ResMed (NYSE:RMD) CEO Sells $1,026,598.79 in Stock

ResMed Inc. (NYSE:RMD) CEO Michael Farrell sold 4,991 shares of the firm’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $205.69, for a total value of $1,026,598.79. Following the completion of the sale, the chief executive officer directly owned 466,256 shares in the company, valued at $95,904,196.64. The trade was a 1.06% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

ResMed Stock Up 3.8%

Shares of NYSE:RMD opened at $220.06 on Tuesday. The stock’s 50-day moving average is $201.16 and its 200 day moving average is $221.75. The company has a market cap of $31.92 billion, a PE ratio of 21.10, a P/E/G ratio of 1.29 and a beta of 0.76. The company has a debt-to-equity ratio of 0.06, a current ratio of 3.10 and a quick ratio of 2.42. ResMed Inc. has a 1 year low of $180.26 and a 1 year high of $293.81.

ResMed (NYSE:RMD) last released its quarterly earnings data on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share for the quarter, topping the consensus estimate of $2.89 by $0.06. The business had revenue of $1.46 billion during the quarter, compared to analysts’ expectations of $1.46 billion. ResMed had a return on equity of 25.58% and a net margin of 26.94%.The business’s revenue was up 8.6% on a year-over-year basis. During the same quarter last year, the business posted $2.55 EPS. Sell-side analysts anticipate that ResMed Inc. will post 12 EPS for the current year.

ResMed Increases Dividend

The firm also recently declared 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. The ex-dividend date of this dividend is Thursday, August 20th. This is a positive change from ResMed’s previous quarterly dividend of $0.60. This represents a $2.64 dividend on an annualized basis and a yield of 1.2%. ResMed’s payout ratio is 23.01%.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on RMD shares. Wells Fargo & Company reduced their price objective on shares of ResMed from $225.00 to $215.00 and set an “equal weight” rating on the stock in a research report on Friday. UBS Group reaffirmed a “buy” rating and set a $300.00 target price on shares of ResMed in a research note on Tuesday, July 21st. 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 report on Wednesday, June 17th. Robert W. Baird set a $213.00 price target on shares of ResMed in a research note on Friday. Finally, JPMorgan Chase & Co. initiated coverage on shares of ResMed in a report on Wednesday, April 15th. They issued an “overweight” rating for the company. Seven investment analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the stock. According to MarketBeat.com, ResMed has an average rating of “Hold” and an average price target of $240.17.

Hedge Funds Weigh In On ResMed

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. BlackRock Inc. purchased a new stake in ResMed during the 2nd quarter valued at $2,400,375,000. Bank of New York Mellon Corp purchased a new position in shares of ResMed during the 2nd quarter worth $818,030,000. Deutsche Bank AG purchased a new position in shares of ResMed during the 2nd quarter worth $257,692,000. First Trust Advisors LP grew its position in shares of ResMed by 240.9% during the 4th quarter. First Trust Advisors LP now owns 1,517,592 shares of the medical equipment provider’s stock valued at $365,542,000 after acquiring an additional 1,072,394 shares during the period. Finally, Norges Bank purchased a new stake in shares of ResMed in the 4th quarter worth $249,068,000. Institutional investors own 54.98% of the company’s stock.

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.