Simply Wall St has cut its fair value estimate for Resideo Technologies from about US$49.33 to US$39.25, reflecting revised analyst views after the ADI Global Distribution spin off. Seaport Research initiated coverage with a Buy rating and a US$55 price target, citing a renegotiated agreement with former parent Honeywell expected to free up US$140 million in annual cash flow. Oppenheimer kept an Outperform rating but cut its Resideo target to US$27 from US$48, while JPMorgan resumed coverage with a Neutral rating and a US$30 target, seeking clearer execution evidence from the pure-play residential controls model. The revised fair value assumes revenue declines about 35.27% versus prior growth of 3.27%, a profit margin of about 14.70% versus 8.26%, a forward P/E of about 28.3x versus 15.1x, and a discount rate of about 11.46% versus 10.01%.
Resideo Technologies IncFair value cut and mixed analyst ratings reflect revised estimates after spin-off.
Honeywell International Inc
ADI Global Distribution Inc.