ResMed (NYSE:RMD) Trading 4.4% Higher - Should You Buy?

ResMed Inc. (NYSE:RMD - Get Free Report) rose 4.4% on Monday . The company traded as high as $243.37 and last traded at $242.76. Approximately 611,825 shares were traded during trading, a decline of 37% from the average daily volume of 968,424 shares. The stock had previously closed at $232.44.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on RMD shares. JPMorgan Chase & Co. upped their target price on ResMed from $270.00 to $286.00 and gave the stock an "overweight" rating in a research note on Friday, January 31st. KeyCorp upped their price objective on ResMed from $266.00 to $280.00 and gave the stock an "overweight" rating in a research report on Friday, January 31st. Stifel Nicolaus cut their target price on shares of ResMed from $250.00 to $240.00 and set a "hold" rating for the company in a report on Wednesday, March 5th. Citigroup raised shares of ResMed from a "neutral" rating to a "buy" rating in a report on Wednesday, March 5th. Finally, Piper Sandler raised their price target on shares of ResMed from $252.00 to $260.00 and gave the company a "neutral" rating in a research report on Friday, January 31st. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating, seven have issued a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $243.82.

ResMed Trading Down 1.9 %

The company has a 50 day simple moving average of $236.80 and a 200 day simple moving average of $240.13. The company has a market capitalization of $32.52 billion, a PE ratio of 26.14, a price-to-earnings-growth ratio of 1.53 and a beta of 0.74. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.29 and a current ratio of 3.33.

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

ResMed Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, March 20th. Stockholders of record on Thursday, February 13th will be given a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.96%. The ex-dividend date is Thursday, February 13th. ResMed's dividend payout ratio (DPR) is 25.03%.

Insider Buying and Selling

In other ResMed news, Director Peter C. Farrell sold 2,000 shares of the business's stock in a transaction on Wednesday, February 5th. The stock was sold at an average price of $242.11, for a total transaction of $484,220.00. Following the transaction, the director now owns 77,218 shares of the company's stock, valued at approximately $18,695,249.98. The trade was a 2.52 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Kaushik Ghoshal sold 9,745 shares of the company's stock in a transaction on Monday, March 10th. The shares were sold at an average price of $239.31, for a total value of $2,332,075.95. Following the completion of the sale, the insider now owns 9,725 shares of the company's stock, valued at approximately $2,327,289.75. The trade was a 50.05 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 38,940 shares of company stock worth $9,164,385. 0.71% of the stock is owned by insiders.

Institutional Investors Weigh In On ResMed

A number of hedge funds have recently modified their holdings of RMD. Howard Capital Management Inc. raised its stake in ResMed by 5.3% during the fourth quarter. Howard Capital Management Inc. now owns 900 shares of the medical equipment provider's stock worth $206,000 after purchasing an additional 45 shares during the period. Ascent Group LLC increased its holdings in shares of ResMed by 1.7% during the 3rd quarter. Ascent Group LLC now owns 2,924 shares of the medical equipment provider's stock worth $714,000 after buying an additional 48 shares during the last quarter. SkyView Investment Advisors LLC raised its position in shares of ResMed by 2.0% during the 3rd quarter. SkyView Investment Advisors LLC now owns 2,610 shares of the medical equipment provider's stock valued at $637,000 after buying an additional 51 shares during the period. Wedmont Private Capital lifted its holdings in ResMed by 2.6% in the fourth quarter. Wedmont Private Capital now owns 2,032 shares of the medical equipment provider's stock valued at $475,000 after acquiring an additional 52 shares during the last quarter. Finally, Faithward Advisors LLC lifted its holdings in ResMed by 4.3% in the fourth quarter. Faithward Advisors LLC now owns 1,279 shares of the medical equipment provider's stock valued at $292,000 after acquiring an additional 53 shares during the last quarter. Hedge funds and other institutional investors own 54.98% of the company's stock.

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.