Zacks Investment Research upgraded shares of ResMed Inc. (NYSE:RMD) from a sell rating to a hold rating in a research report released on Monday, October 30th.
According to Zacks, “ResMed exited the first quarter fiscal 2018 on a promising note with better-than-expected earnings and revenue performances. The company achieved solid double-digit global revenue growth this quarter, led by sales from Software-as-a-Service businesses as well as its new mask products and devices. We are encouraged to note that the company is working on product innovation through extensive research and development. The company also recently launched the AirFit N20 Classic nasal mask for positive airway pressure (PAP) treatment in Europe. In the past six months, ResMed has traded above the broader industry. However, challenges like competitive bidding and reimbursement issues continue to plague the stock. The company also remains exposed to foreign exchange fluctuations. Rising operating expenses and a weak operating margin are other major concerns.”
Other equities analysts also recently issued research reports about the company. Northland Securities reissued a sell rating and set a $55.00 price target on shares of ResMed in a research report on Friday, October 27th. Credit Suisse Group cut ResMed from an outperform rating to a neutral rating in a research note on Tuesday, August 8th. BMO Capital Markets upped their price objective on ResMed from $61.00 to $70.00 and gave the stock a market perform rating in a research note on Wednesday, August 2nd. Jefferies Group LLC restated a sell rating and set a $56.00 price objective on shares of ResMed in a research note on Thursday, October 12th. Finally, Citigroup Inc. upgraded ResMed from a neutral rating to a buy rating in a research note on Wednesday, August 2nd. Four research analysts have rated the stock with a sell rating, five have issued a hold rating and four have given a buy rating to the company. ResMed has a consensus rating of Hold and a consensus target price of $67.57.
ResMed (RMD) opened at $84.22 on Monday. The company has a market capitalization of $11,786.54, a price-to-earnings ratio of 28.94, a price-to-earnings-growth ratio of 1.85 and a beta of 0.79. The company has a debt-to-equity ratio of 0.50, a current ratio of 4.72 and a quick ratio of 3.86. ResMed has a 12-month low of $57.45 and a 12-month high of $87.81.
ResMed (NYSE:RMD) last posted its quarterly earnings results on Thursday, October 26th. The medical equipment provider reported $0.66 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.66. ResMed had a return on equity of 21.53% and a net margin of 16.58%. The business had revenue of $523.66 million for the quarter, compared to the consensus estimate of $506.08 million. During the same quarter in the prior year, the company earned $0.62 EPS. The business’s revenue was up 12.5% compared to the same quarter last year. equities research analysts expect that ResMed will post 3 earnings per share for the current fiscal year.
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The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 14th. Shareholders of record on Thursday, November 9th will be paid a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 1.66%. The ex-dividend date of this dividend is Wednesday, November 8th. ResMed’s dividend payout ratio (DPR) is presently 56.68%.
In other news, CFO Brett Sandercock sold 1,250 shares of the firm’s stock in a transaction dated Wednesday, November 1st. The stock was sold at an average price of $84.50, for a total value of $105,625.00. Following the completion of the transaction, the chief financial officer now directly owns 71,772 shares in the company, valued at $6,064,734. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Peter C. Farrell sold 20,000 shares of the firm’s stock in a transaction dated Tuesday, September 5th. The stock was sold at an average price of $76.74, for a total value of $1,534,800.00. Following the completion of the transaction, the director now owns 314,800 shares of the company’s stock, valued at $24,157,752. The disclosure for this sale can be found here. Over the last quarter, insiders sold 201,234 shares of company stock valued at $16,339,637. 1.77% of the stock is currently owned by company insiders.
Several large investors have recently made changes to their positions in the company. BlackRock Inc. raised its stake in shares of ResMed by 6.8% in the second quarter. BlackRock Inc. now owns 14,240,077 shares of the medical equipment provider’s stock worth $1,108,877,000 after purchasing an additional 904,939 shares during the last quarter. Vanguard Group Inc. raised its stake in shares of ResMed by 3.3% in the second quarter. Vanguard Group Inc. now owns 11,914,671 shares of the medical equipment provider’s stock worth $927,797,000 after purchasing an additional 378,964 shares during the last quarter. FMR LLC raised its stake in shares of ResMed by 38.2% in the second quarter. FMR LLC now owns 5,542,582 shares of the medical equipment provider’s stock worth $431,601,000 after purchasing an additional 1,531,772 shares during the last quarter. Baillie Gifford & Co. raised its stake in shares of ResMed by 0.9% in the third quarter. Baillie Gifford & Co. now owns 4,913,626 shares of the medical equipment provider’s stock worth $378,154,000 after purchasing an additional 44,340 shares during the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in ResMed by 1.2% during the second quarter. Bank of New York Mellon Corp now owns 2,266,663 shares of the medical equipment provider’s stock worth $176,505,000 after acquiring an additional 25,925 shares during the period. Hedge funds and other institutional investors own 58.86% of the company’s stock.
ResMed Inc is a holding company. The Company is engaged in the development, manufacturing, distribution and marketing of medical devices and cloud-based software applications that diagnose, treat and manage respiratory disorders, including sleep disordered breathing (SDB), chronic obstructive pulmonary disease (COPD), neuromuscular disease and other diseases.
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