ResMed (NYSE:RMD) Shares Down 3% After Analyst Downgrade

ResMed Inc. (NYSE:RMD) shares fell 3% during trading on Monday after Oppenheimer lowered their price target on the stock from $205.00 to $200.00. Oppenheimer currently has an outperform rating on the stock. ResMed traded as low as $210.20 and last traded at $211.61. 322,132 shares changed hands during mid-day trading, a decline of 69% from the average session volume of 1,045,429 shares. The stock had previously closed at $218.06.

Other equities analysts also recently issued reports about the stock. KeyCorp increased their price target on shares of ResMed from $227.00 to $238.00 and gave the stock an “overweight” rating in a research note on Friday. Mizuho reissued a “buy” rating and issued a $215.00 price target on shares of ResMed in a research note on Wednesday, March 27th. JPMorgan Chase & Co. lifted their price objective on shares of ResMed from $160.00 to $195.00 and gave the company an “overweight” rating in a report on Tuesday, January 9th. Royal Bank of Canada boosted their price objective on shares of ResMed from $187.00 to $200.00 and gave the stock a “sector perform” rating in a research report on Friday. Finally, Needham & Company LLC boosted their price objective on shares of ResMed from $224.00 to $236.00 and gave the company a “buy” rating in a research note on Friday. Four investment analysts have rated the stock with a hold rating and seven have given a buy rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $202.80.

Insider Buying and Selling at ResMed

In other news, General Counsel Michael J. Rider sold 200 shares of the business’s stock in a transaction on Friday, March 1st. The stock was sold at an average price of $173.25, for a total transaction of $34,650.00. Following the completion of the transaction, the general counsel now owns 6,688 shares of the company’s stock, valued at approximately $1,158,696. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. In related news, General Counsel Michael J. Rider sold 200 shares of the company’s stock in a transaction that occurred on Friday, March 1st. The stock was sold at an average price of $173.25, for a total transaction of $34,650.00. Following the transaction, the general counsel now directly owns 6,688 shares of the company’s stock, valued at approximately $1,158,696. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Director Peter C. Farrell sold 10,935 shares of the stock in a transaction that occurred on Thursday, February 22nd. The stock was sold at an average price of $182.66, for a total value of $1,997,387.10. Following the completion of the sale, the director now directly owns 157,404 shares of the company’s stock, valued at $28,751,414.64. The disclosure for this sale can be found here. Insiders sold a total of 11,216 shares of company stock worth $2,046,617 over the last ninety days. 1.21% of the stock is currently owned by corporate insiders.

Institutional Trading of ResMed

A number of hedge funds have recently made changes to their positions in RMD. MV Capital Management Inc. boosted its holdings in ResMed by 39.0% in the 4th quarter. MV Capital Management Inc. now owns 214 shares of the medical equipment provider’s stock worth $37,000 after buying an additional 60 shares during the period. Benjamin F. Edwards & Company Inc. lifted its holdings in shares of ResMed by 7.6% during the 4th quarter. Benjamin F. Edwards & Company Inc. now owns 902 shares of the medical equipment provider’s stock valued at $155,000 after purchasing an additional 64 shares during the last quarter. Gulf International Bank UK Ltd lifted its holdings in shares of ResMed by 0.5% during the 1st quarter. Gulf International Bank UK Ltd now owns 12,614 shares of the medical equipment provider’s stock valued at $2,497,000 after purchasing an additional 66 shares during the last quarter. Great Lakes Advisors LLC raised its stake in ResMed by 2.6% in the 3rd quarter. Great Lakes Advisors LLC now owns 2,643 shares of the medical equipment provider’s stock worth $391,000 after acquiring an additional 68 shares during the last quarter. Finally, Harfst & Associates Inc. grew its position in ResMed by 0.7% during the 3rd quarter. Harfst & Associates Inc. now owns 10,995 shares of the medical equipment provider’s stock worth $1,626,000 after purchasing an additional 73 shares during the period. 54.98% of the stock is owned by institutional investors.

ResMed Price Performance

The company has a current ratio of 3.04, a quick ratio of 1.97 and a debt-to-equity ratio of 0.22. The stock has a market capitalization of $31.47 billion, a price-to-earnings ratio of 33.50, a PEG ratio of 2.65 and a beta of 0.67. The stock has a 50-day moving average price of $187.07 and a 200 day moving average price of $172.32.

ResMed (NYSE:RMD) last released its quarterly earnings results on Thursday, April 25th. The medical equipment provider reported $2.13 EPS for the quarter, beating the consensus estimate of $1.91 by $0.22. The firm had revenue of $1.20 billion for the quarter, compared to analyst estimates of $1.17 billion. ResMed had a net margin of 20.91% and a return on equity of 24.43%. The business’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.68 EPS. As a group, equities research analysts expect that ResMed Inc. will post 7.52 earnings per share for the current year.

ResMed Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 13th. Shareholders of record on Thursday, May 9th will be given a dividend of $0.48 per share. The ex-dividend date is Wednesday, May 8th. This represents a $1.92 annualized dividend and a yield of 0.90%. ResMed’s payout ratio is currently 29.49%.

About ResMed

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. It 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 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, and cloud-based software informatics solutions to manage patient outcomes, as well as provides customer and business processes.