Oppenheimer Has Lowered Expectations for Resideo Technologies (NYSE:REZI) Stock Price

Resideo Technologies (NYSE:REZI) had its target price reduced by research analysts at Oppenheimer from $27.00 to $25.00 in a research report issued on Wednesday, Benzinga reports. The brokerage currently has an “outperform” rating on the stock. Oppenheimer‘s target price points to a potential upside of 11.42% from the stock’s previous close.

REZI has been the topic of several other research reports. Evercore assumed coverage on Resideo Technologies in a research note on Monday, September 28th. They issued an “outperform” rating and a $30.00 price objective on the stock. JPMorgan Chase & Co. began coverage on shares of Resideo Technologies in a research report on Friday, August 7th. They set a “neutral” rating and a $30.00 target price for the company. Weiss Ratings lowered shares of Resideo Technologies from a “hold (c)” rating to a “hold (c-)” rating in a research report on Monday. Citizens Jmp began coverage on shares of Resideo Technologies in a research note on Monday, October 19th. They issued a “market outperform” rating and a $22.00 target price for the company. Finally, Citigroup began coverage on shares of Resideo Technologies in a research report on Monday, October 19th. They issued a “market outperform” rating on the stock. Five analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $30.40.

Resideo Technologies Stock Performance

Shares of NYSE REZI traded up $2.99 during mid-day trading on Wednesday, reaching $22.44. 5,256,909 shares of the company’s stock were exchanged, compared to its average volume of 1,665,374. The firm has a market capitalization of $3.41 billion, a price-to-earnings ratio of 9.94 and a beta of 1.58. Resideo Technologies has a 52 week low of $15.90 and a 52 week high of $42.95. 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 firm has a 50-day moving average price of $18.41 and a two-hundred day moving average price of $29.34.

Resideo Technologies (NYSE:REZI) last posted its quarterly earnings results on Tuesday, November 10th. The company reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.12. The company had revenue of $727.00 million during the quarter, compared to analyst estimates of $712.64 million. Resideo Technologies had a net margin of 5.37% and a return on equity of 17.79%. The firm’s revenue for the quarter was down 61.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.89 earnings per share. Analysts predict that Resideo Technologies will post 2.16 EPS for the current year.

Insider Buying and Selling at Resideo Technologies

In other news, SVP Joshua Foster acquired 15,317 shares of the business’s stock in a transaction dated Friday, August 14th. The stock was bought at an average cost of $20.58 per share, for a total transaction of $315,223.86. Following the completion of the transaction, the senior vice president owned 183,509 shares of the company’s stock, valued at $3,776,615.22. The trade was a 9.11% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Thomas A. Surran acquired 15,000 shares of Resideo Technologies stock in a transaction that occurred on Friday, August 14th. The shares were purchased at an average cost of $20.46 per share, with a total value of $306,900.00. Following the purchase, the chief executive officer owned 338,573 shares of the company’s stock, valued at $6,927,203.58. This represents a 4.64% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased 41,245 shares of company stock valued at $848,115 in the last quarter. 1.60% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of REZI. BlackRock Inc. purchased a new position in shares of Resideo Technologies during the 2nd quarter valued at $673,214,000. Dimensional Fund Advisors LP raised its position in shares of Resideo Technologies by 0.8% in the first quarter. Dimensional Fund Advisors LP now owns 7,787,434 shares of the company’s stock worth $262,505,000 after buying an additional 64,613 shares in the last quarter. Pzena Investment Management LLC raised its position in shares of Resideo Technologies by 119.3% in the third quarter. Pzena Investment Management LLC now owns 3,699,890 shares of the company’s stock worth $67,153,000 after buying an additional 2,013,125 shares in the last quarter. Arrowstreet Capital Limited Partnership boosted its stake in Resideo Technologies by 3.6% during the first quarter. Arrowstreet Capital Limited Partnership now owns 2,069,509 shares of the company’s stock valued at $69,763,000 after buying an additional 71,092 shares during the period. Finally, Bank of America Corp DE bought a new stake in Resideo Technologies during the second quarter valued at $32,325,000. 91.71% of the stock is owned by institutional investors.

Key Headlines Impacting Resideo Technologies

These are some of the REZI headlines that stood out recently:

• Positive Sentiment: Third-quarter adjusted EPS was $0.52 versus the $0.40 consensus, while revenue of $727 million topped estimates of $712.6 million. Revenue rose 3% year over year, or 6% excluding OEM Security, and adjusted EBITDA increased 5%. Gross margin expanded for the 14th consecutive quarter. Resideo Q3 results and outlook
• Neutral Sentiment: Fourth-quarter adjusted EPS guidance of $0.42–$0.48 brackets the $0.44 consensus. Revenue guidance of $710–$730 million is slightly below the $729.3 million estimate at its midpoint, suggesting a relatively soft near-term sales outlook.
• Negative Sentiment: OEM Security weakness remains a headwind. Although core sales channels grew, GAAP income from continuing operations fell 66% year over year, and GAAP diluted EPS declined 71%, highlighting weaker reported profitability.

Resideo Technologies Company Profile

Resideo Technologies is a provider of products and services for home comfort, safety, security and energy management. Its offerings include thermostats and other heating and cooling controls, indoor air quality products, water leak detection devices, fire and carbon monoxide alarms, and security systems. Products are sold under brands that include Honeywell Home and First Alert. The company also operates ADI Global Distribution, a distributor of security, audio-visual, communications and smart-home products.