Financial Performance - In 2024, the company reported net revenue of $6,761 million, an increase of 8.3% from $6,242 million in 2023[240]. - Gross profit for 2024 was $1,901 million, representing a gross margin of approximately 28.1%[240]. - The company’s net income available to common stockholders for 2024 was $91 million, a decrease of 56.7% compared to $210 million in 2023[240]. - Net income for 2024 was $116 million, a decrease of 44.8% compared to $210 million in 2023[244]. - Segment income from operations for Products and Solutions increased to $503 million in 2024 from $446 million in 2023, representing a growth of 12.8%[335]. - ADI Global Distribution's net revenue rose significantly to $4,197 million in 2024, up 17.5% from $3,570 million in 2023[332]. - The total segment income from operations for both segments combined was $698 million in 2024, slightly up from $684 million in 2023[335]. Assets and Liabilities - As of December 31, 2024, total assets increased to $8,199 million from $6,645 million in 2023, reflecting a growth of 23.2%[238]. - The company’s long-term debt rose to $1,983 million in 2024, up from $1,396 million in 2023, indicating a significant increase of 42%[238]. - Total accrued liabilities increased to $717 million in 2024 from $620 million in 2023, with significant components including obligations under indemnification agreements and customer rebate reserves[415]. - The total debt as of December 31, 2024, was $2,015 million, compared to $1,419 million in 2023[409]. Cash Flow and Investments - Cash and cash equivalents at the end of 2024 were $692 million, compared to $636 million in 2023, showing a growth of 8.8%[238]. - Net cash provided by operating activities increased slightly to $444 million in 2024 from $440 million in 2023[244]. - Net cash used in investing activities significantly increased to $(1,409) million in 2024 from $(44) million in 2023, primarily due to acquisitions[244]. - Proceeds from the issuance of long-term debt in 2024 amounted to $1,176 million, compared to no proceeds in 2023[244]. - Total cash, cash equivalents, and restricted cash at the end of 2024 was $693 million, up from $637 million at the end of 2023[244]. Research and Development - Research and development expenses for 2024 were $111 million, slightly up from $109 million in 2023[240]. - Research and development expenses for ADI Global Distribution were $17 million in 2024, reflecting a new investment focus[332]. - The company conducts research and development activities focused on new product development and enhancements to existing products[288]. Acquisitions and Divestitures - The company acquired Snap One Holdings Corp. for an aggregate purchase price of $1.4 billion, enhancing its market presence in smart home and audio-visual sectors[306]. - Snap One contributed $553 million in revenue for the year ended December 31, 2024, with an immaterial impact on operating income[311]. - The company sold the Genesis Cable business for $86 million, recognizing a pre-tax gain of $18 million[313]. - The company completed the acquisition of BTX Technologies, Inc. and Sfty AS in 2023, with no material adjustments reported[317][316]. Stock and Compensation - Stock-based compensation expense for Resideo Technologies was $64 million in 2024, compared to $43 million in 2023 and $48 million in 2022[369]. - The total unrecognized compensation cost related to unvested awards under the Stock Incentive Plan is $86 million, with $68 million for RSUs and $18 million for PSUs[375]. - The Stock Incentive Plan was amended to increase the number of shares available for issuance by 3.5 million shares, totaling 27.8 million shares available as of December 31, 2024[368]. Debt and Interest Rates - An increase in interest rates by 100 basis points would have an approximate $2 million impact on the company's annual interest expense[232]. - The weighted average interest rate for the A&R Term B Facility was 6.13%, down from 7.72% in 2023[397]. - In May 2024, the interest rate margin for the A&R Term B Facility was reduced from 2.25% to 2.00%, and the SOFR floor was reduced from 0.50% to 0%[390]. - In July 2024, the company issued $600 million in Senior Notes due 2032, with a maturity date of July 15, 2032, to repay $596 million of outstanding indebtedness[391]. Pension and Benefits - The funded status of U.S. pension plans showed a deficit of $28 million as of December 31, 2024, compared to a deficit of $37 million in 2023[347]. - The net periodic benefit cost for U.S. plans in 2024 was $4 million, compared to $12 million in 2023, while for non-U.S. plans it was $6 million in 2024, up from $4 million in 2023[349]. - The projected benefit obligation for U.S. plans decreased to $209 million in 2024 from $234 million in 2023, and for non-U.S. plans it decreased to $97 million from $106 million[355]. Environmental Liabilities - Environmental expenses related to operating sites were not material for the years ended December 31, 2024, 2023, and 2022, with liabilities for environmental costs recorded at $22 million for both 2024 and 2023[417]. - The Reimbursement Agreement obligates the company to make cash payments equal to 90% of certain Honeywell environmental-liability payments, with a cap of $140 million per year[419].

Financial Performance - Resideo Technologies reported full year 2024 net revenue of $6.76 billion, an increase of 8% compared to $6.24 billion in 2023, exceeding the high-end of the outlook range [6][12] - Full year 2024 net income was $116 million, or $0.61 per fully diluted share, down from $210 million, or $1.42 per diluted share in 2023 [12][28] - Adjusted EBITDA for 2024 was $693 million, up 17% from $590 million in 2023, with an Adjusted EBITDA margin of 10.2% [6][38] Fourth Quarter Highlights - Fourth quarter 2024 net revenue was $1.86 billion, a 21% increase year-over-year from $1.54 billion in Q4 2023 [6][13] - Fourth quarter net income was $23 million, down from $82 million in the same quarter of 2023 [13][28] - Adjusted EPS for Q4 2024 was $0.59, compared to $0.64 in Q4 2023 [13][32] Segment Performance - Products and Solutions segment generated net revenue of $2,564 million in 2024, a decrease of 4% compared to 2023, but showed slight positive growth when excluding the Genesis divestiture and foreign currency impacts [5][7] - ADI Global Distribution segment delivered net revenue of $4,197 million, an increase of 18% compared to 2023, driven by the inclusion of $553 million from the Snap One acquisition [10][18] Margin and Profitability - Full year 2024 gross margin was 28.1%, up 90 basis points from the prior year [12] - Products and Solutions gross margin for Q4 2024 was 40.8%, marking the seventh consecutive quarter of year-over-year improvement [6][12] - Operating profit for 2024 was $520 million, down 5% from $547 million in 2023 [12][28] Cash Flow and Liquidity - Cash provided from operating activities for 2024 was a record $444 million, exceeding the previous year's $440 million [6][14] - As of December 31, 2024, Resideo had cash and cash equivalents of $692 million and total outstanding debt of $2.02 billion [14][29] Outlook - For Q1 2025, Resideo expects net revenue in the range of $1,720 million to $1,770 million and for the full year 2025, net revenue is projected to be between $7,285 million and $7,485 million [15][16]

Company Overview - Resideo Technologies, Inc. is a leading global manufacturer, developer, and distributor of technology-driven sensing and controls products and solutions for residential and commercial end-markets [4] - The company specializes in home heating, ventilation, and air conditioning controls, smoke and carbon monoxide detection, home safety, fire suppression products, and security markets [4] - Resideo's solutions and services are utilized in over 150 million residential and commercial spaces globally, with tens of millions of new devices sold annually [4] Upcoming Financial Results - Resideo will release its fourth quarter and full year 2024 financial results after the close of the New York Stock Exchange on February 20, 2025 [1] - A conference call and simultaneous webcast to discuss the results will take place on February 20, 2025, at 5:00 p.m. ET [1] Accessing the Conference Call - Interested parties can listen to the webcast by visiting the Investor Relations section of Resideo's website, where related materials will be posted before the call [2] - A replay of the webcast will be available following the presentation [2] - The conference call can also be accessed by dialing 888-660-6357 (U.S., toll-free) or 1-929-201-6127 (international) using the conference title "Resideo Fourth Quarter and Full Year 2024 Earnings" or the conference ID: 7301399 [3]

Core Viewpoint - Resideo Technologies (REZI) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3][11] Earnings Estimates and Revisions - The Zacks Consensus Estimate for Resideo Technologies projects earnings of $2.29 per share for the fiscal year ending December 2024, reflecting a year-over-year increase of 44.9% [8] - Over the past three months, analysts have raised their earnings estimates for Resideo Technologies by 2.6% [8] Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7] - The upgrade to Zacks Rank 1 places Resideo Technologies in the top 5% of Zacks-covered stocks, suggesting potential for higher stock prices in the near term [11][10] Market Influence - Changes in earnings estimates are strongly correlated with stock price movements, particularly due to the actions of institutional investors who adjust their valuations based on these estimates [4][6] - Rising earnings estimates and the corresponding rating upgrade indicate an improvement in Resideo Technologies' underlying business, which could lead to increased investor interest and stock price appreciation [5][6]

Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum when their valuations exceed future growth potential [1] - Investing in bargain stocks with recent price momentum may be a safer approach [2] Group 2: Resideo Technologies (REZI) Analysis - Resideo Technologies (REZI) has shown significant price momentum, with a four-week price change of 35% [3] - Over the past 12 weeks, REZI's stock gained 35%, indicating strong long-term momentum [4] - REZI has a beta of 2.09, suggesting it moves 109% higher than the market in either direction [4] - The stock has a Momentum Score of B, indicating a favorable entry point for investors [5] - REZI has a Zacks Rank 1 (Strong Buy) due to upward trends in earnings estimate revisions [6] - The stock is trading at a Price-to-Sales ratio of 0.62, indicating it is reasonably valued [6] Group 3: Additional Investment Opportunities - Besides REZI, there are other stocks that meet the criteria of fast-paced momentum at a bargain [7] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles [8]

Core Viewpoint - Resideo Technologies, Inc. (REZI) is showing potential for a bullish breakout due to a recent "golden cross" in its moving averages, indicating a key level of support has been reached [1] Technical Analysis - REZI's 50-day simple moving average has crossed above its 200-day simple moving average, a pattern known as a "golden cross," which is typically associated with bullish market sentiment [1] - A successful golden cross event consists of three stages: a price decline bottoming out, the shorter moving average crossing above the longer moving average, and the stock maintaining upward momentum [2] Performance Metrics - Over the past four weeks, REZI has experienced a gain of 26.5%, indicating strong performance [3] - The company currently holds a 1 (Strong Buy) rating on the Zacks Rank, suggesting it may be poised for further breakout [3] Earnings Outlook - The positive earnings outlook for the current quarter strengthens the bullish case for REZI, with no earnings estimates having declined in the past two months and one revision higher [3][4] - The Zacks Consensus Estimate has also seen an increase, further supporting the positive sentiment around the stock [4] Investment Consideration - Given the significant technical indicators and the positive movement in earnings estimates, investors are encouraged to consider adding REZI to their watchlist [4]

Core Viewpoint - The article emphasizes the importance of value investing and highlights Resideo Technologies (REZI) as a strong candidate for value investors due to its favorable valuation metrics [2][4][7] Valuation Metrics - Resideo Technologies has a Zacks Rank of 1 (Strong Buy) and an A for Value, indicating it is a high-quality value stock [4][3] - The current P/E ratio for REZI is 10.21, significantly lower than the industry average of 29.99, suggesting it is undervalued [4] - The P/S ratio for REZI stands at 0.6, compared to the industry average of 1.71, further indicating undervaluation [5] - REZI's P/CF ratio is 12.71, which is attractive relative to the industry's average of 20.31, reinforcing the notion of being undervalued [6] Earnings Outlook - The strength of REZI's earnings outlook, combined with its favorable valuation metrics, positions it as a compelling value stock at the moment [7]

Core Viewpoint - Resideo Technologies (REZI) has experienced significant stock performance, with a 26.5% increase over the past month and a 38.8% rise since the beginning of the year, outperforming both the Zacks Industrial Products sector and the Zacks Security and Safety Services industry [1][3]. Financial Performance - Resideo Technologies reported earnings per share (EPS) of $0.58 in its last earnings report, exceeding the consensus estimate of $0.57 [2]. - For the current fiscal year, the company is projected to achieve earnings of $2.29 per share on revenues of $6.74 billion, reflecting a 44.94% increase in EPS and an 8% increase in revenues [3]. - The next fiscal year forecasts earnings of $2.61 per share on revenues of $7.35 billion, indicating year-over-year changes of 13.76% in EPS and 9.03% in revenues [3]. Valuation Metrics - Resideo Technologies has a Value Score of A, while its Growth and Momentum Scores are D and C, respectively, resulting in a VGM Score of B [6]. - The stock trades at 11.4 times the current fiscal year EPS estimates, significantly lower than the peer industry average of 22 times [7]. - On a trailing cash flow basis, the stock trades at 11.5 times compared to the peer group's average of 15.5 times, suggesting it is not among the top value stocks [7]. Zacks Rank - Resideo Technologies holds a Zacks Rank of 1 (Strong Buy) due to rising earnings estimates, making it a favorable choice for investors [8]. - The recommendation is to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, which Resideo Technologies meets [8]. Industry Comparison - Alarm.com Holdings, Inc. (ALRM) is a notable peer with a Zacks Rank of 1 (Strong Buy) and a Value Score of C, a Growth Score of B, and a Momentum Score of B [9]. - Alarm.com reported a 26.53% earnings surprise last quarter and is expected to post earnings of $2.27 per share on revenues of $934.97 million for the current fiscal year [10]. - The Security and Safety Services industry is performing well, ranking in the top 29% of all industries, indicating positive conditions for both REZI and ALRM [11].

SCOTTSDALE, Ariz., Nov. 13, 2024 /PRNewswire/ -- Resideo Technologies, Inc. (NYSE: REZI), a leading global manufacturer and distributor of technology-driven products and solutions that provide home comfort and smart living, security, life safety and energy efficiency to consumers and businesses, today announced that it is scheduled to participate at the following investor conferences.NYSE Industrials Conference (Virtual) on Tuesday, November 19, 2024.Wells Fargo TMT Summit in Rancho Palos Verdes, CA on Tues ...

Resideo Technologies (REZI) came out with quarterly earnings of $0.58 per share, beating the Zacks Consensus Estimate of $0.57 per share. This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.75%. A quarter ago, it was expected that this residential comfort and security systems maker would post earnings of $0.50 per share when it actually produced earnings of $0.62, delivering a surprise of 24%.O ...