ResMed (NYSE:RMD) Shares Gap Down to $250.88

ResMed Inc. (NYSE:RMD)’s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $250.88, but opened at $233.63. ResMed shares last traded at $234.50, with a volume of 90,308 shares traded.

Wall Street Analyst Weigh In

RMD has been the subject of several research reports. Wolfe Research restated an “underperform” rating and issued a $180.00 price target on shares of ResMed in a research note on Wednesday. Royal Bank of Canada boosted their price target on shares of ResMed from $204.00 to $206.00 and gave the stock a “sector perform” rating in a research note on Friday, August 2nd. Citigroup downgraded shares of ResMed from a “buy” rating to a “neutral” rating in a research note on Monday, June 24th. StockNews.com downgraded shares of ResMed from a “buy” rating to a “hold” rating in a research note on Friday, August 30th. Finally, Needham & Company LLC reaffirmed a “hold” rating on shares of ResMed in a research report on Wednesday. One equities research analyst has rated the stock with a sell rating, six have given a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat, ResMed currently has an average rating of “Hold” and an average price target of $199.70.

ResMed Stock Up 2.1 %

The company has a quick ratio of 1.69, a current ratio of 2.59 and a debt-to-equity ratio of 0.14. The firm has a market cap of $35.70 billion, a PE ratio of 37.32, a P/E/G ratio of 2.50 and a beta of 0.69. The firm’s 50 day moving average is $226.11 and its 200-day moving average is $208.77.

ResMed (NYSE:RMD) last announced its quarterly earnings data on Thursday, August 1st. The medical equipment provider reported $2.08 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.03 by $0.05. The business had revenue of $1.20 billion for the quarter, compared to the consensus estimate of $1.22 billion. ResMed had a net margin of 21.79% and a return on equity of 25.00%. The company’s quarterly revenue was up 6.9% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.60 earnings per share. As a group, equities research analysts expect that ResMed Inc. will post 8.92 earnings per share for the current fiscal year.

ResMed Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 19th. Stockholders of record on Thursday, August 15th were given a $0.53 dividend. The ex-dividend date was Thursday, August 15th. This represents a $2.12 annualized dividend and a dividend yield of 0.87%. This is a positive change from ResMed’s previous quarterly dividend of $0.48. ResMed’s dividend payout ratio is presently 32.57%.

Insider Transactions at ResMed

In other news, insider Justin Leong sold 48,000 shares of the stock in a transaction on Monday, August 5th. The shares were sold at an average price of $217.07, for a total value of $10,419,360.00. Following the completion of the sale, the insider now owns 18,741 shares of the company’s stock, valued at $4,068,108.87. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. In related news, insider Justin Leong sold 48,000 shares of the firm’s stock in a transaction on Monday, August 5th. The shares were sold at an average price of $217.07, for a total transaction of $10,419,360.00. Following the completion of the sale, the insider now directly owns 18,741 shares of the company’s stock, valued at approximately $4,068,108.87. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Brett Sandercock sold 1,000 shares of the stock in a transaction on Monday, July 8th. The shares were sold at an average price of $194.35, for a total transaction of $194,350.00. Following the transaction, the chief financial officer now owns 90,056 shares in the company, valued at $17,502,383.60. The disclosure for this sale can be found here. Insiders sold 102,931 shares of company stock valued at $22,644,807 over the last 90 days. Corporate insiders own 1.21% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Principal Securities Inc. bought a new stake in ResMed in the 4th quarter valued at about $49,000. Dimensional Fund Advisors LP lifted its position in ResMed by 8.2% in the 4th quarter. Dimensional Fund Advisors LP now owns 536,459 shares of the medical equipment provider’s stock valued at $92,285,000 after purchasing an additional 40,605 shares during the last quarter. Brown Advisory Inc. bought a new stake in ResMed in the 4th quarter valued at about $200,000. BI Asset Management Fondsmaeglerselskab A S increased its stake in ResMed by 27.6% during the 4th quarter. BI Asset Management Fondsmaeglerselskab A S now owns 2,009 shares of the medical equipment provider’s stock valued at $346,000 after buying an additional 435 shares during the period. Finally, Coldstream Capital Management Inc. increased its stake in ResMed by 28.6% during the 4th quarter. Coldstream Capital Management Inc. now owns 2,677 shares of the medical equipment provider’s stock valued at $460,000 after buying an additional 595 shares during the period. 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. It 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 technologies to be applied in medical and consumer products, ventilation devices, diagnostic products, mask systems for use in the hospital and home, headgear and other accessories, dental devices, and cloud-based software informatics solutions to manage patient outcomes, as well as provides customer and business processes.