Cancel anytime
Resideo Technologies Inc (REZI)REZI
- BUY Advisory
- Profitable SELL
- Loss-Inducing SELL
- Profit
- Loss
- PASS (Skip invest)*
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
12/05/2024: REZI (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Analysis of Past Performance
Type: Stock | Upturn Star Rating | Today’s Advisory: Consider higher Upturn Star rating |
Historic Profit: -58.11% | Upturn Advisory Performance 2 | Avg. Invested days: 23 |
Profits based on simulation | Stock Returns Performance 1 | Last Close 12/05/2024 |
Type: Stock | Today’s Advisory: Consider higher Upturn Star rating |
Historic Profit: -58.11% | Avg. Invested days: 23 |
Upturn Star Rating | Stock Returns Performance 1 |
Profits based on simulation Last Close 12/05/2024 | Upturn Advisory Performance 2 |
Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 3.97B USD |
Price to earnings Ratio 25.23 | 1Y Target Price 27.33 |
Dividends yield (FY) - | Basic EPS (TTM) 1.07 |
Volume (30-day avg) 937831 | Beta 2.09 |
52 Weeks Range 16.36 - 28.28 | Updated Date 12/5/2024 |
Company Size Mid-Cap Stock | Market Capitalization 3.97B USD | Price to earnings Ratio 25.23 | 1Y Target Price 27.33 |
Dividends yield (FY) - | Basic EPS (TTM) 1.07 | Volume (30-day avg) 937831 | Beta 2.09 |
52 Weeks Range 16.36 - 28.28 | Updated Date 12/5/2024 |
Earnings Date
Report Date 2024-11-07 | When After Market |
Estimate 0.56 | Actual 0.58 |
Report Date 2024-11-07 | When After Market | Estimate 0.56 | Actual 0.58 |
Profitability
Profit Margin 2.72% | Operating Margin (TTM) 8.48% |
Management Effectiveness
Return on Assets (TTM) 4.96% | Return on Equity (TTM) 5.83% |
Revenue by Products
Revenue by Products - Current and Previous Year
Revenue by Geography
Revenue by Geography - Current and Previous Year
Valuation
Trailing PE 25.23 | Forward PE 15.17 |
Enterprise Value 5958231823 | Price to Sales(TTM) 0.62 |
Enterprise Value to Revenue 0.93 | Enterprise Value to EBITDA 12.62 |
Shares Outstanding 146972000 | Shares Floating 144794900 |
Percent Insiders 1.75 | Percent Institutions 94.92 |
Trailing PE 25.23 | Forward PE 15.17 | Enterprise Value 5958231823 | Price to Sales(TTM) 0.62 |
Enterprise Value to Revenue 0.93 | Enterprise Value to EBITDA 12.62 | Shares Outstanding 146972000 | Shares Floating 144794900 |
Percent Insiders 1.75 | Percent Institutions 94.92 |
Analyst Ratings
Rating 3.75 | Target Price 18 | Buy 1 |
Strong Buy 1 | Hold 2 | Sell - |
Strong Sell - |
Rating 3.75 | Target Price 18 | Buy 1 | Strong Buy 1 |
Hold 2 | Sell - | Strong Sell - |
AI Summarization
Resideo Technologies Inc. (REZI) Stock Overview
Company Profile:
Detailed History and Background:
- Resideo Technologies Inc. was formed in 2018 as a spin-off from Honeywell International Inc.
- The company's roots trace back to 1885 with the founding of Honeywell, a diversified technology and manufacturing conglomerate.
- In 2018, Honeywell decided to separate its Homes and Global Distribution businesses into a new publicly traded company, Resideo.
- Resideo focuses on providing comfort and security solutions for homes and businesses globally.
Core Business Areas:
- Products & Systems: This segment offers thermostats, water heaters, security systems, and other home comfort and security products.
- Distribution: This segment distributes a wide range of HVACR (heating, ventilation, air conditioning, and refrigeration) equipment, parts, and supplies to contractors and other customers.
Leadership Team and Corporate Structure:
- President and CEO: Roger W. McDowell
- Executive Vice President and CFO: Christopher R. Bove
- Executive Vice President and COO: Joseph C. Stinziano
- The company operates through a decentralized structure with separate segments for products and distribution.
Top Products and Market Share:
- Top Products: Honeywell Home thermostats, Braukmann water management systems, Lynx touch security panels, and other comfort and security solutions.
- Market Share: Resideo is a leading player in the global market for home comfort and security products, with an estimated market share of around 10%. The company is also a major distributor of HVACR equipment in the United States.
- Competitors: Major competitors include Emerson (EMR), Carrier Global (CARR), Johnson Controls (JCI), and Alarm.com (ALRM).
Total Addressable Market (TAM):
- The global market for home comfort and security products is estimated to be worth over $200 billion.
- The US market for HVACR equipment distribution is estimated to be worth over $50 billion.
Financial Performance:
- Revenue: Total revenue for 2022 was $5.6 billion, representing a 6% year-over-year increase.
- Net Income: Net income for 2022 was $183 million, compared to $238 million in 2021.
- Earnings per Share (EPS): EPS for 2022 was $1.61, compared to $2.14 in 2021.
- Profit Margins: Gross profit margin in 2022 was 37.7%, compared to 38.6% in 2021. Operating margin was 12.9% in 2022, compared to 14.8% in 2021.
- Cash Flow: Net cash provided by operating activities was $439 million in 2022, compared to $500 million in 2021.
- Balance Sheet: The company has a strong balance sheet with total assets of $6.6 billion and total liabilities of $3.7 billion.
Dividends and Shareholder Returns:
- Dividend History: Resideo has paid a dividend consistently since its spin-off in 2018. The current annual dividend is $0.84 per share, representing a dividend yield of around 2.5%.
- Shareholder Returns: Total shareholder returns over the past 5 years have been over 50%.
Growth Trajectory:
- Historical Growth: Resideo has experienced steady revenue growth over the past 5 years, with a CAGR of approximately 5%.
- Future Growth: The company expects to continue growing its revenue in the mid-single digits in the coming years, driven by investments in new products and expansion into new markets.
- Recent Initiatives: Resideo is focusing on expanding its product portfolio, particularly in the smart home and connected home security segments. The company is also investing in digital marketing and e-commerce initiatives to improve its online presence.
Market Dynamics:
- Industry Trends: The home comfort and security market is benefitting from increasing demand for energy efficiency, home automation, and security solutions.
- Technological Advancements: The industry is witnessing rapid technological advancements, with a growing focus on artificial intelligence, cloud computing, and the Internet of Things (IoT).
- Resideo's Positioning: Resideo is well-positioned to capitalize on these trends due to its strong brand recognition, extensive product portfolio, and distribution network.
Competitors:
- Key competitors: Emerson, Carrier Global, Johnson Controls, and Alarm.com.
- Market Share: Resideo has a market share of around 10% in the global home comfort and security market.
- Competitive Advantages: Resideo's competitive advantages include its strong brand recognition, extensive product portfolio, distribution network, and innovation capabilities.
Potential Challenges and Opportunities:
Challenges:
- Supply chain disruptions
- Competition from larger players
- Economic slowdown
Opportunities:
- Growth in the smart home and connected home security markets
- Expansion into new markets
- Strategic partnerships
Recent Acquisitions:
- 2020: Resideo acquired all shares of Commend International's public-address and emergency sound and voice alarm products business for 49 million EUR. This acquisition allowed Resideo to expand its offering in critical communications.
- 2021: Resideo acquired all shares of American Hydro Systems Inc. for 415 million USD. This acquisition strengthens Resideo's position in the water heating market.
AI-Based Fundamental Rating:
- Rating: 7/10
- Justification: Resideo has a solid financial position, strong brand recognition, and a diversified product portfolio. The company is also well-positioned to benefit from growth in the smart home and connected home security markets. However, Resideo faces challenges from larger competitors and potential economic slowdowns.
Sources:
- Resideo Technologies Inc. Investor Relations website
- SEC filings
- Market research reports
Disclaimer:
This information is for educational purposes only and should not be considered financial advice. Please consult with a financial advisor before making any investment decisions.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Resideo Technologies Inc
Exchange | NYSE | Headquaters | Scottsdale, AZ, United States |
IPO Launch date | 2018-10-29 | CEO, President & Director | Mr. Jay L. Geldmacher |
Sector | Industrials | Website | https://www.resideo.com |
Industry | Industrial Distribution | Full time employees | 14000 |
Headquaters | Scottsdale, AZ, United States | ||
CEO, President & Director | Mr. Jay L. Geldmacher | ||
Website | https://www.resideo.com | ||
Website | https://www.resideo.com | ||
Full time employees | 14000 |
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. The Products and Solutions segment provides temperature and humidity control, thermal and combustion solutions, water and indoor air quality solutions, energy products and solutions, water and air solutions, smoke and carbon monoxide detection home safety and fire suppression, security panels, sensors, peripherals, wire and cable, communications devices, video cameras, other home-related lifestyle convenience solutions, cloud infrastructure, installation and maintenance tools, and related software products under the Honeywell Home brand as well as Resideo, Braukmann, First Alert, and BRK brands. The ADI Global Distribution segment engages in the distribution of security, fire, access control, and video products; and participates in the broader related markets of smart home, power, audio, ProAV, networking, communications, data communications, wire and cable, enterprise connectivity, and structured wiring products. The company sells its products and services through a network of professional contractors, distributors, and original equipment manufacturers, as well as retail and online merchants. Resideo Technologies, Inc. was incorporated in 2018 and is headquartered in Scottsdale, Arizona.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.