Clayton Dubilier & Rice LLC Takes Position in Resideo Technologies, Inc. $REZI

Key Points

• Clayton Dubilier & Rice LLC has acquired a significant stake in Resideo Technologies, Inc., buying 5.77 million shares valued at approximately $127.29 million, making it the fund's second largest position.
• Resideo Technologies reported a 22.3% year-over-year revenue increase, reaching $1.94 billion for the last quarter, beating consensus estimates.
• Institutional investors hold an impressive 91.71% of Resideo's stock, indicating strong confidence in the company's future performance.

Clayton Dubilier & Rice LLC bought a new stake in Resideo Technologies, Inc. (NYSE:REZI - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 5,770,151 shares of the company's stock, valued at approximately $127,290,000. Resideo Technologies accounts for 35.6% of Clayton Dubilier & Rice LLC's portfolio, making the stock its 2nd biggest position. Clayton Dubilier & Rice LLC owned 3.89% of Resideo Technologies as of its most recent SEC filing.

A number of other institutional investors also recently modified their holdings of the business. Boston Partners boosted its position in shares of Resideo Technologies by 1.6% in the first quarter. Boston Partners now owns 9,954,419 shares of the company's stock valued at $175,640,000 after acquiring an additional 156,536 shares during the period. Ariel Investments LLC boosted its position in shares of Resideo Technologies by 5.1% in the first quarter. Ariel Investments LLC now owns 9,664,671 shares of the company's stock valued at $171,065,000 after acquiring an additional 465,571 shares during the period. Dimensional Fund Advisors LP boosted its position in shares of Resideo Technologies by 2.8% in the first quarter. Dimensional Fund Advisors LP now owns 8,205,405 shares of the company's stock valued at $145,234,000 after acquiring an additional 223,063 shares during the period. Fuller & Thaler Asset Management Inc. boosted its position in shares of Resideo Technologies by 9.1% in the first quarter. Fuller & Thaler Asset Management Inc. now owns 8,196,828 shares of the company's stock valued at $145,084,000 after acquiring an additional 683,714 shares during the period. Finally, Pzena Investment Management LLC boosted its position in shares of Resideo Technologies by 1.6% in the second quarter. Pzena Investment Management LLC now owns 2,687,128 shares of the company's stock valued at $59,278,000 after acquiring an additional 41,808 shares during the period. Institutional investors own 91.71% of the company's stock.

Resideo Technologies Stock Up 0.4%

Shares of NYSE REZI opened at $41.84 on Thursday. The company has a current ratio of 1.00, a quick ratio of 0.63 and a debt-to-equity ratio of 0.93. The company has a market cap of $6.22 billion, a price-to-earnings ratio of -7.66 and a beta of 2.23. Resideo Technologies, Inc. has a 12 month low of $14.18 and a 12 month high of $43.96. The stock has a 50-day moving average price of $37.08 and a two-hundred day moving average price of $26.26.

Resideo Technologies (NYSE:REZI - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported $0.66 EPS for the quarter, topping the consensus estimate of $0.54 by $0.12. The firm had revenue of $1.94 billion during the quarter, compared to the consensus estimate of $1.83 billion. Resideo Technologies had a positive return on equity of 12.55% and a negative net margin of 10.52%.The business's quarterly revenue was up 22.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.62 earnings per share. Resideo Technologies has set its FY 2025 guidance at 2.750-2.870 EPS. Q3 2025 guidance at 0.700-0.760 EPS. As a group, analysts forecast that Resideo Technologies, Inc. will post 2.13 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on the stock. Weiss Ratings reissued a "sell (d+)" rating on shares of Resideo Technologies in a research report on Wednesday, October 8th. Oppenheimer upped their price objective on shares of Resideo Technologies from $35.00 to $48.00 and gave the stock an "outperform" rating in a research report on Friday, September 19th. Morgan Stanley raised shares of Resideo Technologies from an "equal weight" rating to an "overweight" rating and upped their price objective for the stock from $24.00 to $35.00 in a research report on Tuesday, August 12th. Finally, Zacks Research raised shares of Resideo Technologies from a "hold" rating to a "strong-buy" rating in a research report on Monday, September 22nd. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $34.67.

Insider Buying and Selling

In other Resideo Technologies news, major shareholder Channel Holdings Ii L.P. Cd&R bought 4,477,919 shares of the stock in a transaction on Friday, July 25th. The stock was purchased at an average price of $22.33 per share, with a total value of $99,991,931.27. Following the completion of the purchase, the insider owned 10,232,420 shares in the company, valued at $228,489,938.60. The trade was a 77.82% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Over the last three months, insiders bought 7,545,693 shares of company stock worth $194,098,517 and sold 133,231 shares worth $4,025,742. Insiders own 1.50% of the company's stock.

Resideo Technologies Profile

Resideo Technologies, Inc develops, manufactures, and sells comfort, energy management, and safety and security solutions to the commercial and residential end markets in the United States, Europe, and internationally. The company operates in two segments, Products and Solutions, and ADI Global Distribution.

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