ResMed Inc. $RMD Holdings Lifted by Geode Capital Management LLC

Key Points

• Geode Capital Management boosted its ResMed stake by 1.2% in Q4, bringing its holdings to 4.3 million shares valued at about $1.03 billion.
• ResMed reported better-than-expected quarterly results, earning $2.86 per share on revenue of $1.43 billion, with revenue up 10.8% year over year.
• The company announced a quarterly dividend of $0.60 per share, and analysts currently rate the stock a Moderate Buy with an average price target of $286.18.

Geode Capital Management LLC increased its holdings in shares of ResMed Inc. (NYSE:RMD - Free Report) by 1.2% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 4,302,906 shares of the medical equipment provider's stock after buying an additional 51,218 shares during the quarter. Geode Capital Management LLC owned 2.95% of ResMed worth $1,032,877,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds have also recently bought and sold shares of the company. Terra Nova Asset Management LLC grew its stake in ResMed by 0.6% in the third quarter. Terra Nova Asset Management LLC now owns 7,805 shares of the medical equipment provider's stock valued at $2,136,000 after purchasing an additional 46 shares in the last quarter. IMA Advisory Services Inc. boosted its stake in shares of ResMed by 52.7% during the 3rd quarter. IMA Advisory Services Inc. now owns 139 shares of the medical equipment provider's stock worth $38,000 after acquiring an additional 48 shares in the last quarter. Occidental Asset Management LLC boosted its stake in shares of ResMed by 3.0% during the 4th quarter. Occidental Asset Management LLC now owns 1,699 shares of the medical equipment provider's stock worth $409,000 after acquiring an additional 49 shares in the last quarter. Wedmont Private Capital boosted its stake in shares of ResMed by 2.7% during the 4th quarter. Wedmont Private Capital now owns 2,183 shares of the medical equipment provider's stock worth $542,000 after acquiring an additional 57 shares in the last quarter. Finally, New Wave Wealth Advisors LLC boosted its stake in shares of ResMed by 3.0% during the 4th quarter. New Wave Wealth Advisors LLC now owns 1,956 shares of the medical equipment provider's stock worth $471,000 after acquiring an additional 57 shares in the last quarter. Hedge funds and other institutional investors own 54.98% of the company's stock.

ResMed Price Performance

Shares of NYSE:RMD opened at $190.58 on Friday. The business has a 50 day moving average price of $216.93 and a 200 day moving average price of $239.34. ResMed Inc. has a twelve month low of $190.38 and a twelve month high of $293.81. The company has a market cap of $27.64 billion, a price-to-earnings ratio of 18.38, a PEG ratio of 1.30 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.

ResMed (NYSE:RMD - Get Free Report) last announced its 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. ResMed had a return on equity of 25.35% and a net margin of 27.44%.The firm had revenue of $1.43 billion during the quarter, compared to the consensus estimate of $1.42 billion. During the same quarter in the prior year, the company earned $2.37 EPS. The firm's revenue for the quarter was up 10.8% compared to the same quarter last year. Research analysts predict that ResMed Inc. will post 11.13 earnings per share for the current year.

ResMed Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, June 18th. Investors of record on Thursday, May 14th will be paid a dividend of $0.60 per share. The ex-dividend date is Thursday, May 14th. This represents a $2.40 annualized dividend and a yield of 1.3%. ResMed's dividend payout ratio is presently 23.14%.

Wall Street Analyst Weigh In

RMD has been the subject of several recent analyst reports. Weiss Ratings downgraded ResMed from a "hold (c+)" rating to a "hold (c)" rating in a research note on Friday, May 22nd. Citigroup decreased their price target on ResMed from $345.00 to $340.00 and set a "buy" rating for the company in a research note on Thursday, April 9th. Royal Bank Of Canada upped their price target on ResMed from $314.00 to $321.00 and gave the stock an "outperform" rating in a research note on Friday, May 1st. Evercore set a $255.00 price target on ResMed and gave the stock an "outperform" rating in a research note on Monday, April 13th. Finally, Piper Sandler upped their price target on ResMed from $270.00 to $275.00 and gave the stock a "neutral" rating in a research note on Friday, January 30th. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and five have issued a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $286.18.

Insider Activity at ResMed

In related news, CEO Michael J. Farrell sold 4,991 shares of the stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $207.82, for a total transaction of $1,037,229.62. Following the completion of the sale, the chief executive officer owned 466,223 shares in the company, valued at $96,890,463.86. This represents a 1.06% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Peter C. Farrell sold 2,000 shares of the stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $225.00, for a total value of $450,000.00. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 18,973 shares of company stock valued at $4,386,031. 0.65% of the stock is owned by corporate insiders.

ResMed 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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