In a recent filing with the Securities and Exchange Commission, Resideo Technologies, Inc. (NYSE:REZI) disclosed that Stephen Montgomery, the company's Executive Vice President and Chief Human Resources Officer, sold 24,862 shares of common stock. The shares were sold at a weighted average price of $25.2316, amounting to a total transaction value of approximately $627,308.
Following this transaction, Montgomery retains ownership of 196,531 shares in the company. The shares were sold in multiple transactions, with prices ranging from $25.14 to $25.441. Additionally, the filing notes that Montgomery's remaining shares include 545 shares acquired through Resideo's employee stock purchase plan.
In other recent news, Resideo Technologies Inc. reported significant third-quarter growth, with revenue reaching $1.83 billion, marking an 18% rise compared to the same period last year. Both the Products and Solutions segment and ADI global distribution segment demonstrated organic growth, a first since the second quarter of 2022. The company's adjusted EBITDA also saw a 29% increase, reaching $190 million. The acquisition of Snap One is expected to yield considerable annual synergies, with projections of $12 million in 2024 alone. Resideo's CEO, Jay Geldmacher, has announced his retirement for 2025, committing to a senior advisory role to ensure a seamless transition. These are recent developments that have unfolded within the company.
InvestingPro Insights
The recent insider sale by Stephen Montgomery comes at a time when Resideo Technologies (NYSE:REZI) is experiencing strong market performance. According to InvestingPro data, REZI's stock has shown impressive returns, with a 51.67% price total return over the past year and a 34.75% return year-to-date. The stock is currently trading near its 52-week high, with a price that is 99.88% of its highest point in the past year.
This robust performance is reflected in the company's financials as well. Resideo reported revenue of $6.44 billion in the last twelve months as of Q3 2023, with a gross profit margin of 27.86%. The company's adjusted operating income stood at $579 million, translating to an operating income margin of 8.99%.
InvestingPro Tips highlight that REZI has been profitable over the last twelve months, and analysts predict the company will remain profitable this year. Additionally, the company's liquid assets exceed its short-term obligations, indicating a strong financial position. However, investors should note that the stock's RSI suggests it may be in overbought territory, which could be a factor to consider given the recent insider sale.
For those interested in a deeper analysis, InvestingPro offers 11 additional tips for Resideo Technologies, providing a more comprehensive view of the company's financial health and market position.
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