ResMed (NYSE:RMD) Sets New 52-Week High Following Better-Than-Expected Earnings

ResMed Inc. (NYSE:RMD)’s stock price reached a new 52-week high during mid-day trading on Thursday following a better than expected earnings announcement. The stock traded as high as $263.05 and last traded at $260.50, with a volume of 119975 shares traded. The stock had previously closed at $252.86.

The medical equipment provider reported $2.43 EPS for the quarter, topping the consensus estimate of $2.29 by $0.14. ResMed had a net margin of 23.15% and a return on equity of 25.53%.

ResMed Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, March 20th. Investors of record on Thursday, February 13th will be paid a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a yield of 0.90%. The ex-dividend date is Thursday, February 13th. ResMed’s dividend payout ratio is presently 28.08%.

Analyst Ratings Changes

Several research analysts have issued reports on the company. KeyCorp upped their price target on ResMed from $266.00 to $280.00 and gave the company an “overweight” rating in a report on Friday. Needham & Company LLC reaffirmed a “hold” rating on shares of ResMed in a report on Friday. Stifel Nicolaus started coverage on ResMed in a research note on Friday, December 13th. They issued a “hold” rating and a $250.00 price target on the stock. The Goldman Sachs Group began coverage on shares of ResMed in a research note on Thursday, January 16th. They set a “buy” rating for the company. Finally, StockNews.com raised shares of ResMed from a “hold” rating to a “buy” rating in a research report on Tuesday, October 15th. One equities research analyst has rated the stock with a sell rating, six have given a hold rating, seven have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $244.73.

Insider Activity

In other ResMed news, Director Witte Jan De sold 796 shares of ResMed stock in a transaction that occurred on Tuesday, November 12th. The shares were sold at an average price of $248.81, for a total value of $198,052.76. Following the completion of the sale, the director now directly owns 6,723 shares in the company, valued at $1,672,749.63. The trade was a 10.59 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Peter C. Farrell sold 2,000 shares of the business’s stock in a transaction that occurred on Wednesday, December 4th. The stock was sold at an average price of $245.65, for a total transaction of $491,300.00. Following the completion of the sale, the director now directly owns 81,218 shares of the company’s stock, valued at $19,951,201.70. This represents a 2.40 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 11,030 shares of company stock worth $2,702,687 in the last ninety days. Corporate insiders own 0.71% of the company’s stock.

Institutional Investors Weigh In On ResMed

Institutional investors and hedge funds have recently modified their holdings of the business. True Wealth Design LLC increased its position in ResMed by 2,200.0% during the third quarter. True Wealth Design LLC now owns 115 shares of the medical equipment provider’s stock worth $28,000 after buying an additional 110 shares during the last quarter. Ashton Thomas Securities LLC bought a new stake in shares of ResMed during the 3rd quarter worth about $34,000. Rosenberg Matthew Hamilton acquired a new position in shares of ResMed during the 4th quarter valued at about $54,000. Capital Performance Advisors LLP acquired a new position in shares of ResMed during the 3rd quarter valued at about $60,000. Finally, Quarry LP raised its stake in shares of ResMed by 271.9% in the 2nd quarter. Quarry LP now owns 331 shares of the medical equipment provider’s stock valued at $63,000 after acquiring an additional 242 shares in the last quarter. Institutional investors and hedge funds own 54.98% of the company’s stock.

ResMed Trading Down 8.1 %

The stock has a market capitalization of $34.74 billion, a price-to-earnings ratio of 31.35, a price-to-earnings-growth ratio of 1.83 and a beta of 0.70. The company has a current ratio of 2.92, a quick ratio of 1.91 and a debt-to-equity ratio of 0.13. The company has a fifty day moving average of $240.17 and a two-hundred day moving average of $236.21.

ResMed Company 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.