Park Avenue Securities LLC Invests $1.39 Million in ResMed Inc. $RMD

Key Points

• Park Avenue Securities LLC has invested approximately $1.39 million in ResMed Inc., acquiring 5,384 shares in the medical equipment provider during the 2nd quarter.
• ResMed's recent quarterly earnings surpassed analyst expectations, reporting earnings per share of $2.55 against an estimate of $2.47 and showing a 10.2% year-over-year revenue increase.
• The company recently increased its quarterly dividend to $0.60 per share, up from $0.53, representing an annualized yield of 0.9%.

Park Avenue Securities LLC bought a new position in ResMed Inc. (NYSE:RMD - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor bought 5,384 shares of the medical equipment provider's stock, valued at approximately $1,389,000.

Several other institutional investors and hedge funds have also added to or reduced their stakes in RMD. Global X Japan Co. Ltd. lifted its position in ResMed by 121.4% during the 1st quarter. Global X Japan Co. Ltd. now owns 124 shares of the medical equipment provider's stock worth $28,000 after buying an additional 68 shares in the last quarter. Golden State Wealth Management LLC lifted its position in ResMed by 384.8% during the 1st quarter. Golden State Wealth Management LLC now owns 160 shares of the medical equipment provider's stock worth $36,000 after buying an additional 127 shares in the last quarter. Zions Bancorporation National Association UT acquired a new position in ResMed during the 1st quarter worth about $45,000. Groupe la Francaise acquired a new position in ResMed during the 1st quarter worth about $45,000. Finally, CVA Family Office LLC lifted its position in ResMed by 29.8% during the 1st quarter. CVA Family Office LLC now owns 209 shares of the medical equipment provider's stock valued at $47,000 after purchasing an additional 48 shares during the period. Institutional investors and hedge funds own 54.98% of the company's stock.

Analyst Ratings Changes

A number of research analysts have issued reports on the stock. Stifel Nicolaus upped their target price on shares of ResMed from $240.00 to $270.00 and gave the company a "hold" rating in a research report on Friday, August 1st. Citigroup assumed coverage on shares of ResMed in a research report on Thursday, September 18th. They set a "buy" rating and a $330.00 target price on the stock. UBS Group upgraded shares of ResMed to a "strong-buy" rating in a research report on Tuesday, September 16th. Royal Bank Of Canada upped their target price on shares of ResMed from $294.00 to $300.00 and gave the company an "outperform" rating in a research report on Friday, August 1st. Finally, KeyCorp upped their target price on shares of ResMed from $274.00 to $298.00 and gave the company an "overweight" rating in a research report on Friday, August 1st. Two equities research analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $294.20.

Insider Buying and Selling

In related news, Director John Hernandez sold 2,575 shares of the stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $287.10, for a total transaction of $739,282.50. Following the completion of the sale, the director directly owned 4,045 shares of the company's stock, valued at approximately $1,161,319.50. This represents a 38.90% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Peter C. Farrell sold 945 shares of the stock in a transaction that occurred 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 sale, the director directly owned 68,273 shares of the company's stock, valued at approximately $17,443,068.77. The trade was a 1.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. In 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 corporate insiders.

ResMed Stock Performance

Shares of NYSE:RMD opened at $267.62 on Friday. The company has a market capitalization of $39.18 billion, a price-to-earnings ratio of 28.14, a P/E/G ratio of 1.84 and a beta of 0.85. The firm's 50 day simple moving average is $277.50 and its 200 day simple moving average is $251.34. The company has a debt-to-equity ratio of 0.11, a current ratio of 3.44 and a quick ratio of 2.53. 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 announced its quarterly earnings results on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share for the quarter, beating 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 business had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.33 billion. During the same period last year, the company posted $2.08 EPS. ResMed's revenue for the quarter was up 10.2% on a year-over-year basis. As a group, sell-side analysts forecast that ResMed Inc. will post 9.47 earnings per share for the current year.

ResMed Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 18th. Investors of record on Thursday, August 14th were paid a dividend of $0.60 per share. This represents a $2.40 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date of this dividend was Thursday, August 14th. This is a positive change from ResMed's previous quarterly dividend of $0.53. ResMed's dividend payout ratio (DPR) is currently 25.24%.

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.

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