Jim Cramer on Resideo Technologies: “Precisely the Kind of Stock That You Should be Buying”

Resideo Technologies, Inc. (NYSE:REZI) is one of the stocks Jim Cramer commented on. Inquiring about the stock, a caller noted its Honeywell spin-off origin, recent 52-week high, an upgrade from Morgan Stanley, and insider buying. Cramer replied:

“Okay, so candidly, when it was first spun off, I was not a fan because I did not think rates were going to come down and really be good for the housing market. Now, that’s precisely the kind of stock that you should be buying. I’ve been saying to the club that Home Depot is the best stock to buy right here for the last 40 points. I like it, but I think Resideo is interesting even up here.”

Stock market reports printed on a sheet of paper. Photo by RDNE Stock Project on Pexels

Resideo Technologies, Inc. (NYSE:REZI) provides comfort, energy management, and security solutions, in addition to with distributing low-voltage and smart home products. Ariel Investments stated the following regarding Resideo Technologies, Inc. (NYSE:REZI) in its second quarter 2025 investor letter:

“Additionally, supplier of residential thermal, comfort and security solutions, Resideo Technologies, Inc. (NYSE:REZI) advanced following solid quarterly earnings results highlighted by organic revenue growth and margin expansion. Synergies from the integration of Snap One are also ahead of expectations. Meanwhile, REZI expects to substantially mitigate any headwinds from tariffs by increasing prices, repositioning inventory and by running its factories at different utilization rates. We believe REZI’s earnings potential is underappreciated. The company is entering a new phase of sustainable growth driven by a secular preference for more connected smart home solutions and product innovation.”

While we acknowledge the risk and potential of REZI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than REZI and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.