Zacks Investment Research downgraded shares of ResMed (NYSE:RMD) from a buy rating to a hold rating in a research report report published on Thursday.
According to Zacks, “Over the past three months, ResMed has outperformed its industry. We are encouraged to note that ResMed is working on product innovation through extensive research and development. Among the recent developments, the company recently informed about its first self-branded portable oxygen concentrator Mobi, subject to a fiscal third-quarter launch. It has also introduced AirMini, the world's smallest PAP device. Moreover, the company achieved solid double-digit global revenue growth in the last reported quarter, led by sales from Software-as-a-Service business as well as mask products and devices. Yet, challenges like competitive bidding and reimbursement issues continue to plague ResMed. The company also remains exposed to foreign exchange fluctuations. Rising costs and a weak gross margin are other concerns.”
RMD has been the subject of a number of other reports. Needham & Company LLC raised shares of ResMed from an underperform rating to a hold rating in a research note on Tuesday, January 23rd. ValuEngine raised shares of ResMed from a hold rating to a buy rating in a research note on Thursday, March 1st. Macquarie lowered shares of ResMed from a neutral rating to a sell rating in a research note on Tuesday, January 23rd. BMO Capital Markets upped their price target on shares of ResMed to $82.00 and gave the stock a market perform rating in a research note on Tuesday, December 12th. Finally, Northland Securities raised shares of ResMed from an under perform rating to a market perform rating in a research note on Tuesday, January 23rd. Three analysts have rated the stock with a sell rating, six have assigned a hold rating and five have issued a buy rating to the company. The stock currently has an average rating of Hold and an average price target of $75.17.
ResMed (NYSE:RMD) last posted its earnings results on Monday, January 22nd. The medical equipment provider reported $1.00 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.78 by $0.22. The firm had revenue of $601.27 million during the quarter, compared to analyst estimates of $583.77 million. ResMed had a net margin of 12.98% and a return on equity of 22.75%. ResMed’s revenue was up 13.4% on a year-over-year basis. During the same period in the previous year, the business posted $0.73 EPS. research analysts anticipate that ResMed will post 3.34 EPS for the current year.
The business also recently declared a quarterly dividend, which will be paid on Thursday, March 15th. Stockholders of record on Thursday, February 8th will be paid a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a dividend yield of 1.40%. The ex-dividend date is Wednesday, February 7th. ResMed’s dividend payout ratio is currently 48.78%.
In other news, CFO Brett Sandercock sold 1,250 shares of the company’s stock in a transaction that occurred on Tuesday, January 2nd. The shares were sold at an average price of $84.99, for a total value of $106,237.50. Following the completion of the sale, the chief financial officer now directly owns 78,322 shares of the company’s stock, valued at approximately $6,656,586.78. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director John P. Wareham sold 25,934 shares of the company’s stock in a transaction that occurred on Friday, January 26th. The stock was sold at an average price of $102.25, for a total transaction of $2,651,751.50. Following the completion of the sale, the director now directly owns 38,934 shares of the company’s stock, valued at $3,981,001.50. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 44,139 shares of company stock valued at $4,398,906. Company insiders own 1.77% of the company’s stock.
Large investors have recently modified their holdings of the company. Renaissance Technologies LLC raised its holdings in shares of ResMed by 507.0% in the 4th quarter. Renaissance Technologies LLC now owns 282,234 shares of the medical equipment provider’s stock worth $23,980,000 after purchasing an additional 235,734 shares in the last quarter. Guggenheim Capital LLC raised its holdings in shares of ResMed by 46.4% in the 4th quarter. Guggenheim Capital LLC now owns 722,480 shares of the medical equipment provider’s stock worth $61,184,000 after purchasing an additional 229,030 shares in the last quarter. Schwab Charles Investment Management Inc. raised its holdings in shares of ResMed by 47.9% in the 3rd quarter. Schwab Charles Investment Management Inc. now owns 660,980 shares of the medical equipment provider’s stock worth $50,870,000 after purchasing an additional 214,122 shares in the last quarter. Chevy Chase Trust Holdings Inc. bought a new stake in shares of ResMed in the 3rd quarter worth approximately $9,562,000. Finally, Macquarie Group Ltd. raised its holdings in shares of ResMed by 216.1% in the 4th quarter. Macquarie Group Ltd. now owns 180,323 shares of the medical equipment provider’s stock worth $15,272,000 after purchasing an additional 123,279 shares in the last quarter. 61.61% of the stock is owned by institutional investors.
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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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