RESIDEO TECHNOLOGIES INC (REZI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:REZI - US76118Y1047 - Common Stock
35.74 USD
-0.25 (-0.69%)
35.74 USD
0 (0%)
Overall REZI gets a fundamental rating of 4 out of 10. We evaluated REZI against 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.
In the past 5 years REZI has always been profitable.
In the past 5 years REZI always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -8.46%, REZI is not doing good in the industry: 76.19% of the companies in the same industry are doing better.
REZI has a Return On Equity of -25.01%. This is in the lower half of the industry: REZI underperforms 76.19% of its industry peers.
REZI has a worse Return On Invested Capital (5.69%) than 69.05% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for REZI is significantly below the industry average of 12.61%.
| 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
REZI's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 8.39%, REZI is doing worse than 61.90% of the companies in the same industry.
In the last couple of years the Operating Margin of REZI has grown nicely.
REZI has a Gross Margin (29.13%) which is in line with 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.
The number of shares outstanding for REZI has been increased compared to 1 year ago.
REZI has more shares outstanding than it did 5 years ago.
REZI has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.00 indicates that REZI is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.00, REZI is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
A Debt/Equity ratio of 1.14 is on the high side and indicates that REZI has dependencies on debt financing.
REZI's Debt to Equity ratio of 1.14 is on the low side compared to the rest of the industry. REZI is outperformed by 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2 |
ROIC/WACC0.69
WACC8.23%
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 52.38% of the companies in the same industry.
A Quick Ratio of 1.07 indicates that REZI should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.07, REZI is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
REZI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 28.84%, which is quite impressive.
The Earnings Per Share has been growing by 16.35% on average over the past years. This is quite good.
Looking at the last year, REZI shows a quite strong growth in Revenue. The Revenue has grown by 15.45% in the last year.
REZI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.27% yearly.
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.90, which indicates a correct valuation of REZI.
REZI's Price/Earnings ratio is a bit cheaper when compared to the industry. REZI is cheaper than 76.19% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.84, REZI is valued rather cheaply.
A Price/Forward Earnings ratio of 12.54 indicates a correct valuation of REZI.
Based on the Price/Forward Earnings ratio, REZI is valued a bit cheaper than 76.19% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of REZI to the average of the S&P500 Index (23.40), we can say REZI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.9 | ||
| Fwd PE | 12.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of REZI indicates a somewhat cheap valuation: REZI is cheaper than 64.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.08 |
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% |
35.74
-0.25 (-0.69%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners90.09%
Inst Owner Change-2.83%
Ins Owners1.1%
Ins Owner Change49.07%
Market Cap5.35B
Revenue(TTM)7.43B
Net Income(TTM)-693.00M
Analysts85
Price Target44.88 (25.57%)
Short Float %3.82%
Short Ratio2.82
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)0%
PT rev (3m)25.71%
EPS NQ rev (1m)12.54%
EPS NQ rev (3m)-31.59%
EPS NY rev (1m)-7.15%
EPS NY rev (3m)-7.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.55%
Revenue NY rev (1m)-1.02%
Revenue NY rev (3m)-1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.9 | ||
| Fwd PE | 12.54 | ||
| P/S | 0.72 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.08 |
EPS(TTM)2.77
EY7.75%
EPS(NY)2.85
Fwd EY7.97%
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
WACC8.23%
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 of RESIDEO TECHNOLOGIES INC (REZI) stock?
ChartMill assigns a valuation rating of 5 / 10 to RESIDEO TECHNOLOGIES INC (REZI). This can be considered as Fairly Valued.
What is the profitability of REZI stock?
RESIDEO TECHNOLOGIES INC (REZI) has a profitability rating of 4 / 10.
What is the valuation of RESIDEO TECHNOLOGIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RESIDEO TECHNOLOGIES INC (REZI) is 12.9 and the Price/Book (PB) ratio is 1.93.
What is the expected EPS growth for RESIDEO TECHNOLOGIES INC (REZI) stock?
The Earnings per Share (EPS) of RESIDEO TECHNOLOGIES INC (REZI) is expected to grow by 16.29% in the next year.