Panagora Asset Management Inc. Boosts Stock Position in ResMed Inc. $RMD

Key Points

• Panagora Asset Management Inc. increased its stake in ResMed Inc. by 21.2% in Q1, bringing its total holdings to 6,598 shares valued at approximately $1.48 million.
• Several institutional investors significantly boosted their positions in ResMed, with GAMMA Investing LLC increasing its stake by 23,982.6% during the same period.
• ResMed declared a quarterly dividend of $0.60 per share, reflecting an increase from the previous $0.53, and the dividend will yield about 0.9% annually.

Panagora Asset Management Inc. raised its position in ResMed Inc. (NYSE:RMD - Free Report) by 21.2% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 6,598 shares of the medical equipment provider's stock after buying an additional 1,154 shares during the period. Panagora Asset Management Inc.'s holdings in ResMed were worth $1,477,000 as of its most recent filing with the SEC.

A number of other large investors also recently added to or reduced their stakes in RMD. Aptus Capital Advisors LLC purchased a new stake in ResMed during the fourth quarter valued at approximately $344,000. Ameriprise Financial Inc. increased its stake in shares of ResMed by 25.5% during the fourth quarter. Ameriprise Financial Inc. now owns 305,237 shares of the medical equipment provider's stock worth $69,801,000 after buying an additional 62,010 shares during the period. BNP Paribas Financial Markets lifted its holdings in shares of ResMed by 61.4% during the fourth quarter. BNP Paribas Financial Markets now owns 274,417 shares of the medical equipment provider's stock worth $62,756,000 after purchasing an additional 104,377 shares during the period. Brevan Howard Capital Management LP acquired a new position in shares of ResMed during the 4th quarter worth $1,538,000. Finally, BOKF NA grew its holdings in ResMed by 2.2% in the 4th quarter. BOKF NA now owns 20,941 shares of the medical equipment provider's stock valued at $4,896,000 after buying an additional 441 shares during the period. Hedge funds and other institutional investors own 54.98% of the company's stock.

ResMed Stock Performance

NYSE RMD traded up $1.11 on Monday, reaching $278.16. 394,050 shares of the company's stock traded hands, compared to its average volume of 1,001,366. The firm has a market cap of $40.72 billion, a price-to-earnings ratio of 29.25, a P/E/G ratio of 1.85 and a beta of 0.85. The stock has a 50 day moving average price of $272.54 and a 200-day moving average price of $247.50. The company has a debt-to-equity ratio of 0.11, a quick ratio of 2.53 and a current ratio of 3.44. ResMed Inc. has a fifty-two week low of $199.92 and a fifty-two week high of $293.81.

ResMed (NYSE:RMD - Get Free Report) last posted its earnings results on Thursday, July 31st. The medical equipment provider reported $2.55 EPS for the quarter, beating analysts' consensus estimates of $2.47 by $0.08. The firm had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.33 billion. ResMed had a net margin of 27.22% and a return on equity of 25.62%. The company's revenue was up 10.2% on a year-over-year basis. During the same period last year, the firm posted $2.08 EPS. Equities research analysts predict that ResMed Inc. will post 9.47 EPS for the current fiscal year.

ResMed Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 18th. Shareholders of record on Thursday, August 14th will be issued a dividend of $0.60 per share. This represents a $2.40 annualized dividend and a yield of 0.9%. This is a boost from ResMed's previous quarterly dividend of $0.53. The ex-dividend date is Thursday, August 14th. ResMed's dividend payout ratio is 25.24%.

Insider Activity

In other news, CEO Michael J. Farrell sold 8,009 shares of the company's stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $279.48, for a total transaction of $2,238,355.32. Following the sale, the chief executive officer owned 455,503 shares in the company, valued at $127,303,978.44. This represents a 1.73% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, Director John Hernandez sold 2,575 shares of the stock in a transaction on Monday, August 18th. The stock was sold at an average price of $287.10, for a total value of $739,282.50. Following the sale, the director directly owned 4,045 shares in the company, valued at approximately $1,161,319.50. This trade represents a 38.90% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 19,588 shares of company stock valued at $5,289,241. 0.71% of the stock is owned by company insiders.

Analysts Set New Price Targets

Several equities research analysts have recently commented on RMD shares. Stifel Nicolaus upped their target price on ResMed from $240.00 to $270.00 and gave the company a "hold" rating in a report on Friday, August 1st. Morgan Stanley set a $286.00 price target on ResMed and gave the company an "overweight" rating in a research report on Tuesday, May 20th. Wall Street Zen downgraded ResMed from a "buy" rating to a "hold" rating in a report on Sunday, August 10th. Mizuho increased their price objective on ResMed from $270.00 to $290.00 and gave the stock an "outperform" rating in a research note on Friday, August 1st. Finally, UBS Group raised their price target on ResMed from $285.00 to $325.00 and gave the stock a "buy" rating in a report on Friday, August 1st. Two analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $278.36.

About ResMed

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.