ResMed Sees Unusually Large Options Volume (RMD)

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ResMed Inc. (NYSE:RMD) was the target of some unusual options trading activity on Thursday. Stock investors acquired 2,491 put options on the company. This is an increase of approximately 2,318% compared to the typical volume of 103 put options.

In related news, insider Rajwant Sodhi sold 16,739 shares of the firm’s stock in a transaction that occurred on Monday, February 25th. The shares were sold at an average price of $101.50, for a total value of $1,699,008.50. Following the completion of the sale, the insider now owns 25,639 shares of the company’s stock, valued at $2,602,358.50. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CFO Brett Sandercock sold 3,000 shares of the firm’s stock in a transaction that occurred on Thursday, February 28th. The shares were sold at an average price of $103.00, for a total transaction of $309,000.00. Following the completion of the transaction, the chief financial officer now directly owns 88,390 shares in the company, valued at $9,104,170. The disclosure for this sale can be found here. In the last three months, insiders sold 75,159 shares of company stock valued at $7,603,731. 1.24% of the stock is currently owned by company insiders.

Hedge funds and other institutional investors have recently made changes to their positions in the company. Farmers & Merchants Investments Inc. boosted its position in shares of ResMed by 49.0% during the first quarter. Farmers & Merchants Investments Inc. now owns 295 shares of the medical equipment provider’s stock worth $31,000 after purchasing an additional 97 shares in the last quarter. Executive Wealth Management LLC bought a new position in shares of ResMed during the fourth quarter worth $35,000. Parallel Advisors LLC boosted its position in shares of ResMed by 143.0% during the fourth quarter. Parallel Advisors LLC now owns 328 shares of the medical equipment provider’s stock worth $37,000 after purchasing an additional 193 shares in the last quarter. Financial Gravity Companies Inc. bought a new position in shares of ResMed during the fourth quarter worth $34,000. Finally, Pinnacle Bank bought a new position in shares of ResMed during the fourth quarter worth $42,000. 68.07% of the stock is currently owned by institutional investors.

A number of equities analysts have issued reports on the stock. ValuEngine raised shares of ResMed from a “hold” rating to a “buy” rating in a research note on Wednesday. JPMorgan Chase & Co. raised shares of ResMed from an “underweight” rating to a “neutral” rating and set a $95.00 price objective on the stock in a research note on Thursday, April 18th. Zacks Investment Research raised shares of ResMed from a “sell” rating to a “buy” rating and set a $116.00 price objective on the stock in a research note on Monday, April 1st. Deutsche Bank raised shares of ResMed from a “hold” rating to a “buy” rating in a research note on Wednesday, March 20th. Finally, BMO Capital Markets reduced their price objective on shares of ResMed to $120.00 and set a “positive” rating on the stock in a research note on Monday, January 28th. Two analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. ResMed has an average rating of “Buy” and a consensus target price of $110.33.

Shares of RMD stock opened at $105.74 on Friday. ResMed has a 52-week low of $90.64 and a 52-week high of $118.50. The company has a market capitalization of $14.98 billion, a price-to-earnings ratio of 29.95, a price-to-earnings-growth ratio of 2.78 and a beta of 0.56. The company has a current ratio of 2.44, a quick ratio of 1.76 and a debt-to-equity ratio of 0.61.

ResMed (NYSE:RMD) last announced its quarterly earnings data on Thursday, May 2nd. The medical equipment provider reported $0.89 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.85 by $0.04. ResMed had a net margin of 18.34% and a return on equity of 26.53%. The firm had revenue of $662.23 million for the quarter, compared to analysts’ expectations of $657.82 million. During the same period last year, the firm earned $0.92 earnings per share. The business’s revenue for the quarter was up 11.9% on a year-over-year basis. As a group, equities analysts anticipate that ResMed will post 3.55 earnings per share for the current year.

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ResMed Company Profile

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications that diagnose, treat, and manage respiratory disorders comprising sleep disordered breathing, chronic obstructive pulmonary disease, neuromuscular disease, and other chronic diseases. It offers various products and solutions for a range of respiratory disorders, including technologies to be applied in medical and consumer products, ventilation devices, diagnostic products, mask systems for use in the hospital and home, headgear and other accessories, dental devices, portable oxygen concentrators, and cloud-based software informatics solutions to manage patient outcomes, as well as provides customer and business processes.

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