Resideo Technologies (NYSE:REZI) Shares Gap Up Following Analyst Upgrade

Resideo Technologies, Inc. (NYSE:REZI) gapped up before the market opened on Wednesday after Morgan Stanley raised their price target on the stock from $42.00 to $50.00. The stock had previously closed at $35.72, but opened at $40.37. Morgan Stanley currently has an overweight rating on the stock. Resideo Technologies shares last traded at $40.2150, with a volume of 624,729 shares.

REZI has been the subject of several other reports. Zacks Research downgraded shares of Resideo Technologies from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, November 11th. Wall Street Zen lowered Resideo Technologies from a “buy” rating to a “hold” rating in a research report on Saturday, November 8th. Finally, Weiss Ratings reiterated a “sell (d+)” rating on shares of Resideo Technologies in a report on Thursday, January 22nd. Two research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $39.67.

Resideo Technologies News Summary

Here are the key news stories impacting Resideo Technologies this week:

• Positive Sentiment: Q4 beat and strong full-year results — Resideo reported Q4 revenue and EPS slightly above estimates and disclosed record full‑year 2025 net revenue and best‑ever Adjusted EBITDA, signaling improving underlying profitability. PR Newswire
• Positive Sentiment: Upgraded analyst view — Morgan Stanley raised its price target to $50 and moved to an “overweight” rating, giving the stock meaningful upside from current levels and reinforcing buy-side confidence. Benzinga
• Positive Sentiment: Stronger guidance — Resideo raised guidance for FY2026 (EPS range increased to ~3.00–3.20 vs. street ~2.73) and provided higher Q1 EPS guidance (~0.58–0.62), plus a revenue outlook above consensus, which supports upside to estimates. PR Newswire
• Positive Sentiment: Falling short interest — Short interest fell about 17% in February to roughly 2.6% of float with a short‑interest ratio near 2.8 days, reducing immediate short-pressure and lowering the risk of further downside from crowded shorts.
• Neutral Sentiment: Earnings materials and coverage — The company released its slide deck, earnings call transcript, and multiple analyst summaries (Seeking Alpha, Yahoo Finance, Zacks) that provide more detail for investors to model out margins and cash flow. Earnings Presentation Yahoo Finance Zacks
• Negative Sentiment: One-time net loss — Despite strong adjusted results, Resideo reported a full‑year GAAP net loss driven by a large charge tied to terminating an indemnification agreement; this creates headline risk and could complicate near-term EPS comparability. PR Newswire

Hedge Funds Weigh In On Resideo Technologies

Hedge funds have recently added to or reduced their stakes in the stock. Corient Private Wealth LLC increased its holdings in Resideo Technologies by 85.8% during the 4th quarter. Corient Private Wealth LLC now owns 32,802 shares of the company’s stock worth $1,144,000 after purchasing an additional 15,149 shares in the last quarter. Mercer Global Advisors Inc. ADV raised its position in Resideo Technologies by 35.4% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 7,559 shares of the company’s stock valued at $265,000 after buying an additional 1,975 shares during the last quarter. Vident Advisory LLC raised its position in Resideo Technologies by 17.3% in the 4th quarter. Vident Advisory LLC now owns 7,228 shares of the company’s stock valued at $254,000 after buying an additional 1,068 shares during the last quarter. EP Wealth Advisors LLC bought a new position in Resideo Technologies during the 4th quarter valued at $526,000. Finally, Empowered Funds LLC purchased a new position in Resideo Technologies during the 4th quarter worth $152,000. Institutional investors and hedge funds own 91.71% of the company’s stock.

Resideo Technologies Stock Performance

The company’s 50 day moving average price is $36.01 and its 200-day moving average price is $36.50. The stock has a market cap of $6.10 billion, a P/E ratio of -10.12 and a beta of 1.73. The company has a debt-to-equity ratio of 1.38, a quick ratio of 1.07 and a current ratio of 1.88.

About Resideo Technologies

Resideo Technologies, Inc, headquartered in Austin, Texas, is a global provider of home comfort, security and energy management solutions. Formed as an independent company in 2018 following its spin-off from Honeywell, Resideo leverages decades of engineering experience to deliver connected products and services to residential and light commercial customers.

The company’s core offerings include smart thermostats, security systems, video doorbells, water leak and freeze detection devices, and indoor air quality monitors.