Resideo Technologies (NYSE:REZI) Issues Quarterly Earnings Results, Beats Expectations By $0.12 EPS

Resideo Technologies (NYSE:REZI) released its quarterly earnings results on Tuesday. The company reported $0.52 earnings per share for the quarter, topping the consensus estimate of $0.40 by $0.12, FiscalAI reports. The business had revenue of $727.00 million during the quarter, compared to analysts’ expectations of $712.64 million. Resideo Technologies had a return on equity of 15.62% and a net margin of 4.50%. The firm’s revenue for the quarter was down 61.0% compared to the same quarter last year. During the same period last year, the firm posted $0.89 EPS.

Here are the key takeaways from Resideo Technologies’ conference call:

• Core-channel growth was broad-based: Revenue excluding OEM security rose 6% year over year, with growth in retail, OEM combustion, electrical distribution, and HVAC. Management said both volume and pricing contributed despite a challenging housing market.
• Profitability improved in Q3: Gross margin was 40.4%, and standalone adjusted EBITDA increased 5% to $154 million. Price increases and operational efficiencies helped offset inflation, including a $13 million year-over-year input-cost headwind.
• Resideo raised its full-year 2026 outlook after Q3 results came in near the high end of expectations: revenue is now forecast at $2.927–$2.947 billion and adjusted EBITDA at $614–$624 million. The company also repaid $1.1 billion of gross debt following the ADI spinoff.
• Near-term growth faces several headwinds: For Q4, the company expects revenue of $710–$730 million, with core-channel growth of flat to low single digits and OEM security revenue down about $30 million year over year. Fewer selling days, foreign-exchange pressure, SKU rationalization, ongoing inflation, and an expected lack of tariff refunds weigh on the outlook.
• Management is emphasizing branded products, innovation, and efficiency as a standalone company, including new product launches, Pro-IQ services, SKU rationalization, and plans to exit three underused manufacturing facilities. Executives said these initiatives are intended to support growth and margin expansion, though Pro-IQ monetization is not yet material.

Resideo Technologies Stock Up 17.7%

REZI stock opened at $22.90 on Thursday. Resideo Technologies has a 52 week low of $15.90 and a 52 week high of $42.95. The business has a 50-day simple moving average of $18.48 and a 200 day simple moving average of $29.27. The company has a quick ratio of 1.41, a current ratio of 2.22 and a debt-to-equity ratio of 1.41. The company has a market cap of $3.48 billion, a PE ratio of 15.37 and a beta of 1.58.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the stock. Zacks Research raised shares of Resideo Technologies from a “strong sell” rating to a “hold” rating in a report on Tuesday, October 13th. Oppenheimer dropped their price target on shares of Resideo Technologies from $27.00 to $25.00 and set an “outperform” rating for the company in a research report on Wednesday. Evercore started coverage on shares of Resideo Technologies in a research report on Monday, September 28th. They issued an “outperform” rating and a $30.00 price target for the company. Citizens Jmp initiated coverage on Resideo Technologies in a research note on Monday, October 19th. They issued a “market outperform” rating and a $22.00 price target for the company. Finally, JPMorgan Chase & Co. initiated coverage on Resideo Technologies in a research report on Friday, August 7th. They set a “neutral” rating and a $30.00 price target on the stock. Five equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $30.40.

Top Resideo Technologies Stories

Investors following REZI have been watching these stories:

• Positive Sentiment: The company said it raised the lower end of its full-year 2026 growth guidance, a key catalyst cited for the stock’s rally following the results. Why Resideo shares rallied
• Positive Sentiment: Resideo repaid $1.1 billion of gross debt during the quarter, reducing gross debt to $2.1 billion. It also introduced Pro-IQ Predict, an AI-based tool designed to identify HVAC issues before breakdowns, though the product’s near-term financial impact is unclear. Pro-IQ Predict launch
• Negative Sentiment: Full-year adjusted EPS guidance of $1.92–$1.98 is below the cited $2.03 consensus. GAAP income from continuing operations fell 66% year over year, and the company noted weakness in OEM Security, tempering the strong adjusted earnings beat.

Insiders Place Their Bets

In other news, SVP Amit Mehta acquired 10,928 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The shares were acquired at an average cost of $20.68 per share, with a total value 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 position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, SVP Joshua Foster acquired 15,317 shares of the stock in a transaction on Friday, August 14th. The shares were purchased at an average price of $20.58 per share, with a total value 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 approximately $3,776,615.22. This represents a 9.11% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have bought 41,245 shares of company stock worth $848,115 over the last ninety days. Corporate insiders own 1.60% of the company’s stock.

About Resideo Technologies

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.