Catalyst Capital Advisors LLC Takes Position in ResMed Inc. $RMD

Catalyst Capital Advisors LLC bought a new stake in ResMed Inc. (NYSE:RMD) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 453 shares of the medical equipment provider’s stock, valued at approximately $117,000.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Parcion Private Wealth LLC raised its stake in shares of ResMed by 0.8% in the second quarter. Parcion Private Wealth LLC now owns 33,521 shares of the medical equipment provider’s stock valued at $8,648,000 after acquiring an additional 262 shares during the period. D.A. Davidson & CO. increased its stake in ResMed by 11.5% in the 2nd quarter. D.A. Davidson & CO. now owns 3,428 shares of the medical equipment provider’s stock worth $884,000 after buying an additional 354 shares during the period. Cullen Frost Bankers Inc. increased its stake in ResMed by 34.3% in the 2nd quarter. Cullen Frost Bankers Inc. now owns 575 shares of the medical equipment provider’s stock worth $148,000 after buying an additional 147 shares during the period. Pittenger & Anderson Inc. increased its stake in ResMed by 43.8% in the 2nd quarter. Pittenger & Anderson Inc. now owns 93,830 shares of the medical equipment provider’s stock worth $24,208,000 after buying an additional 28,559 shares during the period. Finally, Phoenix Financial Ltd. purchased a new position in ResMed in the 2nd quarter worth about $228,000. Hedge funds and other institutional investors own 54.98% of the company’s stock.

Insider Activity

In other news, General Counsel Michael J. Rider sold 100 shares of the firm’s stock in a transaction dated Wednesday, October 1st. The shares were sold at an average price of $274.36, for a total value of $27,436.00. Following the sale, the general counsel directly owned 11,327 shares in the company, valued at approximately $3,107,675.72. This trade represents a 0.88% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Michael J. Farrell sold 8,009 shares of the firm’s stock in a transaction dated Tuesday, October 7th. The shares were sold at an average price of $282.85, for a total transaction of $2,265,345.65. Following the completion of the sale, the chief executive officer owned 467,792 shares in the company, valued at $132,314,967.20. This represents a 1.68% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 18,743 shares of company stock worth $5,284,514. Corporate insiders own 0.65% of the company’s stock.

Analyst Upgrades and Downgrades

Several research analysts recently commented on the stock. Wall Street Zen downgraded shares of ResMed from a “buy” rating to a “hold” rating in a research note on Sunday, August 10th. Wells Fargo & Company assumed coverage on shares of ResMed in a research note on Monday, October 13th. They issued an “equal weight” rating and a $280.00 price target on the stock. KeyCorp raised their price target on shares of ResMed from $274.00 to $298.00 and gave the stock an “overweight” rating in a research note on Friday, August 1st. Stifel Nicolaus raised their price target on shares of ResMed from $240.00 to $270.00 and gave the stock a “hold” rating in a research note on Friday, August 1st. Finally, William Blair raised shares of ResMed to a “strong-buy” rating in a research note on Friday, August 1st. Two investment analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $295.70.

ResMed Stock Down 2.0%

Shares of ResMed stock opened at $259.87 on Friday. 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 Inc. has a 1 year low of $199.92 and a 1 year high of $293.81. The firm’s 50-day moving average is $275.26 and its two-hundred day moving average is $259.39. The stock has a market cap of $37.93 billion, a price-to-earnings ratio of 27.33, a PEG ratio of 1.79 and a beta of 0.83.

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

ResMed Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, September 18th. Stockholders of record on Thursday, August 14th were issued a $0.60 dividend. The ex-dividend date was Thursday, August 14th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 0.9%. This is an increase from ResMed’s previous quarterly dividend of $0.53. ResMed’s dividend payout ratio (DPR) is 25.24%.

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.