Resideo Technologies (NYSE:REZI) Reaches New 12-Month High - Still a Buy?

Key Points

• Resideo Technologies has reached a new 52-week high, trading at $31.43, with an increase from a previous close of $27.47, indicating strong market interest.
• Analysts have recently upgraded their ratings on Resideo, with Morgan Stanley raising its price target from $24.00 to $35.00 and changing its rating to "overweight."
• The company reported strong quarterly earnings, with EPS of $0.66, surpassing estimates, and a revenue increase of 22.3% year-over-year, totaling $1.94 billion.

Resideo Technologies, Inc. (NYSE:REZI - Get Free Report) hit a new 52-week high on Tuesday . The stock traded as high as $30.88 and last traded at $31.43, with a volume of 566279 shares trading hands. The stock had previously closed at $27.47.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on REZI shares. JPMorgan Chase & Co. raised their price target on shares of Resideo Technologies from $20.00 to $21.00 and gave the company a "neutral" rating in a research report on Tuesday, June 3rd. Oppenheimer upgraded shares of Resideo Technologies from a "market perform" rating to an "outperform" rating in a research note on Wednesday, July 30th. Finally, Morgan Stanley upgraded shares of Resideo Technologies from an "equal weight" rating to an "overweight" rating and increased their price objective for the company from $24.00 to $35.00 in a research note on Tuesday.

Resideo Technologies Stock Performance

The company has a debt-to-equity ratio of 0.93, a quick ratio of 0.63 and a current ratio of 1.00. The stock has a market cap of $4.65 billion, a PE ratio of -5.74 and a beta of 2.16. The company's 50 day simple moving average is $23.49 and its 200 day simple moving average is $20.48.

Resideo Technologies (NYSE:REZI - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported $0.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.54 by $0.12. Resideo Technologies had a negative net margin of 10.52% and a positive return on equity of 12.55%. The company had revenue of $1.94 billion during the quarter, compared to analyst estimates of $1.83 billion. During the same quarter last year, the business posted $0.62 EPS. Resideo Technologies's quarterly revenue was up 22.3% compared to the same quarter last year. Analysts expect that Resideo Technologies, Inc. will post 2.13 earnings per share for the current year.

Insider Transactions at Resideo Technologies

In related news, major shareholder Channel Holdings Ii L.P. Cd&R purchased 4,477,919 shares of the firm's stock in a transaction dated Friday, July 25th. The stock was bought at an average price of $22.33 per share, for a total transaction of $99,991,931.27. Following the purchase, the insider directly owned 10,232,420 shares in the company, valued at approximately $228,489,938.60. This trade represents a 77.82% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Nina Richardson sold 2,790 shares of Resideo Technologies stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $23.68, for a total transaction of $66,067.20. Following the completion of the transaction, the director owned 64,008 shares of the company's stock, valued at $1,515,709.44. This represents a 4.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.50% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Amalgamated Bank grew its stake in Resideo Technologies by 1.0% in the 2nd quarter. Amalgamated Bank now owns 42,164 shares of the company's stock valued at $930,000 after buying an additional 415 shares in the last quarter. QRG Capital Management Inc. grew its stake in Resideo Technologies by 4.3% in the 2nd quarter. QRG Capital Management Inc. now owns 10,565 shares of the company's stock valued at $233,000 after buying an additional 437 shares in the last quarter. Hsbc Holdings PLC grew its stake in Resideo Technologies by 2.5% in the 1st quarter. Hsbc Holdings PLC now owns 23,372 shares of the company's stock valued at $412,000 after buying an additional 578 shares in the last quarter. Robeco Institutional Asset Management B.V. grew its stake in Resideo Technologies by 0.4% in the 2nd quarter. Robeco Institutional Asset Management B.V. now owns 162,259 shares of the company's stock valued at $3,579,000 after buying an additional 625 shares in the last quarter. Finally, Summit Investment Advisors Inc. grew its stake in Resideo Technologies by 4.5% in the 4th quarter. Summit Investment Advisors Inc. now owns 15,280 shares of the company's stock valued at $352,000 after buying an additional 663 shares in the last quarter. 91.71% of the stock is currently owned by hedge funds and other institutional investors.

Resideo Technologies Company 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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