Danske Bank A S Makes New Investment in ResMed Inc. $RMD

Key Points

• Danske Bank initiated a ResMed position by purchasing 88,341 shares worth approximately $17.2 million, while institutional investors collectively owned 54.98% of the company.
• ResMed exceeded quarterly earnings expectations, reporting $2.95 in EPS versus $2.89 expected, with revenue of $1.46 billion and 8.6% year-over-year growth.
• Analysts maintain a consensus “Hold” rating with a $239.38 price target, despite several recent target reductions. ResMed also raised its quarterly dividend from $0.60 to $0.66 per share.

Danske Bank A S bought a new position in shares of ResMed Inc. (NYSE:RMD - Free Report) in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The firm bought 88,341 shares of the medical equipment provider's stock, valued at approximately $17,216,000. Danske Bank A S owned 0.06% of ResMed at the end of the most recent reporting period.

Several other institutional investors have also bought and sold shares of the stock. BlackRock Inc. acquired a new stake in shares of ResMed in the 2nd quarter valued at $2,400,375,000. State Street Corp increased its position in shares of ResMed by 1.2% during the 4th quarter. State Street Corp now owns 6,625,408 shares of the medical equipment provider's stock worth $1,595,862,000 after purchasing an additional 76,244 shares in the last quarter. Bank of New York Mellon Corp increased its position in shares of ResMed by 0.7% during the 1st quarter. Bank of New York Mellon Corp now owns 4,925,386 shares of the medical equipment provider's stock worth $1,105,651,000 after purchasing an additional 34,732 shares in the last quarter. Geode Capital Management LLC lifted its holdings in ResMed by 1.2% during the 4th quarter. Geode Capital Management LLC now owns 4,302,906 shares of the medical equipment provider's stock valued at $1,032,877,000 after purchasing an additional 51,218 shares during the last quarter. Finally, Morgan Stanley boosted its position in ResMed by 25.0% in the fourth quarter. Morgan Stanley now owns 2,891,697 shares of the medical equipment provider's stock valued at $696,523,000 after buying an additional 578,559 shares in the last quarter. Institutional investors and hedge funds own 54.98% of the company's stock.

Insider Activity

In other ResMed news, CEO Michael J. Farrell sold 4,991 shares of the company's stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $205.69, for a total transaction of $1,026,598.79. Following the transaction, the chief executive officer directly owned 466,256 shares in the company, valued at approximately $95,904,196.64. This represents a 1.06% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Peter C. Farrell sold 8,000 shares of the firm's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $225.00, for a total transaction of $1,800,000.00. Following the completion of the transaction, the director directly owned 52,773 shares in the company, valued at $11,873,925. This trade represents a 13.16% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 22,973 shares of company stock worth $4,885,436. 0.65% of the stock is owned by company insiders.

Analysts Set New Price Targets

RMD has been the topic of several research analyst reports. Wells Fargo & Company decreased their price objective on shares of ResMed from $225.00 to $215.00 and set an "equal weight" rating on the stock in a research note on Friday, August 7th. Piper Sandler cut their target price on shares of ResMed from $233.00 to $225.00 and set a "neutral" rating for the company in a research note on Friday, August 7th. Citigroup reissued a "neutral" rating and issued a $235.00 target price (down from $270.00) on shares of ResMed in a report on Sunday, July 12th. Weiss Ratings upgraded ResMed from a "hold (c-)" rating to a "hold (c)" rating in a research report on Tuesday, August 11th. Finally, The Goldman Sachs Group reaffirmed a "buy" rating on shares of ResMed in a report on Wednesday, July 1st. Seven analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $239.38.

ResMed Stock Performance

RMD stock opened at $228.81 on Friday. The company has a debt-to-equity ratio of 0.06, a current ratio of 3.10 and a quick ratio of 2.42. The company has a 50 day moving average price of $206.48 and a 200 day moving average price of $219.98. ResMed Inc. has a fifty-two week low of $180.26 and a fifty-two week high of $293.81. The stock has a market capitalization of $33.01 billion, a PE ratio of 21.94, a price-to-earnings-growth ratio of 1.45 and a beta of 0.76.

ResMed (NYSE:RMD - Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The medical equipment provider reported $2.95 EPS for the quarter, beating analysts' consensus estimates of $2.89 by $0.06. The firm had revenue of $1.46 billion for the quarter, compared to analyst estimates of $1.46 billion. ResMed had a return on equity of 25.58% and a net margin of 26.94%.The business's quarterly revenue was up 8.6% compared to the same quarter last year. During the same period last year, the company earned $2.55 EPS. Analysts forecast that ResMed Inc. will post 12.03 EPS for the current year.

ResMed Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, August 20th will be issued a $0.66 dividend. This is a positive change from ResMed's previous quarterly dividend of $0.60. This represents a $2.64 annualized dividend and a yield of 1.2%. The ex-dividend date is Thursday, August 20th. ResMed's dividend payout ratio (DPR) is 23.01%.

ResMed Company Profile

ResMed NYSE: RMD is a global medical device and cloud-connectivity company focused on improving outcomes for people with sleep-disordered breathing and chronic respiratory conditions. Founded in 1989, the company is headquartered in San Diego, California, and develops, manufactures and distributes a range of devices and software used by patients, clinicians and providers worldwide.

ResMed's product portfolio centers on noninvasive ventilation and sleep therapy equipment, including continuous positive airway pressure (CPAP) and bilevel devices, masks and related accessories for the treatment of obstructive sleep apnea and other respiratory disorders.

Want to see what other hedge funds are holding RMD? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for ResMed Inc. (NYSE:RMD - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source