Honeywell has integrated quantum-hardened encryption keys into smart utility meters, enhancing data protection against emerging threats. Collaborations with partners like Microsoft have also advanced quantum error correction, a vital component for scalable quantum systems. These initiatives reflect Honeywell’s commitment to transforming industries such as cybersecurity, materials science, and artificial intelligence through practical and secure quantum computing applications.
Bank of America (BofA) has upgraded Honeywell (NASDAQ:HON) to Buy from Neutral and increased its price target to $250 from $210, citing a return to stable or positive earnings revisions after a strong Q1 performance. Shares rose over 2% in premarket trading. Honeywell had underperformed industrial peers due to negative revisions and missed expectations, but BofA now sees improved earnings visibility. “Honeywell is one of the most discounted names in our coverage on a terminal growth basis,” analysts said, adding, “we believe the company can start to close some of the valuation gap vs. peers.” The firm raised its 2025 EPS estimate to $10.44, slightly above consensus, and expects $11.54 for 2026. BofA also cited stronger internal forecasting and guidance, following meetings with Honeywell’s CEO and CFO, as key factors boosting investor confidence.
Overall, HON ranks 4th on our list of best quantum computing stocks to invest in now. While we acknowledge the growth potential of HON, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than HON but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
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