CLSA Upgrades ResMed (NYSE:RMD) to “Outperform”

ResMed (NYSE:RMD) was upgraded by equities researchers at CLSA from a “hold” rating to an “outperform” rating in a report released on Tuesday,Finviz reports.

Several other equities analysts have also recently issued reports on RMD. Royal Bank Of Canada upped their price target on shares of ResMed from $294.00 to $300.00 and gave the company an “outperform” rating in a research report on Friday, August 1st. KeyCorp upped their price target on shares of ResMed from $274.00 to $298.00 and gave the company an “overweight” rating in a research report on Friday, August 1st. UBS Group upped their price target on shares of ResMed from $285.00 to $325.00 and gave the company a “buy” rating in a research report on Friday, August 1st. Morgan Stanley set a $286.00 price target on shares of ResMed and gave the company an “overweight” rating in a research report on Tuesday, May 20th. Finally, Piper Sandler upped their price target on shares of ResMed from $248.00 to $270.00 and gave the company a “neutral” rating in a research report on Friday, August 1st. Two research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $274.83.

ResMed Price Performance

RMD stock traded down $3.08 during trading on Tuesday, reaching $271.44. 270,155 shares of the company were exchanged, compared to its average volume of 994,860. The company has a 50-day moving average of $271.24 and a two-hundred day moving average of $246.38. The company has a market capitalization of $39.74 billion, a price-to-earnings ratio of 28.51, a P/E/G ratio of 1.83 and a beta of 0.85. ResMed has a twelve month low of $199.92 and a twelve month high of $293.81. The company has a debt-to-equity ratio of 0.11, a current ratio of 3.44 and a quick ratio of 2.53.

ResMed (NYSE:RMD) last released its quarterly earnings data on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.47 by $0.08. The business had revenue of $1.35 billion during the quarter, compared to analysts’ expectations of $1.33 billion. ResMed had a net margin of 27.22% and a return on equity of 25.62%. The firm’s quarterly revenue was up 10.2% compared to the same quarter last year. During the same period in the prior year, the company earned $2.08 EPS. As a group, equities analysts predict that ResMed will post 9.47 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Michael J. Farrell sold 8,009 shares of the stock in a transaction on Thursday, August 7th. The shares were sold at an average price of $279.48, for a total transaction of $2,238,355.32. Following the transaction, the chief executive officer directly owned 455,503 shares of the company’s stock, valued at $127,303,978.44. This represents a 1.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Peter C. Farrell sold 945 shares of the stock in a transaction on Wednesday, July 2nd. The stock was sold at an average price of $255.49, for a total transaction of $241,438.05. Following the transaction, the director directly owned 68,273 shares in the company, valued at approximately $17,443,068.77. This represents a 1.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 27,597 shares of company stock valued at $7,301,182 over the last ninety days. 0.71% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Mercer Global Advisors Inc. ADV lifted its stake in shares of ResMed by 6.6% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 20,099 shares of the medical equipment provider’s stock valued at $4,596,000 after buying an additional 1,249 shares in the last quarter. AXA S.A. lifted its stake in shares of ResMed by 8.6% in the fourth quarter. AXA S.A. now owns 56,640 shares of the medical equipment provider’s stock valued at $12,953,000 after buying an additional 4,487 shares in the last quarter. Aptus Capital Advisors LLC bought a new position in shares of ResMed in the fourth quarter valued at $344,000. Ameriprise Financial Inc. lifted its stake in shares of ResMed by 25.5% in the fourth quarter. Ameriprise Financial Inc. now owns 305,237 shares of the medical equipment provider’s stock valued at $69,801,000 after buying an additional 62,010 shares in the last quarter. Finally, BNP Paribas Financial Markets lifted its stake in shares of ResMed by 61.4% in the fourth quarter. BNP Paribas Financial Markets now owns 274,417 shares of the medical equipment provider’s stock valued at $62,756,000 after buying an additional 104,377 shares in the last quarter. 54.98% of the stock is owned by institutional investors.

About ResMed

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. The company operates in two segments, Sleep and Respiratory Care, and Software as a Service. It offers various products and solutions for a range of respiratory disorders, including ApneaLink Air, a portable diagnostic device that measures oximetry, respiratory effort, pulse, nasal flow, and snoring; and NightOwl, a portable, cloud-connected, and disposable diagnostic device that measures AHI based on derived peripheral arterial tone, actigraphy, and oximetry over several nights.