ResMed Inc. (NYSE:RMD) Shares Purchased by Avalon Trust Co

Key Points

• Avalon Trust Co increased its stake in ResMed Inc. by 1.8% in Q1, now owning 95,785 shares valued at approximately $21.4 million.
• ResMed recently announced a quarterly dividend increase, raising it from $0.53 to $0.60 per share, representing a yield of 0.9%.
• Analysts have upgraded ResMed's stock price targets, with Mizuho and Royal Bank of Canada setting their targets at $290 and $300, respectively, both indicating an "outperform" rating.

Avalon Trust Co boosted its position in ResMed Inc. (NYSE:RMD - Free Report) by 1.8% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 95,785 shares of the medical equipment provider's stock after buying an additional 1,685 shares during the quarter. ResMed accounts for approximately 1.7% of Avalon Trust Co's holdings, making the stock its 16th biggest holding. Avalon Trust Co owned about 0.07% of ResMed worth $21,441,000 at the end of the most recent quarter.

A number of other institutional investors have also recently added to or reduced their stakes in the company. GAMMA Investing LLC raised its stake in shares of ResMed by 23,982.6% in the 1st quarter. GAMMA Investing LLC now owns 733,556 shares of the medical equipment provider's stock valued at $164,207,000 after purchasing an additional 730,510 shares in the last quarter. Invesco Ltd. raised its stake in shares of ResMed by 32.2% in the 4th 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 in the last quarter. OVERSEA CHINESE BANKING Corp Ltd raised its stake in shares of ResMed by 1,168.5% in the 1st quarter. OVERSEA CHINESE BANKING Corp Ltd now owns 590,895 shares of the medical equipment provider's stock valued at $132,272,000 after purchasing an additional 544,311 shares in the last quarter. Captrust Financial Advisors raised its stake in shares of ResMed by 813.4% in the 4th quarter. Captrust Financial Advisors now owns 443,340 shares of the medical equipment provider's stock valued at $101,387,000 after purchasing an additional 394,803 shares in the last quarter. Finally, AQR Capital Management LLC raised its stake in shares of ResMed by 133.6% in the 4th quarter. AQR Capital Management LLC now owns 625,054 shares of the medical equipment provider's stock valued at $142,944,000 after purchasing an additional 357,466 shares in the last quarter. Institutional investors and hedge funds own 54.98% of the company's stock.

ResMed Price Performance

NYSE RMD opened at $278.78 on Friday. ResMed Inc. has a 52 week low of $199.92 and a 52 week high of $281.90. The company has a current ratio of 3.41, a quick ratio of 2.49 and a debt-to-equity ratio of 0.12. The stock has a market cap of $40.88 billion, a price-to-earnings ratio of 29.31, a price-to-earnings-growth ratio of 1.73 and a beta of 0.77. The company has a 50-day moving average price of $256.59 and a two-hundred day moving average price of $240.37.

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, topping the consensus estimate of $2.47 by $0.08. ResMed had a net margin of 27.22% and a return on equity of 26.39%. The firm had revenue of $1.35 billion during the quarter, compared to analysts' expectations of $1.33 billion. During the same quarter in the prior year, the firm earned $2.08 EPS. ResMed's quarterly revenue was up 10.2% on a year-over-year basis. Analysts forecast that ResMed Inc. will post 9.47 EPS for the current year.

ResMed Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 18th. Shareholders of record on Thursday, August 14th will be given a $0.60 dividend. This is a positive change from ResMed's previous quarterly dividend of $0.53. The ex-dividend date is Wednesday, August 13th. This represents a $2.40 annualized dividend and a yield of 0.9%. ResMed's payout ratio is currently 22.29%.

Analyst Upgrades and Downgrades

RMD has been the topic of several research reports. Mizuho increased their price objective on shares of ResMed from $270.00 to $290.00 and gave the stock an "outperform" rating in a research note on Friday. Royal Bank Of Canada increased their price objective on shares of ResMed from $294.00 to $300.00 and gave the stock an "outperform" rating in a research note on Friday. Stifel Nicolaus increased their price objective on shares of ResMed from $240.00 to $270.00 and gave the stock a "hold" rating in a research note on Friday. JPMorgan Chase & Co. increased their price objective on shares of ResMed from $286.00 to $290.00 and gave the stock an "overweight" rating in a research note on Thursday, April 24th. Finally, Morgan Stanley set a $286.00 price objective on shares of ResMed and gave the stock an "overweight" rating in a research note on Tuesday, May 20th. One analyst has rated the stock with a sell rating, three have issued a hold rating, eleven have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, ResMed currently has a consensus rating of "Moderate Buy" and an average target price of $274.83.

Insiders Place Their Bets

In other news, Director Witte Jan De sold 2,000 shares of the stock in a transaction that occurred on Tuesday, May 20th. The shares were sold at an average price of $243.47, for a total value of $486,940.00. Following the completion of the transaction, the director directly owned 5,806 shares in the company, valued at $1,413,586.82. This trade represents a 25.62% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Michael J. Farrell sold 8,009 shares of the stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $256.72, for a total transaction of $2,056,070.48. Following the completion of the transaction, the chief executive officer 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. In the last 90 days, insiders sold 29,013 shares of company stock worth $7,238,913. Insiders own 0.71% of the company's stock.

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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