Key Points
- ResMed CEO Michael Farrell sold 4,991 shares for approximately $1.11 million under a pre-arranged Rule 10b5-1 trading plan, reducing his direct ownership by 1.06% to 466,256 shares.
- ResMed recently beat quarterly earnings expectations, reporting $2.95 EPS on $1.46 billion in revenue, with revenue up 8.6% year over year. The company also raised its quarterly dividend to $0.66 from $0.60.
- Analysts maintain a generally cautious outlook, with six Buy ratings and ten Hold ratings; the stock has a consensus rating of Hold and an average price target of $240.31.
ResMed Inc. (NYSE:RMD - Get Free Report) CEO Michael Farrell sold 4,991 shares of ResMed stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $222.44, for a total value of $1,110,198.04. Following the sale, the chief executive officer directly owned 466,256 shares in the company, valued at $103,713,984.64. The trade was a 1.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
ResMed Stock Performance
NYSE:RMD opened at $219.81 on Friday. The stock's 50-day moving average is $217.21 and its 200-day moving average is $216.99. The company has a current ratio of 3.10, a quick ratio of 2.42 and a debt-to-equity ratio of 0.06. ResMed Inc. has a 1-year low of $180.26 and a 1-year high of $284.87. The stock has a market cap of $31.71 billion, a P/E ratio of 21.07, a price-to-earnings-growth ratio of 1.39 and a beta of 0.77.
ResMed (NYSE:RMD - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.89 by $0.06. ResMed had a net margin of 26.94% and a return on equity of 25.58%. The firm had revenue of $1.46 billion during the quarter, compared to analysts' expectations of $1.46 billion. During the same period in the prior year, the company posted $2.55 EPS. The company's revenue was up 8.6% on a year-over-year basis. Equities research analysts anticipate that ResMed Inc. will post 12.02 earnings per share for the current year.
ResMed Increases Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, August 20th will be paid a $0.66 dividend. This is a positive change from ResMed's previous quarterly dividend of $0.60. This represents a $2.64 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Thursday, August 20th. ResMed's payout ratio is presently 25.31%.
Hedge Funds Weigh In On ResMed
A number of hedge funds have recently bought and sold shares of RMD. Jones Financial Companies Lllp raised its position in shares of ResMed by 52.6% in the 1st quarter. Jones Financial Companies Lllp now owns 2,882 shares of the medical equipment provider's stock worth $645,000 after acquiring an additional 994 shares in the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in shares of ResMed in the 2nd quarter valued at about $389,000. Brown Advisory Inc. boosted its position in shares of ResMed by 17.8% during the 2nd quarter. Brown Advisory Inc. now owns 1,586 shares of the medical equipment provider's stock valued at $409,000 after purchasing an additional 240 shares in the last quarter. Cresset Asset Management LLC bought a new stake in shares of ResMed during the 2nd quarter valued at about $206,000. Finally, Alliancebernstein L.P. grew its stake in ResMed by 24.2% during the second quarter. Alliancebernstein L.P. now owns 286,078 shares of the medical equipment provider's stock worth $73,808,000 after purchasing an additional 55,790 shares during the period. Institutional investors own 54.98% of the company's stock.
Analysts Set New Price Targets
Several research analysts recently issued reports on the company. Piper Sandler lowered their target price on ResMed from $233.00 to $225.00 and set a "neutral" rating for the company in a research report on Friday, August 7th. Robert W. Baird set a $213.00 price target on ResMed in a research report on Friday, August 7th. Morgan Stanley reissued an "equal weight" rating and issued a $230.00 price target (down from $286.00) on shares of ResMed in a research note on Wednesday, June 17th. Citigroup restated a "neutral" rating on shares of ResMed in a research report on Thursday. Finally, Wells Fargo & Company cut their price objective on ResMed from $225.00 to $215.00 and set an "equal weight" rating on the stock in a research note on Friday, August 7th. Six research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. According to MarketBeat.com, ResMed presently has a consensus rating of "Hold" and an average target price of $240.31.
Check Out Our Latest Stock Analysis on ResMed
ResMed Company Profile
(
Get Free Report)
ResMed Inc is a medical equipment and software company that develops products and services for the diagnosis and treatment of sleep-disordered breathing and other respiratory conditions. Its offerings include continuous positive airway pressure (CPAP) and other positive airway pressure devices, masks, ventilation systems, oxygen-related solutions, and connected health technologies.
The company also provides cloud-based software and digital health platforms that help clinicians, home medical equipment providers, and patients monitor therapy, manage equipment, and support adherence to treatment.
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