Resideo Technologies (NYSE:REZI) Reaches New 1-Year Low - Time to Sell?

Key Points

• Resideo Technologies shares fell to a new 52-week low of $18.14, well below their 50-day and 200-day moving averages, amid a 1.6% decline.
• Analyst sentiment is mixed: the stock has an average “Hold” rating and a $37.50 price target, with targets ranging from $30 to $55, while Zacks Research downgraded it to “strong sell.”
• Despite the share-price weakness, Resideo exceeded quarterly expectations with $0.83 EPS versus $0.47 forecast and $1.98 billion in revenue; insiders also bought more than $848,000 of stock during the quarter.

Shares of Resideo Technologies, Inc. (NYSE:REZI - Get Free Report) hit a new 52-week low during mid-day trading on Thursday . The company traded as low as $18.14 and last traded at $18.3250, with a volume of 392930 shares. The stock had previously closed at $18.68.

Analysts Set New Price Targets

REZI has been the subject of a number of recent analyst reports. Seaport Research Partners initiated coverage on Resideo Technologies in a research report on Wednesday, July 1st. They issued a "buy" rating and a $55.00 price objective for the company. Oppenheimer reaffirmed an "outperform" rating on shares of Resideo Technologies in a research report on Thursday, August 13th. JPMorgan Chase & Co. initiated coverage on Resideo Technologies in a research note on Friday, August 7th. They issued a "neutral" rating and a $30.00 price target for the company. Morgan Stanley lowered their price target on Resideo Technologies from $50.00 to $45.00 and set an "overweight" rating for the company in a report on Monday, July 13th. Finally, Zacks Research lowered Resideo Technologies from a "hold" rating to a "strong sell" rating in a research note on Wednesday, September 9th. Two investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $37.50.

Resideo Technologies Stock Down 1.6%

The company has a debt-to-equity ratio of 1.41, a current ratio of 2.22 and a quick ratio of 1.41. The business's fifty day moving average price is $24.49 and its two-hundred day moving average price is $30.62. The stock has a market capitalization of $2.79 billion, a PE ratio of 8.12 and a beta of 1.60.

Resideo Technologies (NYSE:REZI - Get Free Report) last issued its earnings results on Wednesday, August 12th. The company reported $0.83 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.47 by $0.36. The company had revenue of $1.98 billion during the quarter, compared to analyst estimates of $1.94 billion. Resideo Technologies had a return on equity of 17.79% and a net margin of 5.37%.The firm's quarterly revenue was up 2.0% on a year-over-year basis. During the same quarter last year, the business posted $0.66 EPS. On average, equities research analysts forecast that Resideo Technologies, Inc. will post 2.5 EPS for the current fiscal year.

Insider Buying and Selling

In other Resideo Technologies news, SVP Amit Mehta acquired 10,928 shares of the firm's stock in a transaction on Monday, August 17th. The stock was acquired at an average cost of $20.68 per share, for a total transaction of $225,991.04. Following the purchase, the senior vice president owned 57,362 shares in the company, valued at approximately $1,186,246.16. The trade was a 23.53% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, SVP Joshua Foster acquired 15,317 shares of the company's stock in a transaction dated Friday, August 14th. The stock was acquired at an average cost of $20.58 per share, for a total transaction of $315,223.86. Following the completion of the acquisition, the senior vice president directly owned 183,509 shares in the company, valued at approximately $3,776,615.22. The trade was a 9.11% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders bought 41,245 shares of company stock valued at $848,115 over the last quarter. 1.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in REZI. Allworth Financial LP purchased a new stake in Resideo Technologies in the second quarter valued at $28,000. State of Wyoming acquired a new position in shares of Resideo Technologies in the 2nd quarter valued at about $91,000. Nykredit A S purchased a new stake in shares of Resideo Technologies in the second quarter worth about $132,000. Integrated Wealth Concepts LLC purchased a new stake in shares of Resideo Technologies in the second quarter worth about $132,000. Finally, Rockefeller Capital Management L.P. grew its holdings in Resideo Technologies by 209.4% during the fourth quarter. Rockefeller Capital Management L.P. now owns 3,889 shares of the company's stock worth $137,000 after acquiring an additional 2,632 shares during the period. Hedge funds and other institutional investors own 91.71% of the company's stock.

About Resideo Technologies

Resideo Technologies, Inc is a technology and manufacturing company that provides products and solutions for residential and commercial buildings. Its offerings are designed to improve security, comfort, energy efficiency, water management and connectivity in homes and other properties.

Through its Products and Solutions segment, Resideo supplies thermostats, heating and cooling controls, indoor air-quality products, water-management systems, security and fire products, video solutions, sensors and connected-home technologies.

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