A car-load of attackers armed with assault rifles drove up to a football field in a poor Honduran neighbourhood and opened fire, killing at least 14 people.
Armando Calidonio, vice minister of security, said the gunmen shot at the victims from point-blank range.
Ten were killed at the scene and four died as they were being taken to hospital. More were wounded - some gravely, Mr Calidonio said.
The attackers numbered about five, but police did not have any suspects.
"We still do not know the motive of this tragedy," Mr Calidonio said.
The massacre took place in Colonia Felipe Zelaya, a crowded, violent neighbourhood in the northern city of San Pedro Sula that is home to hundreds of gang members.
Mass shootings are not uncommon in Honduras. "Maras" - street gangs that grew out of Los Angeles and spread to Central America - are blamed for rampant violent crime, extortion and more recently acting as enforcers for drug cartels.
In September, gunmen killed 18 shoe factory employees in San Pedro Sula in a shooting blamed on gang rivalries.
Six youths were murdered in a home last month, also in San Pedro Sula. Authorities linked that killing to the drug trade.