Diversify Advisory Services LLC Acquires New Position in ResMed Inc. $RMD

Diversify Advisory Services LLC acquired a new stake in ResMed Inc. (NYSE:RMD) in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor acquired 3,946 shares of the medical equipment provider’s stock, valued at approximately $801,000.

A number of other institutional investors have also bought and sold shares of RMD. BlackRock Inc. purchased a new stake in shares of ResMed in the second quarter valued at approximately $2,400,375,000. Bank of New York Mellon Corp acquired a new stake in shares of ResMed in the second quarter valued at approximately $818,030,000. Deutsche Bank AG purchased a new position in ResMed during the second quarter worth approximately $257,692,000. First Trust Advisors LP lifted its position in ResMed by 240.9% during the fourth quarter. First Trust Advisors LP now owns 1,517,592 shares of the medical equipment provider’s stock worth $365,542,000 after buying an additional 1,072,394 shares in the last quarter. Finally, Norges Bank acquired a new position in ResMed during the fourth quarter worth $249,068,000. 54.98% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at ResMed

In related news, Director Peter C. Farrell sold 8,000 shares of the business’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $225.00, for a total value of $1,800,000.00. Following the sale, the director directly owned 52,773 shares in the company, valued at approximately $11,873,925. The trade was a 13.16% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael J. Farrell sold 4,991 shares of the company’s stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $205.69, for a total transaction of $1,026,598.79. Following the completion of the transaction, the chief executive officer directly owned 466,256 shares in the company, valued at $95,904,196.64. The trade was a 1.06% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 22,973 shares of company stock valued at $4,885,436 over the last three months. Corporate insiders own 0.65% of the company’s stock.

ResMed Trading Down 0.8%

Shares of ResMed stock opened at $228.81 on Friday. The firm has a market capitalization of $33.01 billion, a price-to-earnings ratio of 21.94, a PEG ratio of 1.45 and a beta of 0.76. ResMed Inc. has a fifty-two week low of $180.26 and a fifty-two week high of $293.81. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.42 and a current ratio of 3.10. The stock has a 50 day moving average of $206.48 and a 200 day moving average of $219.98.

ResMed (NYSE:RMD) last posted its earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.89 by $0.06. ResMed had a return on equity of 25.58% and a net margin of 26.94%.The company had revenue of $1.46 billion during the quarter, compared to analysts’ expectations of $1.46 billion. During the same quarter last year, the firm earned $2.55 earnings per share. The firm’s quarterly revenue was up 8.6% compared to the same quarter last year. As a group, research analysts predict that ResMed Inc. will post 12.03 earnings per share for the current year.

ResMed Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, August 20th will be given a dividend of $0.66 per share. This represents a $2.64 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date of this dividend is Thursday, August 20th. This is a positive change from ResMed’s previous quarterly dividend of $0.60. ResMed’s dividend payout ratio is 23.01%.

Analyst Upgrades and Downgrades

Several analysts have issued reports on RMD shares. The Goldman Sachs Group restated a “buy” rating on shares of ResMed in a report on Wednesday, July 1st. Robert W. Baird set a $213.00 price target on ResMed in a report on Friday, August 7th. Morgan Stanley reissued an “equal weight” rating and set a $230.00 price target (down from $286.00) on shares of ResMed in a research report on Wednesday, June 17th. Rothschild & Co Redburn began coverage on shares of ResMed in a report on Wednesday. They issued a “neutral” rating and a $230.00 price objective for the company. Finally, Citigroup restated a “neutral” rating and set a $235.00 price objective (down from $270.00) on shares of ResMed in a research report on Sunday, July 12th. Seven equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $239.38.

ResMed Company Profile

ResMed (NYSE: RMD) is a global medical device and cloud-connectivity company focused on improving outcomes for people with sleep-disordered breathing and chronic respiratory conditions. Founded in 1989, the company is headquartered in San Diego, California, and develops, manufactures and distributes a range of devices and software used by patients, clinicians and providers worldwide.

ResMed’s product portfolio centers on noninvasive ventilation and sleep therapy equipment, including continuous positive airway pressure (CPAP) and bilevel devices, masks and related accessories for the treatment of obstructive sleep apnea and other respiratory disorders.