United Services Automobile Association Acquires Shares of 3,441 ResMed Inc. $RMD

Key Points

• United Services Automobile Association has acquired a new stake in ResMed Inc., purchasing 3,441 shares valued at approximately $757,000 during the first quarter of the year.
• ResMed has recently increased its quarterly dividend from $0.53 to $0.60, reflecting a positive change ahead of the payment date on September 18th.
• Analysts have raised their price targets for ResMed's stock, with UBS Group setting a target of $325.00 and maintaining a "buy" rating, indicating strong confidence in the company's growth.

United Services Automobile Association acquired a new stake in ResMed Inc. (NYSE:RMD - Free Report) in the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 3,441 shares of the medical equipment provider's stock, valued at approximately $757,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Global X Japan Co. Ltd. increased its stake in shares of ResMed by 121.4% in the first quarter. Global X Japan Co. Ltd. now owns 124 shares of the medical equipment provider's stock valued at $28,000 after buying an additional 68 shares during the period. Golden State Wealth Management LLC increased its stake in shares of ResMed by 384.8% in the first quarter. Golden State Wealth Management LLC now owns 160 shares of the medical equipment provider's stock valued at $36,000 after buying an additional 127 shares during the period. Zions Bancorporation National Association UT acquired a new position in shares of ResMed in the first quarter valued at approximately $45,000. Groupe la Francaise acquired a new position in shares of ResMed in the first quarter valued at approximately $45,000. Finally, CVA Family Office LLC increased its stake in shares of ResMed by 29.8% in the first quarter. CVA Family Office LLC now owns 209 shares of the medical equipment provider's stock valued at $47,000 after buying an additional 48 shares during the period. Institutional investors and hedge funds own 54.98% of the company's stock.

ResMed Trading Down 1.4%

Shares of RMD stock traded down $3.94 during trading hours on Friday, hitting $270.67. 1,257,653 shares of the company were exchanged, compared to its average volume of 1,001,449. The firm has a market cap of $39.63 billion, a P/E ratio of 28.46, a P/E/G ratio of 1.81 and a beta of 0.85. ResMed Inc. has a fifty-two week low of $199.92 and a fifty-two week high of $293.81. The company has a debt-to-equity ratio of 0.11, a quick ratio of 2.53 and a current ratio of 3.44. The company has a 50 day simple moving average of $274.07 and a two-hundred day simple moving average of $248.52.

ResMed (NYSE:RMD - Get Free Report) last issued its earnings results on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.47 by $0.08. ResMed had a return on equity of 25.62% and a net margin of 27.22%.The company had revenue of $1.35 billion for the quarter, compared to analysts' expectations of $1.33 billion. During the same period last year, the business earned $2.08 EPS. ResMed's quarterly revenue was up 10.2% compared to the same quarter last year. Equities analysts anticipate 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. Investors of record on Thursday, August 14th will be issued a $0.60 dividend. The ex-dividend date is Thursday, August 14th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 0.9%. This is an increase from ResMed's previous quarterly dividend of $0.53. ResMed's dividend payout ratio (DPR) is 25.24%.

Insider Buying and Selling

In related news, CEO Michael J. Farrell sold 8,009 shares of the stock in a transaction on Thursday, August 7th. The stock was sold at an average price of $279.48, for a total value of $2,238,355.32. Following the transaction, the chief executive officer directly owned 455,503 shares in the company, valued at $127,303,978.44. This trade represents a 1.73% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Peter C. Farrell sold 945 shares of the stock in a transaction 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 completion of the transaction, the director owned 68,273 shares in the company, valued at approximately $17,443,068.77. This represents a 1.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 19,588 shares of company stock worth $5,289,241 in the last ninety days. Corporate insiders own 0.71% of the company's stock.

Analyst Upgrades and Downgrades

RMD has been the topic of several analyst reports. William Blair upgraded ResMed to a "strong-buy" rating in a report on Friday, August 1st. UBS Group upped their target price on ResMed from $285.00 to $325.00 and gave the company a "buy" rating in a report on Friday, August 1st. Stifel Nicolaus upped their target price on ResMed from $240.00 to $270.00 and gave the company a "hold" rating in a report on Friday, August 1st. Piper Sandler upped their target price on ResMed from $248.00 to $270.00 and gave the company a "neutral" rating in a report on Friday, August 1st. Finally, Mizuho upped their target price on ResMed from $270.00 to $290.00 and gave the company an "outperform" rating in a report on Friday, August 1st. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $278.36.

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.