ResMed Inc. $RMD Shares Purchased by AustralianSuper Pty Ltd

Key Points

• AustralianSuper Pty Ltd boosted its ResMed stake by 14.4% in the fourth quarter, buying 51,381 additional shares and bringing its total holding to 408,866 shares worth about $98.5 million.
• ResMed reported better-than-expected quarterly results, with earnings of $2.86 per share on revenue of $1.43 billion, and revenue rose 10.8% from a year earlier.
• The company also announced a quarterly dividend of $0.60 per share, while analysts currently rate the stock a Moderate Buy with an average price target of $286.18.

AustralianSuper Pty Ltd raised its position in shares of ResMed Inc. (NYSE:RMD - Free Report) by 14.4% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 408,866 shares of the medical equipment provider's stock after acquiring an additional 51,381 shares during the period. AustralianSuper Pty Ltd owned approximately 0.28% of ResMed worth $98,484,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in RMD. Jones Financial Companies Lllp increased its position in ResMed by 52.6% during the 1st quarter. Jones Financial Companies Lllp now owns 2,882 shares of the medical equipment provider's stock worth $645,000 after purchasing an additional 994 shares in the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in ResMed during the second quarter valued at approximately $389,000. Brown Advisory Inc. grew its stake in ResMed by 17.8% during the second quarter. Brown Advisory Inc. now owns 1,586 shares of the medical equipment provider's stock worth $409,000 after buying an additional 240 shares during the period. Cresset Asset Management LLC purchased a new stake in ResMed during the second quarter worth approximately $206,000. Finally, Alliancebernstein L.P. increased its position in shares of ResMed by 24.2% in the second quarter. Alliancebernstein L.P. now owns 286,078 shares of the medical equipment provider's stock worth $73,808,000 after acquiring an additional 55,790 shares in the last quarter. 54.98% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity

In related news, Director Peter C. Farrell sold 2,000 shares of ResMed stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $225.00, for a total value of $450,000.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Michael J. Farrell sold 4,991 shares of the business's stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $207.82, for a total value of $1,037,229.62. Following the completion of the sale, the chief executive officer directly owned 466,223 shares of the company's stock, valued at approximately $96,890,463.86. This represents a 1.06% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 18,973 shares of company stock valued at $4,386,031 in the last three months. Insiders own 0.65% of the company's stock.

ResMed Price Performance

RMD stock opened at $202.55 on Friday. The stock's 50 day moving average is $225.07 and its two-hundred day moving average is $242.81. ResMed Inc. has a 52-week low of $198.61 and a 52-week high of $293.81. The company has a market capitalization of $29.51 billion, a PE ratio of 19.53, a P/E/G ratio of 1.29 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 released its quarterly earnings results on Thursday, April 30th. The medical equipment provider reported $2.86 earnings per share for the quarter, topping analysts' consensus estimates of $2.79 by $0.07. The business had revenue of $1.43 billion during the quarter, compared to the consensus estimate of $1.42 billion. ResMed had a net margin of 27.44% and a return on equity of 25.35%. The business's quarterly revenue was up 10.8% compared to the same quarter last year. During the same quarter last year, the company earned $2.37 earnings per share. Analysts predict that ResMed Inc. will post 11.13 earnings per share for the current fiscal year.

ResMed Dividend Announcement

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

Analyst Upgrades and Downgrades

RMD has been the topic of several recent research reports. Robert W. Baird set a $225.00 target price on shares of ResMed in a report on Friday, May 1st. KeyCorp lowered their price target on ResMed from $302.00 to $290.00 and set an "overweight" rating for the company in a report on Monday, April 27th. Piper Sandler raised their price objective on ResMed from $270.00 to $275.00 and gave the company a "neutral" rating in a research report on Friday, January 30th. Citigroup reduced their price objective on ResMed from $345.00 to $340.00 and set a "buy" rating on the stock in a research note on Thursday, April 9th. Finally, Royal Bank Of Canada increased their target price on ResMed from $314.00 to $321.00 and gave the company an "outperform" rating in a research note on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $286.18.

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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