WallStSmart

Fastenal Company (FAST)vsResideo Technologies Inc (REZI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fastenal Company generates 11% more annual revenue ($8.44B vs $7.61B). FAST leads profitability with a 15.4% profit margin vs -6.5%. FAST earns a higher WallStSmart Score of 62/100 (C+).

FAST

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 9.0Value: 5.3Quality: 9.0
Piotroski: 5/9Altman Z: 6.57

REZI

Buy

51

out of 100

Grade: C-

Growth: 7.3Profit: 4.0Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.36
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FASTUndervalued (+55.6%)

Margin of Safety

+55.6%

Fair Value

$103.39

Current Price

$46.12

$57.27 discount

UndervaluedFair: $103.39Overvalued
REZISignificantly Overvalued (-79.9%)

Margin of Safety

-79.9%

Fair Value

$20.23

Current Price

$31.13

$10.90 premium

UndervaluedFair: $20.23Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FAST5 strengths · Avg: 9.2/10
Return on EquityProfitability
32.6%10/10

Every $100 of equity generates 33 in profit

Altman Z-ScoreHealth
6.5710/10

Safe zone — low bankruptcy risk

Market CapQuality
$52.87B9/10

Large-cap with strong market position

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

Operating MarginProfitability
20.3%8/10

Strong operational efficiency at 20.3%

REZI2 strengths · Avg: 9.0/10
EPS GrowthGrowth
928.0%10/10

Earnings expanding 928.0% YoY

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

FAST3 concerns · Avg: 2.7/10
Price/BookValuation
13.3x4/10

Trading at 13.3x book value

PEG RatioValuation
3.332/10

Expensive relative to growth rate

P/E RatioValuation
40.8x2/10

Premium valuation, high expectations priced in

REZI4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.203/10

Elevated debt levels

Return on EquityProfitability
-16.9%2/10

ROE of -16.9% — below average capital efficiency

Free Cash FlowQuality
$-181.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.362/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : FAST

The strongest argument for FAST centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 15.4% and operating margin at 20.3%. Revenue growth of 12.4% demonstrates continued momentum.

Bull Case : REZI

The strongest argument for REZI centers on EPS Growth, Price/Book.

Bear Case : FAST

The primary concerns for FAST are Price/Book, PEG Ratio, P/E Ratio. A P/E of 40.8x leaves little room for execution misses.

Bear Case : REZI

The primary concerns for REZI are Debt/Equity, Return on Equity, Free Cash Flow.

Key Dynamics to Monitor

FAST profiles as a mature stock while REZI is a turnaround play — different risk/reward profiles.

REZI carries more volatility with a beta of 1.65 — expect wider price swings.

FAST is growing revenue faster at 12.4% — sustainability is the question.

FAST generates stronger free cash flow (320M), providing more financial flexibility.

Bottom Line

FAST scores higher overall (62/100 vs 51/100), backed by strong 15.4% margins and 12.4% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Fastenal Company

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

Fastenal Company is an American company based in Winona, Minnesota. Fastenal's service model centers on approximately 3,200 in-market locations, each providing custom inventory, and a dedicated sales team to support local businesses. Fastenal offers companies supply chain solutions that help business reduce inventory touches, and supply chain waste.

Visit Website →

Resideo Technologies Inc

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

Resideo Technologies, Inc. develops, manufactures and sells comfort, residential thermal and security solutions for commercial and residential end markets in the United States, Europe and internationally. The company is headquartered in Austin, Texas.

Want to dig deeper into these stocks?