Life Cycle Investment Partners Ltd Invests $31.23 Million in ResMed Inc. $RMD

Key Points

• Life Cycle Investment Partners Ltd bought a new stake in ResMed during the fourth quarter, purchasing 129,653 shares worth about $31.23 million.
• ResMed’s latest quarterly results topped expectations, with EPS of $2.86 and revenue of $1.43 billion, while revenue rose 10.8% year over year.
• Analysts remain generally positive on the stock, with a Moderate Buy consensus and a target price of $286.18, even as shares traded lower around $208.04.

Life Cycle Investment Partners Ltd purchased a new position in ResMed Inc. (NYSE:RMD - Free Report) during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 129,653 shares of the medical equipment provider's stock, valued at approximately $31,230,000. Life Cycle Investment Partners Ltd owned about 0.09% of ResMed at the end of the most recent reporting period.

A number of other institutional investors have also recently made changes to their positions in the stock. Buckhead Capital Management LLC increased its holdings in shares of ResMed by 1.3% in the 4th quarter. Buckhead Capital Management LLC now owns 11,327 shares of the medical equipment provider's stock worth $2,728,000 after buying an additional 141 shares during the last quarter. MQS Management LLC purchased a new stake in shares of ResMed in the 4th quarter valued at $347,000. Cumberland Partners Ltd boosted its stake in shares of ResMed by 61.5% in the 4th quarter. Cumberland Partners Ltd now owns 21,000 shares of the medical equipment provider's stock valued at $5,058,000 after purchasing an additional 8,000 shares in the last quarter. Global Retirement Partners LLC boosted its stake in shares of ResMed by 66.0% in the 4th quarter. Global Retirement Partners LLC now owns 1,472 shares of the medical equipment provider's stock valued at $355,000 after purchasing an additional 585 shares in the last quarter. Finally, Mach 1 Financial Group LLC purchased a new stake in shares of ResMed in the 4th quarter valued at $580,000. Institutional investors own 54.98% of the company's stock.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on RMD shares. Stifel Nicolaus upped their price objective on shares of ResMed from $260.00 to $265.00 and gave the company a "hold" rating in a research note on Friday, January 30th. Wells Fargo & Company cut their price objective on shares of ResMed from $270.00 to $227.00 and set an "equal weight" rating for the company in a research note on Friday, May 1st. KeyCorp cut their price objective on shares of ResMed from $302.00 to $290.00 and set an "overweight" rating for the company in a research note on Monday, April 27th. Weiss Ratings cut shares of ResMed from a "hold (c+)" rating to a "hold (c)" rating in a research note on Friday. Finally, Royal Bank Of Canada upped their price objective on shares of ResMed from $314.00 to $321.00 and gave the company an "outperform" rating in a research note on Friday, May 1st. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $286.18.

ResMed Trading Down 0.5%

Shares of RMD opened at $208.04 on Friday. The stock has a market capitalization of $30.31 billion, a P/E ratio of 20.06, a PEG ratio of 1.33 and a beta of 0.84. The company has a quick ratio of 2.33, a current ratio of 3.01 and a debt-to-equity ratio of 0.06. The firm has a fifty day simple moving average of $219.73 and a two-hundred day simple moving average of $240.92. ResMed Inc. has a twelve month low of $198.61 and a twelve month high of $293.81.

ResMed (NYSE:RMD - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The medical equipment provider reported $2.86 earnings per share for the quarter, beating the consensus estimate of $2.79 by $0.07. The business had revenue of $1.43 billion during the quarter, compared to analysts' expectations of $1.42 billion. ResMed had a net margin of 27.44% and a return on equity of 25.35%. The firm's revenue for the quarter was up 10.8% compared to the same quarter last year. During the same quarter in the prior year, the company posted $2.37 EPS. On average, research analysts anticipate that ResMed Inc. will post 11.13 EPS for the current year.

ResMed Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 18th. Shareholders of record on Thursday, May 14th will be given a dividend of $0.60 per share. The ex-dividend date of this dividend is Thursday, May 14th. This represents a $2.40 annualized dividend and a yield of 1.2%. ResMed's dividend payout ratio is presently 23.14%.

Insider Buying and Selling at ResMed

In other ResMed news, Director Peter C. Farrell sold 2,000 shares of the stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $225.00, for a total transaction of $450,000.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Michael J. Farrell sold 4,991 shares of the stock in a transaction on Thursday, May 7th. The shares were sold at an average price of $207.82, for a total transaction of $1,037,229.62. Following the sale, the chief executive officer directly owned 466,223 shares of the company's stock, valued at $96,890,463.86. The trade was a 1.06% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 18,973 shares of company stock valued at $4,386,031 in the last three months. 0.65% of the stock is currently owned by corporate insiders.

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.

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