Honeywell International Inc.

🇺🇸NASDAQ Global Select
Back to all articles
Honeywell International Inc. stock analysis HON overview
Bullish +75

This new quantum stock could debut with a valuation of nearly $13 billion

🚀 Quantinuum, a Honeywell spinoff specializing in quantum computing, has finalized terms for its IPO aiming to raise up to $1 billion.

📊 The company plans to sell 21.05 million shares at a price range of $45-$50 per share.

💰 If priced at the high end, the IPO would value Quantinuum at approximately $12.7 billion upon completion.

🏛️ Colorado-based Quantinuum was previously selected to receive $100 million in federal funding from the Trump administration, with the government taking a minority stake.

🔄 Formed in 2021 via the merger of Honeywell Quantum Solutions and Cambridge Quantum, the company is launching under the ticker "QNT" on the Nasdaq.

🤝 Honeywell International will remain a principal shareholder, beneficially owning 49.1% of the combined voting power post-IPO.

💼 CEO Rajeeb Hazra is expected to retain ownership of 4% of the Class A shares after the listing.

🏦 J.P. Morgan and Morgan Stanley have been named as the lead underwriters for the initial public offering.

📉 Prior to the news, shares of rival quantum companies like D-Wave Quantum and Rigetti Computing fell by over 5%, reflecting sector rotation pressures.

📈 Conversely, GlobalFoundries (GFS), a chip manufacturing partner for Quantinuum, saw its stock rise 5% on record highs.

💸 In the first quarter, Quantinuum reported $5.24 million in revenue but incurred a net loss of $128.2 million.

📉 The company posted even higher losses in all of 2025, totaling $458.2 million, highlighting current investment intensity in quantum R&D.

🏢 Honeywell's stock price increased 1.7% immediately following the announcement of the spinoff's IPO details.

⚡ Since January, when the separation was first announced, Honeywell shares have gained over 10%.

📅 The article and financial data were reported by Dow Jones and MarketWatch on May 26, 2026.

🔮 The anticipated share count after the IPO is expected to reach approximately 253.9 million outstanding shares.

Bullish Signals
  • Quantinuum is poised to go public with a potential valuation of up to $12.7 billion, which places it above the market capitalizations of competitors like D-Wave Quantum (QBTS), Rigetti Computing (RGTI), and Infleqtion (INFQ).
  • The company is receiving significant government support, having been selected for a new $100 million funding round from the Trump administration while also securing a minority equity stake.
  • Honeywell International will remain a principal stockholder after the IPO with beneficial ownership of 49.1% of voting power, providing strong institutional backing and stability.
  • The company has secured partnerships with industry leader GlobalFoundries to support its expansion plans, evidenced by GlobalFoundries shares climbing 5% to a third straight record close following the news.
  • Top-tier investment banks J.P. Morgan and Morgan Stanley are serving as lead underwriters for the IPO, signaling strong market confidence in Quantinuum's prospects.
  • Quantinuum expects to offer 21.05 million shares at a pricing range of $45-$50, potentially raising up to $1.05 billion for further development and scaling.
Risk Factors
  • Quantinuum posted a net loss of $128.2 million in the first quarter, down from an annualized loss of $458.2 million in 2025, indicating significant ongoing financial burn despite recent revenue growth.
  • The company's first quarter revenue of $5.24 million pales in comparison to its 2025 full-year revenue of $30.93 million, suggesting a potential seasonal decline or significant timing mismatch that could mask underlying cash flow challenges.
  • Even at the low end of its expected price range ($45), Quantinuum's IPO valuation of up to $12.7 billion significantly outpaces its public quantum peers like D-Wave Quantum, Rigetti Computing, and Infleqtion, raising concerns about potential overvaluation as it enters the market.
  • Honeywell International's stake will remain substantial at 49.1% beneficially owned voting power post-IPO, which may be viewed by investors as a sign that private owners lack sufficient skin in the game or that a true public float is limited.
  • As is common with new IPOs, investor capital may shift from existing quantum competitors like D-Wave Quantum, Rigetti Computing, and Infleqtion into Quantinuum, potentially weakening the market positions of established rivals even as they decline due to sector rotation.
Full Analysis
Honeywell spinoff Quantinuum has set final terms for an initial public offering, aiming to raise up to $1 billion by pricing 21.05 million shares between $45 and $50 per share. The company, formed in 2021 from the merger of Honeywell Quantum Solutions and Cambridge Quantum, is expected to have a valuation of approximately $12.7 billion once it goes public, which would surpass current market cap values for competitors like D-Wave Quantum, Rigetti Computing, and Infleqtion. Following the announcement of the IPO terms, Honeywell shares rose 1.7%, having gained over 10% since January when the company first confirmed plans to spin off its quantum computing business. Honeywell will remain a principal stockholder after the listing, beneficially owning 49.1% of the combined voting power of Quantinuum's Class A and Class B shares, while CEO Rajeeb Hazra is expected to retain a 4% ownership stake in Class A shares. The IPO will lead to roughly 253.9 million shares outstanding on the Nasdaq under the ticker symbol "QNT," with J.P. Morgan and Morgan Stanley serving as lead underwriters. Regulatory filings indicate that Quantinuum recently received $100 million in government funding from the Trump administration, which includes a minority equity stake, to support its expansion plans alongside partner GlobalFoundries. Financially, the company reported quarterly revenue of $5.24 million in the first quarter with a net loss of $128.2 million, compared to 2025 figures of $30.93 million in revenue and a $458.2 million loss. In related market movements upon the news, D-Wave Quantum shares dropped 5.4%, Rigetti shares sank 5.1%, and Infleqtion shares shed 2.9% as investors reallocated capital ahead of the sector's new public offering.