Resideo Technologies Target of Unusually Large Options Trading (NYSE:REZI)

Key Points

• Resideo Technologies saw a significant increase in call options trading, with investors purchasing 2,631 call options, representing a 617% rise compared to typical volumes.
• The company's stock price increased by $0.97 to $42.36, with a market cap of $6.30 billion and a year-over-year revenue growth of 22.3% reported in their last earnings quarter.
• Brokerages have raised their target price on Resideo Technologies, with Oppenheimer increasing it from $35 to $48 and Morgan Stanley from $24 to $35, indicating a strong "outperform" rating for the stock.

Resideo Technologies, Inc. (NYSE:REZI - Get Free Report) was the target of some unusual options trading on Friday. Stock investors bought 2,631 call options on the stock. This represents an increase of 617% compared to the average volume of 367 call options.

Analyst Ratings Changes

REZI has been the topic of several recent analyst reports. Oppenheimer increased their target price on Resideo Technologies from $35.00 to $48.00 and gave the company an "outperform" rating in a research note on Friday. Morgan Stanley upgraded Resideo Technologies from an "equal weight" rating to an "overweight" rating and increased their target price for the company from $24.00 to $35.00 in a research note on Tuesday, August 12th. Finally, JPMorgan Chase & Co. raised their price target on Resideo Technologies from $20.00 to $21.00 and gave the stock a "neutral" rating in a research note on Tuesday, June 3rd. Two equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, Resideo Technologies currently has a consensus rating of "Moderate Buy" and a consensus target price of $34.67.

Resideo Technologies Price Performance

NYSE:REZI traded up $0.60 on Friday, reaching $41.99. 7,797,214 shares of the company's stock traded hands, compared to its average volume of 1,875,380. The company has a quick ratio of 0.63, a current ratio of 1.00 and a debt-to-equity ratio of 0.93. The stock has a 50-day simple moving average of $31.03 and a 200-day simple moving average of $23.32. The firm has a market cap of $6.25 billion, a PE ratio of -7.69 and a beta of 2.24. Resideo Technologies has a 12 month low of $14.18 and a 12 month high of $42.99.

Resideo Technologies (NYSE:REZI - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $0.66 EPS for the quarter, beating analysts' consensus estimates of $0.54 by $0.12. The business had revenue of $1.94 billion for the quarter, compared to analysts' expectations 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 period last 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. Equities research analysts forecast that Resideo Technologies will post 2.13 earnings per share for the current year.

Insider Buying and Selling at Resideo Technologies

In other Resideo Technologies news, Director Nina Richardson sold 3,333 shares of the stock in a transaction on Tuesday, August 26th. The stock was sold at an average price of $34.55, for a total transaction of $115,155.15. Following the sale, the director directly owned 60,675 shares in the company, valued at approximately $2,096,321.25. This trade represents a 5.21% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Andrew C. Teich bought 29,460 shares of the business's stock in a transaction on Friday, August 29th. The shares were acquired at an average price of $34.01 per share, for a total transaction of $1,001,934.60. Following the completion of the purchase, the director owned 332,472 shares in the company, valued at approximately $11,307,372.72. The trade was a 9.72% increase in their position. The disclosure for this purchase can be found here. In the last three months, insiders have acquired 7,545,693 shares of company stock worth $194,098,517 and have sold 136,021 shares worth $4,091,809. Company insiders own 1.50% of the company's stock.

Institutional Investors Weigh In On Resideo Technologies

Institutional investors and hedge funds have recently bought and sold shares of the business. Headlands Technologies LLC bought a new stake in Resideo Technologies during the second quarter valued at about $34,000. IFP Advisors Inc raised its holdings in Resideo Technologies by 20,133.3% during the first quarter. IFP Advisors Inc now owns 2,428 shares of the company's stock valued at $43,000 after acquiring an additional 2,416 shares during the period. Versant Capital Management Inc raised its holdings in Resideo Technologies by 52.1% during the first quarter. Versant Capital Management Inc now owns 3,174 shares of the company's stock valued at $56,000 after acquiring an additional 1,087 shares during the period. BI Asset Management Fondsmaeglerselskab A S bought a new stake in shares of Resideo Technologies in the first quarter worth about $65,000. Finally, GAMMA Investing LLC increased its holdings in shares of Resideo Technologies by 74.5% in the second quarter. GAMMA Investing LLC now owns 5,393 shares of the company's stock worth $119,000 after purchasing an additional 2,302 shares during the last quarter. 91.71% of the stock is owned by institutional investors.

About Resideo Technologies

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.