StockNews.com Upgrades ResMed (NYSE:RMD) to Buy

StockNews.com upgraded shares of ResMed (NYSE:RMD - Free Report) from a hold rating to a buy rating in a research report report published on Tuesday.

A number of other brokerages have also recently issued reports on RMD. The Goldman Sachs Group started coverage on shares of ResMed in a research note on Thursday, January 16th. They issued a "buy" rating for the company. KeyCorp increased their target price on ResMed from $266.00 to $280.00 and gave the company an "overweight" rating in a research report on Friday, January 31st. Morgan Stanley initiated coverage on ResMed in a research note on Wednesday, March 19th. They set an "overweight" rating and a $280.00 price objective on the stock. JPMorgan Chase & Co. raised their price objective on ResMed from $270.00 to $286.00 and gave the company an "overweight" rating in a research note on Friday, January 31st. Finally, UBS Group raised ResMed from a "hold" rating to a "strong-buy" rating in a research report on Friday, January 31st. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating, eight have assigned a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat, ResMed currently has a consensus rating of "Moderate Buy" and an average price target of $251.00.

ResMed Stock Performance

Shares of RMD traded up $1.40 during trading hours on Tuesday, hitting $212.89. The stock had a trading volume of 1,109,562 shares, compared to its average volume of 1,024,057. ResMed has a 12 month low of $176.92 and a 12 month high of $263.05. The stock has a fifty day moving average price of $223.12 and a 200 day moving average price of $234.52. The company has a debt-to-equity ratio of 0.13, a current ratio of 3.33 and a quick ratio of 2.29. The firm has a market capitalization of $31.27 billion, a PE ratio of 25.13, a PEG ratio of 1.53 and a beta of 0.75.

ResMed (NYSE:RMD - Get Free Report) last issued its quarterly earnings data on Thursday, January 30th. The medical equipment provider reported $2.43 earnings per share for the quarter, topping the consensus estimate of $2.29 by $0.14. ResMed had a net margin of 25.34% and a return on equity of 26.17%. Analysts anticipate that ResMed will post 9.47 EPS for the current year.

ResMed Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 20th. Shareholders of record on Thursday, February 13th were given a $0.53 dividend. The ex-dividend date of this dividend was Thursday, February 13th. This represents a $2.12 annualized dividend and a yield of 1.00%. ResMed's dividend payout ratio (DPR) is 25.03%.

Insider Transactions at ResMed

In other ResMed news, Director Peter C. Farrell sold 2,000 shares of the company's stock in a transaction on Wednesday, April 2nd. The stock was sold at an average price of $219.74, for a total value of $439,480.00. Following the completion of the sale, the director now directly owns 73,218 shares in the company, valued at approximately $16,088,923.32. This represents a 2.66 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Michael J. Farrell sold 8,009 shares of the firm's stock in a transaction on Monday, April 7th. The shares were sold at an average price of $209.85, for a total value of $1,680,688.65. Following the transaction, the chief executive officer now owns 455,472 shares in the company, valued at approximately $95,580,799.20. This represents a 1.73 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 49,013 shares of company stock valued at $11,298,816. 0.71% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in RMD. MML Investors Services LLC boosted its stake in shares of ResMed by 3.1% during the third quarter. MML Investors Services LLC now owns 8,697 shares of the medical equipment provider's stock valued at $2,123,000 after purchasing an additional 260 shares in the last quarter. SkyView Investment Advisors LLC increased its holdings in shares of ResMed by 2.0% in the 3rd quarter. SkyView Investment Advisors LLC now owns 2,610 shares of the medical equipment provider's stock valued at $637,000 after acquiring an additional 51 shares during the period. Sanctuary Advisors LLC raised its position in shares of ResMed by 19.7% in the 3rd quarter. Sanctuary Advisors LLC now owns 7,265 shares of the medical equipment provider's stock worth $1,771,000 after acquiring an additional 1,197 shares in the last quarter. World Investment Advisors LLC purchased a new stake in shares of ResMed during the 3rd quarter worth $541,000. Finally, Wilmington Savings Fund Society FSB bought a new stake in ResMed during the third quarter valued at about $193,000. 54.98% of the stock is currently owned by institutional investors.

About ResMed

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. The company 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 ApneaLink Air, a portable diagnostic device that measures oximetry, respiratory effort, pulse, nasal flow, and snoring; and NightOwl, a portable, cloud-connected, and disposable diagnostic device that measures AHI based on derived peripheral arterial tone, actigraphy, and oximetry over several nights.