RESIDEO TECHNOLOGIES INC (REZI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:REZI - US76118Y1047 - Common Stock
35.85 USD
-2.03 (-5.36%)
35.82 USD
-0.03 (-0.08%)
We assign a fundamental rating of 4 out of 10 to REZI. REZI was compared to 42 industry peers in the Building Products industry. REZI has a medium profitability rating, but doesn't score so well on its financial health evaluation. REZI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year REZI was profitable.
- REZI had a negative operating cash flow in the past year.
- Each year in the past 5 years REZI has been profitable.
- In the past 5 years REZI always reported a positive cash flow from operatings.
1.2 Ratios
- REZI's Return On Assets of -8.46% is on the low side compared to the rest of the industry. REZI is outperformed by 78.57% of its industry peers.
- Looking at the Return On Equity, with a value of -25.01%, REZI is doing worse than 78.57% of the companies in the same industry.
- With a Return On Invested Capital value of 5.69%, REZI is not doing good in the industry: 69.05% of the companies in the same industry are doing better.
- REZI had an Average Return On Invested Capital over the past 3 years of 6.84%. This is significantly below the industry average of 12.68%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.46% | ||
| ROE | -25.01% | ||
| ROIC | 5.69% |
ROA(3y)2.9%
ROA(5y)2.7%
ROE(3y)7.19%
ROE(5y)6.84%
ROIC(3y)6.84%
ROIC(5y)6.67%
1.3 Margins
- In the last couple of years the Profit Margin of REZI has grown nicely.
- REZI's Operating Margin of 8.39% is on the low side compared to the rest of the industry. REZI is outperformed by 61.90% of its industry peers.
- In the last couple of years the Operating Margin of REZI has grown nicely.
- REZI's Gross Margin of 29.13% is in line compared to the rest of the industry. REZI outperforms 45.24% of its industry peers.
- In the last couple of years the Gross Margin of REZI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.39% | ||
| PM (TTM) | N/A | ||
| GM | 29.13% |
OM growth 3Y-2.13%
OM growth 5Y8.67%
PM growth 3Y-31.24%
PM growth 5Y13.27%
GM growth 3Y1.74%
GM growth 5Y1.69%
2. Health
2.1 Basic Checks
- REZI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, REZI has more shares outstanding
- The number of shares outstanding for REZI has been increased compared to 5 years ago.
- REZI has a worse debt/assets ratio than last year.
2.2 Solvency
- REZI has an Altman-Z score of 2.00. This is not the best score and indicates that REZI is in the grey zone with still only limited risk for bankruptcy at the moment.
- REZI's Altman-Z score of 2.00 is on the low side compared to the rest of the industry. REZI is outperformed by 83.33% of its industry peers.
- A Debt/Equity ratio of 1.14 is on the high side and indicates that REZI has dependencies on debt financing.
- REZI has a worse Debt to Equity ratio (1.14) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2 |
ROIC/WACC0.69
WACC8.3%
2.3 Liquidity
- REZI has a Current Ratio of 1.88. This is a normal value and indicates that REZI is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.88, REZI is in line with its industry, outperforming 47.62% of the companies in the same industry.
- REZI has a Quick Ratio of 1.07. This is a normal value and indicates that REZI is financially healthy and should not expect problems in meeting its short term obligations.
- REZI has a Quick ratio of 1.07. This is in the lower half of the industry: REZI underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 28.84% over the past year.
- REZI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.35% yearly.
- REZI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.45%.
- The Revenue has been growing slightly by 6.27% on average over the past years.
EPS 1Y (TTM)28.84%
EPS 3Y11.51%
EPS 5Y16.35%
EPS Q2Q%53.45%
Revenue 1Y (TTM)15.45%
Revenue growth 3Y4.97%
Revenue growth 5Y6.27%
Sales Q2Q%1.97%
3.2 Future
- REZI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.89% yearly.
- The Revenue is expected to grow by 5.60% on average over the next years.
EPS Next Y16.29%
EPS Next 2Y12.28%
EPS Next 3Y9.89%
EPS Next 5YN/A
Revenue Next Year10.21%
Revenue Next 2Y6.87%
Revenue Next 3Y5.6%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- REZI is valuated correctly with a Price/Earnings ratio of 12.94.
- Based on the Price/Earnings ratio, REZI is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
- REZI is valuated cheaply when we compare the Price/Earnings ratio to 26.94, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 12.58, which indicates a correct valuation of REZI.
- 80.95% of the companies in the same industry are more expensive than REZI, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 23.94. REZI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.94 | ||
| Fwd PE | 12.58 |
4.2 Price Multiples
- 69.05% of the companies in the same industry are more expensive than REZI, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.05 |
4.3 Compensation for Growth
- REZI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.79
PEG (5Y)0.79
EPS Next 2Y12.28%
EPS Next 3Y9.89%
5. Dividend
5.1 Amount
- No dividends for REZI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
35.85
-2.03 (-5.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)11-05 2025-11-05/amc
Earnings (Next)02-18 2026-02-18/amc
Inst Owners90.08%
Inst Owner Change0.14%
Ins Owners1.13%
Ins Owner Change49.09%
Market Cap5.37B
Revenue(TTM)7.43B
Net Income(TTM)-693.00M
Analysts85
Price Target45.9 (28.03%)
Short Float %3.64%
Short Ratio2.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0.08
Dividend Growth(5Y)N/A
DP-5.48%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.36%
Min EPS beat(2)19.83%
Max EPS beat(2)22.89%
EPS beat(4)4
Avg EPS beat(4)36.53%
Min EPS beat(4)0.89%
Max EPS beat(4)102.51%
EPS beat(8)8
Avg EPS beat(8)26.92%
EPS beat(12)11
Avg EPS beat(12)22.52%
EPS beat(16)14
Avg EPS beat(16)18.85%
Revenue beat(2)1
Avg Revenue beat(2)0.93%
Min Revenue beat(2)-2.66%
Max Revenue beat(2)4.52%
Revenue beat(4)1
Avg Revenue beat(4)0.25%
Min Revenue beat(4)-2.66%
Max Revenue beat(4)4.52%
Revenue beat(8)2
Avg Revenue beat(8)-0.23%
Revenue beat(12)2
Avg Revenue beat(12)-0.76%
Revenue beat(16)3
Avg Revenue beat(16)-1.05%
PT rev (1m)2.27%
PT rev (3m)8.43%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-31.59%
EPS NY rev (1m)-2.77%
EPS NY rev (3m)-7.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.55%
Revenue NY rev (1m)-0.29%
Revenue NY rev (3m)-1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.94 | ||
| Fwd PE | 12.58 | ||
| P/S | 0.72 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.94 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.05 |
EPS(TTM)2.77
EY7.73%
EPS(NY)2.85
Fwd EY7.95%
FCF(TTM)-8.91
FCFYN/A
OCF(TTM)-8.24
OCFYN/A
SpS49.66
BVpS18.51
TBVpS-9.78
PEG (NY)0.79
PEG (5Y)0.79
Graham Number33.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.46% | ||
| ROE | -25.01% | ||
| ROCE | 9.52% | ||
| ROIC | 5.69% | ||
| ROICexc | 6.01% | ||
| ROICexgc | 18.88% | ||
| OM | 8.39% | ||
| PM (TTM) | N/A | ||
| GM | 29.13% | ||
| FCFM | N/A |
ROA(3y)2.9%
ROA(5y)2.7%
ROE(3y)7.19%
ROE(5y)6.84%
ROIC(3y)6.84%
ROIC(5y)6.67%
ROICexc(3y)7.58%
ROICexc(5y)7.6%
ROICexgc(3y)26.91%
ROICexgc(5y)28.28%
ROCE(3y)11.43%
ROCE(5y)11.15%
ROICexgc growth 3Y-12.14%
ROICexgc growth 5Y0.77%
ROICexc growth 3Y-12.11%
ROICexc growth 5Y4.76%
OM growth 3Y-2.13%
OM growth 5Y8.67%
PM growth 3Y-31.24%
PM growth 5Y13.27%
GM growth 3Y1.74%
GM growth 5Y1.69%
F-Score3
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.89 | ||
| Cap/Depr | 52.88% | ||
| Cap/Sales | 1.36% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z | 2 |
F-Score3
WACC8.3%
ROIC/WACC0.69
Cap/Depr(3y)84.37%
Cap/Depr(5y)81.22%
Cap/Sales(3y)1.4%
Cap/Sales(5y)1.33%
Profit Quality(3y)194.4%
Profit Quality(5y)231.52%
High Growth Momentum
Growth
EPS 1Y (TTM)28.84%
EPS 3Y11.51%
EPS 5Y16.35%
EPS Q2Q%53.45%
EPS Next Y16.29%
EPS Next 2Y12.28%
EPS Next 3Y9.89%
EPS Next 5YN/A
Revenue 1Y (TTM)15.45%
Revenue growth 3Y4.97%
Revenue growth 5Y6.27%
Sales Q2Q%1.97%
Revenue Next Year10.21%
Revenue Next 2Y6.87%
Revenue Next 3Y5.6%
Revenue Next 5YN/A
EBIT growth 1Y3.14%
EBIT growth 3Y2.73%
EBIT growth 5Y15.49%
EBIT Next Year48.84%
EBIT Next 3Y19.97%
EBIT Next 5YN/A
FCF growth 1Y-798.43%
FCF growth 3Y13.04%
FCF growth 5YN/A
OCF growth 1Y-490.19%
OCF growth 3Y12.12%
OCF growth 5Y80.77%
RESIDEO TECHNOLOGIES INC / REZI FAQ
Can you provide the ChartMill fundamental rating for RESIDEO TECHNOLOGIES INC?
ChartMill assigns a fundamental rating of 4 / 10 to REZI.
What is the valuation status for REZI stock?
ChartMill assigns a valuation rating of 5 / 10 to RESIDEO TECHNOLOGIES INC (REZI). This can be considered as Fairly Valued.
Can you provide the profitability details for RESIDEO TECHNOLOGIES INC?
RESIDEO TECHNOLOGIES INC (REZI) has a profitability rating of 4 / 10.
What are the PE and PB ratios of RESIDEO TECHNOLOGIES INC (REZI) stock?
The Price/Earnings (PE) ratio for RESIDEO TECHNOLOGIES INC (REZI) is 12.94 and the Price/Book (PB) ratio is 1.94.
What is the earnings growth outlook for RESIDEO TECHNOLOGIES INC?
The Earnings per Share (EPS) of RESIDEO TECHNOLOGIES INC (REZI) is expected to grow by 16.29% in the next year.