Resideo Technologies (NYSE:REZI) Stock Jumps 11.4% After Better-Than-Expected Earnings

Resideo Technologies, Inc. (NYSE:REZI)’s share price rose 11.4% during mid-day trading on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $21.62 and last traded at $21.6760. 1,253,359 shares traded hands during trading, a decline of 24% from the average session volume of 1,646,366 shares. The stock had previously closed at $19.45.

The company reported $0.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.40 by $0.12. The firm had revenue of $727.00 million for the quarter, compared to the consensus estimate of $712.64 million. Resideo Technologies had a return on equity of 17.79% and a net margin of 5.37%. The business’s revenue for the quarter was down 61.0% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.89 EPS.

Key Headlines Impacting Resideo Technologies

Investors following REZI have been watching these headlines:

• Positive Sentiment: The launch of Pro-IQ Predict, an AI-enabled HVAC tool intended to identify problems before system failures, offers potential product momentum, though its financial contribution is not yet clear. Pro-IQ Predict launch
• Negative Sentiment: Management’s cautious outlook weighed on the earnings reaction. Resideo forecasts 2026 revenue of $2.927 billion to $2.947 billion, and coverage highlights continued OEM Security weakness as a drag on growth. Resideo posts better-than-expected sales but weak guidance Q3 2026 deep dive
• Negative Sentiment: Despite adjusted EPS growth, GAAP diluted EPS fell 71% year over year to $0.14, and net income from continuing operations declined 66% to $31 million, underscoring the gap between adjusted and reported results. Resideo Q3 results and outlook

Analysts Set New Price Targets

Several research analysts have recently weighed in on the stock. Zacks Research raised shares of Resideo Technologies from a “strong sell” rating to a “hold” rating in a research report on Tuesday, October 13th. Citigroup initiated coverage on shares of Resideo Technologies in a research report on Monday, October 19th. They issued a “market outperform” rating for the company. Weiss Ratings downgraded shares of Resideo Technologies from a “hold (c)” rating to a “hold (c-)” rating in a research report on Monday. Oppenheimer reaffirmed an “outperform” rating on shares of Resideo Technologies in a research note on Thursday, August 13th. Finally, Citizens Jmp started coverage on shares of Resideo Technologies in a research report on Monday, October 19th. They set a “market outperform” rating and a $22.00 price objective on the stock. Five analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $31.75.

Insider Activity at Resideo Technologies

In other Resideo Technologies news, SVP Amit Mehta bought 10,928 shares of Resideo Technologies stock in a transaction on Monday, August 17th. The stock was purchased at an average cost of $20.68 per share, for a total transaction of $225,991.04. Following the completion of the purchase, the senior vice president directly owned 57,362 shares of the company’s stock, valued at $1,186,246.16. The trade was a 23.53% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Thomas Surran purchased 15,000 shares of the company’s stock in a transaction dated Friday, August 14th. The shares were acquired at an average price of $20.46 per share, for a total transaction of $306,900.00. Following the purchase, the chief executive officer owned 338,573 shares in the company, valued at $6,927,203.58. The trade was a 4.64% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Over the last quarter, insiders have acquired 41,245 shares of company stock valued at $848,115. 1.60% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Resideo Technologies

Hedge funds have recently bought and sold shares of the business. BlackRock Inc. bought a new stake in shares of Resideo Technologies during the 2nd quarter worth about $673,214,000. Dimensional Fund Advisors LP raised its stake in shares of Resideo Technologies by 0.8% in the 1st quarter. Dimensional Fund Advisors LP now owns 7,787,434 shares of the company’s stock valued at $262,505,000 after acquiring an additional 64,613 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its stake in shares of Resideo Technologies by 3.6% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,069,509 shares of the company’s stock valued at $69,763,000 after acquiring an additional 71,092 shares in the last quarter. Pzena Investment Management LLC raised its stake in shares of Resideo Technologies by 119.3% in the 3rd quarter. Pzena Investment Management LLC now owns 3,699,890 shares of the company’s stock valued at $67,153,000 after acquiring an additional 2,013,125 shares in the last quarter. Finally, Bank of America Corp DE acquired a new stake in Resideo Technologies in the 2nd quarter worth approximately $32,325,000. 91.71% of the stock is owned by institutional investors and hedge funds.

Resideo Technologies Trading Up 11.7%

The company has a fifty day moving average of $18.41 and a two-hundred day moving average of $29.34. The company has a current ratio of 2.22, a quick ratio of 1.41 and a debt-to-equity ratio of 1.41. The stock has a market capitalization of $3.30 billion, a price-to-earnings ratio of 9.62 and a beta of 1.58.

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.