Alberta Investment Management Corp Boosts Holdings in ResMed Inc. (NYSE:RMD)

Key Points

• Alberta Investment Management Corp increased its stake in ResMed Inc. by 86.5% in Q1, purchasing an additional 9,000 shares, bringing its total holdings to 19,400 shares valued at $4,343,000.
• Various hedge funds significantly boosted their positions in ResMed, with notable increases from GAMMA Investing LLC (23,982.6%) and OVERSEA CHINESE BANKING Corp Ltd (1,168.5%) during the same period.
• ResMed recently raised its quarterly dividend from $0.53 to $0.60 per share, representing a $2.40 annualized dividend with a yield of 0.9% for investors of record on August 14th.

Alberta Investment Management Corp grew its holdings in shares of ResMed Inc. (NYSE:RMD - Free Report) by 86.5% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 19,400 shares of the medical equipment provider's stock after purchasing an additional 9,000 shares during the period. Alberta Investment Management Corp's holdings in ResMed were worth $4,343,000 as of its most recent SEC filing.

Several other large investors also recently bought and sold shares of RMD. Invesco Ltd. increased its stake in ResMed by 32.2% in the fourth quarter. Invesco Ltd. now owns 2,325,009 shares of the medical equipment provider's stock valued at $531,706,000 after purchasing an additional 566,046 shares during the last quarter. Northern Trust Corp increased its stake in shares of ResMed by 20.6% in the fourth quarter. Northern Trust Corp now owns 1,702,590 shares of the medical equipment provider's stock worth $389,365,000 after buying an additional 290,664 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of ResMed by 28.6% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 954,612 shares of the medical equipment provider's stock worth $218,310,000 after purchasing an additional 212,201 shares during the last quarter. Los Angeles Capital Management LLC grew its position in shares of ResMed by 15.6% in the 1st quarter. Los Angeles Capital Management LLC now owns 773,159 shares of the medical equipment provider's stock worth $173,072,000 after acquiring an additional 104,251 shares in the last quarter. Finally, Dimensional Fund Advisors LP raised its holdings in shares of ResMed by 9.8% during the fourth quarter. Dimensional Fund Advisors LP now owns 742,412 shares of the medical equipment provider's stock worth $169,789,000 after purchasing an additional 65,999 shares during the period. Hedge funds and other institutional investors own 54.98% of the company's stock.

ResMed Trading Down 2.3%

Shares of NYSE RMD traded down $6.72 during midday trading on Tuesday, hitting $284.72. The company's stock had a trading volume of 1,624,388 shares, compared to its average volume of 1,070,886. The firm has a market cap of $41.75 billion, a P/E ratio of 29.94, a price-to-earnings-growth ratio of 1.96 and a beta of 0.77. ResMed Inc. has a 12-month low of $199.92 and a 12-month high of $293.08. The company has a current ratio of 3.44, a quick ratio of 2.53 and a debt-to-equity ratio of 0.11. The business's 50 day moving average is $257.55 and its two-hundred day moving average is $240.75.

ResMed (NYSE:RMD - Get Free Report) last issued its quarterly earnings data on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.47 by $0.08. ResMed had a net margin of 27.22% and a return on equity of 25.62%. The firm had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.33 billion. During the same quarter in the previous year, the firm earned $2.08 EPS. The company's quarterly revenue was up 10.2% compared to the same quarter last year. As a group, equities research analysts expect that ResMed Inc. will post 9.47 EPS for the current year.

ResMed Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 18th. Shareholders of record on Thursday, August 14th will be paid a dividend of $0.60 per share. This is a boost from ResMed's previous quarterly dividend of $0.53. The ex-dividend date of this dividend is Wednesday, August 13th. This represents a $2.40 annualized dividend and a yield of 0.8%. ResMed's dividend payout ratio is presently 22.29%.

Insiders Place Their Bets

In related news, Director Peter C. Farrell sold 945 shares of ResMed stock in a transaction on Wednesday, July 2nd. The stock was sold at an average price of $255.49, for a total value of $241,438.05. Following the completion of the transaction, the director directly owned 68,273 shares in the company, valued at approximately $17,443,068.77. This trade represents a 1.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Michael J. Farrell sold 8,009 shares of ResMed stock in a transaction dated Monday, July 7th. The stock was sold at an average price of $256.72, for a total value of $2,056,070.48. Following the sale, the chief executive officer directly owned 455,503 shares of the company's stock, valued at $116,936,730.16. This trade represents a 1.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 29,063 shares of company stock valued at $7,253,008 in the last 90 days. 0.71% of the stock is owned by insiders.

Analysts Set New Price Targets

Several equities research analysts recently commented on the stock. JPMorgan Chase & Co. upped their price target on shares of ResMed from $286.00 to $290.00 and gave the company an "overweight" rating in a research report on Thursday, April 24th. Wall Street Zen raised ResMed from a "hold" rating to a "buy" rating in a report on Saturday. UBS Group boosted their price objective on ResMed from $285.00 to $325.00 and gave the stock a "buy" rating in a research report on Friday. William Blair upgraded shares of ResMed to a "strong-buy" rating in a report on Friday. Finally, KeyCorp boosted their price target on shares of ResMed from $274.00 to $298.00 and gave the company an "overweight" rating in a report on Friday. One analyst has rated the stock with a sell rating, three have assigned a hold rating, eleven have given a buy rating and two have issued a strong buy rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $274.83.

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.