Why Shares of Resideo Technologies Are Crashing Today
Shares of Resideo Technologies (NYSE: REZI) fell more than 40% on Wednesday after the smart-home and security products company cut guidance, announced a management change, and said it was beginning a comprehensive operational and financial review. With the drop, the company's shares have now lost nearly 70% of their value since being spun out of Honeywell International last year.
Resideo, which sells a range of climate-control, camera, and security products for homes and businesses, on Wednesday reported preliminary third-quarter revenue of $1.22 billion, just shy of consensus, due to a slowdown in its thermostat unit. Resideo cut its full fiscal 2019 revenue growth view to 2% to 4% (from 2% to 5%), saying that the transition to the company's new generation of security products and connected thermostats will take longer than expected.
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Source Fool.com
