Overview of the Recent Transaction
On September 30, 2024, Fuller & Thaler Asset Management, Inc., a notable investment management firm, executed a significant transaction by acquiring an additional 90,612 shares of Resideo Technologies Inc (REZI, Financial). This purchase increased the firm's total holdings in REZI to 7,593,625 shares, reflecting a substantial commitment to the stock within its portfolio. The shares were bought at a price of $20.14 each, marking a strategic addition to Fuller & Thaler’s investment portfolio.
Insight into Fuller & Thaler Asset Management, Inc.
Based in San Mateo, California, Fuller & Thaler Asset Management, Inc. is renowned for its distinctive investment approach that focuses on behavioral finance. Since its inception in 1993, the firm has been dedicated to investing in micro to small cap companies across various sectors, with a significant emphasis on the financial services and industrials sectors. As of the latest data, Fuller & Thaler manages assets totaling approximately $23.36 billion, with a high turnover rate of 53.6%, indicating an active management style. The firm primarily serves high net worth individuals and institutional clients, offering tailored investment solutions that leverage psychological biases in market participants.
About Resideo Technologies Inc
Resideo Technologies Inc, headquartered in the USA, operates in the industrial distribution sector, focusing on technology-driven products for energy management, comfort, and security. Since its IPO on October 15, 2018, the company has grown to achieve a market capitalization of $3.75 billion. Despite being currently assessed as modestly overvalued with a GF Value of $20.89, Resideo continues to show robust financial health with a PE Ratio of 22.96 and significant year-to-date stock price appreciation of 38.99%.
Analysis of the Trade Impact
The recent acquisition by Fuller & Thaler has increased their position in Resideo Technologies to 0.65% of their total portfolio, while they now hold 5.19% of all issued shares of REZI. This move not only underscores the firm’s confidence in Resideo’s growth prospects but also aligns with Fuller & Thaler’s strategy of capitalizing on market inefficiencies.
Comparative Insight into Resideo’s Investor Landscape
Other notable investors in Resideo Technologies include Ariel Investment, LLC, Richard Pzena (Trades, Portfolio), Ken Fisher (Trades, Portfolio), and Mario Gabelli (Trades, Portfolio). Each of these investors also recognizes the potential in REZI, although the specific sizes of their holdings vary. Fuller & Thaler’s recent increase in their stake places them among the more significant shareholders, highlighting their bullish outlook on the company’s future.
Strategic Implications of Fuller & Thaler’s Investment
The decision by Fuller & Thaler to bolster their investment in Resideo Technologies likely stems from a belief in the company’s continued growth and operational efficiency, as evidenced by Resideo’s solid Operating Margin growth of 23.50% and an impressive Piotroski F-Score of 6, indicating a healthy financial situation.
Conclusion
Fuller & Thaler Asset Management’s increased investment in Resideo Technologies Inc reflects a strategic positioning that aligns with their investment philosophy and market outlook. This move could potentially influence Resideo’s stock performance positively, considering the firm’s significant stake and the stock’s current momentum. Investors and market watchers will undoubtedly keep a close eye on how this investment plays out in the evolving landscape of the industrial distribution sector.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
