Tidal Investments LLC Increases Stake in ResMed Inc. $RMD

Key Points

• Tidal Investments increased its ResMed stake by 21.1% in the second quarter, bringing its holdings to 32,332 shares valued at approximately $6.3 million. Institutional investors and hedge funds collectively own 54.98% of the company.
• ResMed reported quarterly EPS of $2.95, beating analyst expectations, while revenue reached $1.46 billion, up 8.6% year over year. The company also raised its quarterly dividend from $0.60 to $0.66 per share.
• Analysts maintain a consensus “Hold” rating with a $240.31 target price, despite mixed opinions and recent target-price reductions. ResMed shares opened at $218.28, while company insiders sold roughly $5.3 million in stock during the quarter.

Tidal Investments LLC raised its stake in ResMed Inc. (NYSE:RMD - Free Report) by 21.1% in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 32,332 shares of the medical equipment provider's stock after acquiring an additional 5,627 shares during the quarter. Tidal Investments LLC's holdings in ResMed were worth $6,301,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of the stock. International Assets Investment Management LLC purchased a new position in shares of ResMed during the 4th quarter valued at approximately $25,000. Bell Investment Advisors Inc purchased a new stake in ResMed during the second quarter worth $26,000. Imprint Wealth LLC purchased a new stake in ResMed during the third quarter worth $26,000. WFA of San Diego LLC acquired a new stake in ResMed during the second quarter valued at $26,000. Finally, Sunbelt Securities Inc. acquired a new stake in ResMed during the third quarter valued at $31,000. 54.98% of the stock is owned by institutional investors and hedge funds.

ResMed Stock Performance

NYSE:RMD opened at $218.28 on Monday. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.42 and a current ratio of 3.10. The stock has a market capitalization of $31.49 billion, a PE ratio of 20.93, a P/E/G ratio of 1.38 and a beta of 0.77. ResMed Inc. has a fifty-two week low of $180.26 and a fifty-two week high of $284.87. The company has a fifty day moving average of $217.39 and a two-hundred day moving average of $216.69.

ResMed (NYSE:RMD - Get Free Report) last announced its earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.89 by $0.06. The business had revenue of $1.46 billion for the quarter, compared to analyst estimates of $1.46 billion. ResMed had a net margin of 26.94% and a return on equity of 25.58%. The company's revenue for the quarter was up 8.6% compared to the same quarter last year. During the same quarter last year, the business earned $2.55 earnings per share. As a group, research analysts forecast that ResMed Inc. will post 12.02 earnings per share for the current fiscal year.

ResMed Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, August 20th will be issued a $0.66 dividend. This represents a $2.64 annualized dividend and a yield of 1.2%. The ex-dividend date is Thursday, August 20th. This is a positive change from ResMed's previous quarterly dividend of $0.60. ResMed's payout ratio is presently 25.31%.

Analyst Ratings Changes

RMD has been the subject of a number of recent analyst reports. Citigroup reaffirmed a "neutral" rating on shares of ResMed in a report on Thursday. Wells Fargo & Company dropped their target price on ResMed from $225.00 to $215.00 and set an "equal weight" rating on the stock in a research report on Friday, August 7th. Rothschild & Co Redburn assumed coverage on ResMed in a research note on Wednesday, August 19th. They issued a "neutral" rating and a $230.00 price target for the company. Morgan Stanley reaffirmed an "equal weight" rating and issued a $230.00 price target (down from $286.00) on shares of ResMed in a report on Wednesday, June 17th. Finally, UBS Group reiterated a "buy" rating and set a $300.00 price target on shares of ResMed in a research report on Tuesday, July 21st. Six investment analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $240.31.

Insider Activity

In other ResMed news, Director Peter Farrell sold 970 shares of the business's stock in a transaction that occurred on Wednesday, September 2nd. The stock was sold at an average price of $234.73, for a total transaction of $227,688.10. Following the completion of the sale, the director directly owned 51,803 shares in the company, valued at approximately $12,159,718.19. The trade was a 1.84% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael Farrell sold 4,991 shares of the stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $222.44, for a total value of $1,110,198.04. Following the transaction, the chief executive officer directly owned 466,256 shares of the company's stock, valued at $103,713,984.64. The trade was a 1.06% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 23,943 shares of company stock worth $5,255,268. 0.65% of the stock is currently owned by insiders.

ResMed Profile

ResMed Inc is a medical equipment and software company that develops products and services for the diagnosis and treatment of sleep-disordered breathing and other respiratory conditions. Its offerings include continuous positive airway pressure (CPAP) and other positive airway pressure devices, masks, ventilation systems, oxygen-related solutions, and connected health technologies.

The company also provides cloud-based software and digital health platforms that help clinicians, home medical equipment providers, and patients monitor therapy, manage equipment, and support adherence to treatment.

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