Resideo Technologies Inc. Common Stock (REZI)

FairStock Score: 51/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for understandable businesses and try to buy them at a discount to conservatively estimated value. Resideo sells home comfort, safety, and security products—understandable, but competitive and cyclical. The record is uneven. In fiscal year 2025, the company reported revenue of $7.5B and a net loss of $527.0M, or diluted EPS of -$3.77. That reversed fiscal year 2024 net income of $116.0M, or EPS of $0.61, and fiscal year 2023 net income of $210.0M, or EPS of $1.42. The Lynch-style category is a turnaround: a loss in the latest year after earlier profits. Recent quarters are better: in fiscal Q2 2026, the quarter ended 2026-07-04, revenue was $2.0B, net income $97.0M, and diluted EPS $0.51. Fiscal Q1 2026 also produced $38.0M of net income. Still, cash flow and the balance sheet demand caution. The supplied trailing free cash flow is -$1.4B; FairStock's FCF yield is -55.5%; debt-to-equity is 1.30, and the Altman Z-Score of 0.92 suggests financial stress. At the close on 2026-10-13, the price was $16.61, with FairStock P/E 6.49, P/B 1.00, EV/EBITDA 6.46, and a Graham Number of $33.75—a 50.79% margin of safety. Those are appealing only if earnings are durable. FairStock also shows ROCE of 4.60% and a Piotroski F-Score of 6/9, so profitability is modest and the quality signal is mixed. I would want evidence that cash generation turns positive and debt falls before treating this as a safe value.

In plain English: Resideo makes home comfort, safety, and security products. The business has had a weak stretch: it lost money in fiscal year 2025, but recent quarters show profits again and the stock is near the bottom of its 52-week range. The price looks cheap compared with reported earnings and book value, yet negative cash flow and high debt mean it is not a clean bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-07-04) · fiscal Q1 2026 10-Q (period ended 2026-04-04) · fiscal Q3 2025 10-Q (period ended 2025-09-27) · fiscal Q2 2025 10-Q (period ended 2025-06-28) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer