Fred Alger Management LLC Makes New $1.38 Million Investment in ResMed Inc. (NYSE:RMD)

Fred Alger Management LLC bought a new position in ResMed Inc. (NYSE:RMD) in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund bought 5,659 shares of the medical equipment provider’s stock, valued at approximately $1,381,000.

Other large investors have also modified their holdings of the company. Janus Henderson Group PLC lifted its stake in ResMed by 4.8% during the first quarter. Janus Henderson Group PLC now owns 19,516 shares of the medical equipment provider’s stock worth $3,865,000 after purchasing an additional 902 shares during the last quarter. Cetera Advisors LLC acquired a new stake in ResMed during the first quarter worth about $257,000. GAMMA Investing LLC lifted its holdings in ResMed by 56.1% in the second quarter. GAMMA Investing LLC now owns 1,324 shares of the medical equipment provider’s stock worth $253,000 after acquiring an additional 476 shares during the last quarter. DNB Asset Management AS boosted its stake in ResMed by 4.1% in the second quarter. DNB Asset Management AS now owns 24,049 shares of the medical equipment provider’s stock valued at $4,603,000 after acquiring an additional 938 shares during the period. Finally, Versant Capital Management Inc grew its holdings in shares of ResMed by 196.7% during the second quarter. Versant Capital Management Inc now owns 181 shares of the medical equipment provider’s stock valued at $35,000 after purchasing an additional 120 shares during the last quarter. Institutional investors own 54.98% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research analysts recently issued reports on RMD shares. Wolfe Research restated an “underperform” rating and set a $180.00 price objective on shares of ResMed in a research report on Wednesday, September 18th. Bank of America boosted their price target on shares of ResMed from $240.00 to $270.00 and gave the company a “buy” rating in a report on Thursday, September 26th. KeyCorp increased their price objective on shares of ResMed from $251.00 to $266.00 and gave the stock an “overweight” rating in a report on Friday, October 25th. Royal Bank of Canada upped their target price on shares of ResMed from $224.00 to $232.00 and gave the stock a “sector perform” rating in a research report on Friday, October 25th. Finally, Needham & Company LLC reaffirmed a “hold” rating on shares of ResMed in a report on Friday, October 25th. One research analyst has rated the stock with a sell rating, five have given a hold rating, six have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $225.70.

ResMed Stock Performance

RMD opened at $249.02 on Monday. ResMed Inc. has a 1-year low of $156.39 and a 1-year high of $260.49. The company has a market capitalization of $36.56 billion, a price-to-earnings ratio of 32.98, a price-to-earnings-growth ratio of 1.81 and a beta of 0.69. The business has a 50 day moving average price of $242.24 and a two-hundred day moving average price of $225.70. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.92 and a quick ratio of 1.91.

ResMed (NYSE:RMD) last announced its earnings results on Thursday, October 24th. The medical equipment provider reported $2.20 earnings per share for the quarter, beating the consensus estimate of $2.03 by $0.17. ResMed had a return on equity of 25.53% and a net margin of 23.15%. The business had revenue of $1.22 billion during the quarter, compared to analysts’ expectations of $1.19 billion. During the same quarter last year, the business posted $1.64 earnings per share. The company’s quarterly revenue was up 11.1% on a year-over-year basis. Research analysts predict that ResMed Inc. will post 9.28 EPS for the current fiscal year.

ResMed Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Investors of record on Thursday, November 7th will be paid a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a yield of 0.85%. The ex-dividend date of this dividend is Thursday, November 7th. ResMed’s dividend payout ratio is presently 28.08%.

Insider Buying and Selling

In related news, insider Kaushik Ghoshal sold 5,000 shares of the stock in a transaction on Thursday, September 12th. The stock was sold at an average price of $252.56, for a total value of $1,262,800.00. Following the completion of the transaction, the insider now owns 21,788 shares in the company, valued at $5,502,777.28. This trade represents a 18.67 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Peter C. Farrell sold 2,000 shares of the business’s stock in a transaction dated Wednesday, September 4th. The stock was sold at an average price of $239.90, for a total value of $479,800.00. Following the sale, the director now owns 87,204 shares in the company, valued at approximately $20,920,239.60. The trade was a 2.24 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 68,334 shares of company stock worth $16,379,713. Corporate insiders own 0.71% of the company’s stock.

ResMed Profile

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.