ResMed Inc. (NYSE:RMD) Given Consensus Recommendation of “Moderate Buy” by Brokerages

ResMed Inc. (NYSE:RMD) has earned an average recommendation of “Moderate Buy” from the fifteen brokerages that are covering the stock, Marketbeat Ratings reports. Six research analysts have rated the stock with a hold recommendation, eight have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month target price among brokerages that have covered the stock in the last year is $270.8182.

Several research firms have recently weighed in on RMD. Royal Bank Of Canada increased their price target on ResMed from $314.00 to $321.00 and gave the stock an “outperform” rating in a research note on Friday, May 1st. Weiss Ratings downgraded ResMed from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, May 22nd. Morgan Stanley reiterated an “equal weight” rating and set a $230.00 price target (down from $286.00) on shares of ResMed in a research note on Wednesday, June 17th. Robert W. Baird set a $225.00 price objective on ResMed in a report on Friday, May 1st. Finally, JPMorgan Chase & Co. assumed coverage on ResMed in a report on Wednesday, April 15th. They set an “overweight” rating on the stock.

Insider Activity

In related news, Director Peter C. Farrell sold 2,000 shares of the firm’s stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $225.00, for a total transaction of $450,000.00. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Michael J. Farrell sold 4,991 shares of the firm’s stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $193.96, for a total value of $968,054.36. Following the transaction, the chief executive officer directly owned 466,256 shares in the company, valued at approximately $90,435,013.76. This represents a 1.06% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 16,973 shares of company stock worth $3,580,754. Insiders own 0.65% of the company’s stock.

Hedge Funds Weigh In On ResMed

Large investors have recently modified their holdings of the company. Vanguard Group Inc. grew its position in ResMed by 1.6% during the 3rd quarter. Vanguard Group Inc. now owns 19,040,440 shares of the medical equipment provider’s stock worth $5,211,940,000 after acquiring an additional 293,515 shares during the last quarter. State Street Corp grew its position in ResMed by 1.2% during the 4th quarter. State Street Corp now owns 6,625,408 shares of the medical equipment provider’s stock worth $1,595,862,000 after acquiring an additional 76,244 shares during the last quarter. Bank of New York Mellon Corp grew its position in ResMed by 0.7% during the 1st quarter. Bank of New York Mellon Corp now owns 4,925,386 shares of the medical equipment provider’s stock worth $1,105,651,000 after acquiring an additional 34,732 shares during the last quarter. Geode Capital Management LLC grew its position in ResMed by 1.2% during the 4th quarter. Geode Capital Management LLC now owns 4,302,906 shares of the medical equipment provider’s stock worth $1,032,877,000 after acquiring an additional 51,218 shares during the last quarter. Finally, Morgan Stanley grew its position in ResMed by 25.0% during the 4th quarter. Morgan Stanley now owns 2,891,697 shares of the medical equipment provider’s stock worth $696,523,000 after acquiring an additional 578,559 shares during the last quarter. 54.98% of the stock is owned by hedge funds and other institutional investors.

ResMed Trading Down 0.1%

NYSE RMD opened at $188.52 on Thursday. The firm has a market capitalization of $27.35 billion, a P/E ratio of 18.18, a PEG ratio of 1.20 and a beta of 0.80. The business has a fifty day simple moving average of $205.95 and a 200 day simple moving average of $232.61. ResMed has a 12 month low of $180.26 and a 12 month high of $293.81. The company has a current ratio of 3.01, a quick ratio of 2.33 and a debt-to-equity ratio of 0.06.

ResMed (NYSE:RMD) last announced its quarterly earnings data on Thursday, April 30th. The medical equipment provider reported $2.86 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.79 by $0.07. The firm had revenue of $1.43 billion during the quarter, compared to the consensus estimate of $1.42 billion. ResMed had a return on equity of 25.35% and a net margin of 27.44%.The business’s revenue for the quarter was up 10.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.37 EPS. On average, analysts predict that ResMed will post 11.13 EPS for the current fiscal year.

ResMed Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 18th. Shareholders of record on Thursday, May 14th were issued a $0.60 dividend. The ex-dividend date of this dividend was Thursday, May 14th. This represents a $2.40 annualized dividend and a dividend yield of 1.3%. ResMed’s dividend payout ratio (DPR) is presently 23.14%.

About ResMed

ResMed (NYSE: RMD) is a global medical device and cloud-connectivity company focused on improving outcomes for people with sleep-disordered breathing and chronic respiratory conditions. Founded in 1989, the company is headquartered in San Diego, California, and develops, manufactures and distributes a range of devices and software used by patients, clinicians and providers worldwide.

ResMed’s product portfolio centers on noninvasive ventilation and sleep therapy equipment, including continuous positive airway pressure (CPAP) and bilevel devices, masks and related accessories for the treatment of obstructive sleep apnea and other respiratory disorders.