US Bancorp DE Cuts Position in ResMed Inc. (NYSE:RMD)

Key Points

• US Bancorp DE reduced its holdings in ResMed Inc. by 6.1%, now owning 29,644 shares worth approximately $6.6 million.
• Analysts have raised their target prices for ResMed, with Mizuho setting a target at $290 and eleven analysts giving a buy rating, resulting in an average consensus target price of $274.83.
• ResMed's latest earnings report noted a 10.2% increase in revenue year-over-year, surpassing estimates, with earnings per share at $2.55 compared to $2.08 in the prior year.

US Bancorp DE lessened its holdings in shares of ResMed Inc. (NYSE:RMD - Free Report) by 6.1% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 29,644 shares of the medical equipment provider's stock after selling 1,930 shares during the quarter. US Bancorp DE's holdings in ResMed were worth $6,636,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Empirical Financial Services LLC d.b.a. Empirical Wealth Management purchased a new stake in ResMed in the first quarter worth approximately $5,301,000. Natixis Advisors LLC grew its stake in shares of ResMed by 7.9% during the first quarter. Natixis Advisors LLC now owns 61,611 shares of the medical equipment provider's stock valued at $13,792,000 after buying an additional 4,500 shares during the last quarter. NorthRock Partners LLC increased its holdings in shares of ResMed by 5.4% in the first quarter. NorthRock Partners LLC now owns 2,582 shares of the medical equipment provider's stock worth $578,000 after buying an additional 132 shares during the period. SlateStone Wealth LLC boosted its holdings in ResMed by 8.0% during the 1st quarter. SlateStone Wealth LLC now owns 13,223 shares of the medical equipment provider's stock valued at $2,960,000 after acquiring an additional 977 shares during the period. Finally, Vestcor Inc grew its position in ResMed by 522.0% during the 1st quarter. Vestcor Inc now owns 19,849 shares of the medical equipment provider's stock worth $4,443,000 after acquiring an additional 16,658 shares during the last quarter. Hedge funds and other institutional investors own 54.98% of the company's stock.

ResMed Stock Performance

Shares of NYSE:RMD traded down $4.75 during midday trading on Wednesday, hitting $280.25. The company had a trading volume of 985,888 shares, compared to its average volume of 1,005,388. ResMed Inc. has a 12-month low of $199.92 and a 12-month high of $293.08. The company has a fifty day moving average of $258.32 and a two-hundred day moving average of $241.06. The company has a market cap of $41.09 billion, a price-to-earnings ratio of 29.47, a PEG ratio of 1.96 and a beta of 0.77. The company has a debt-to-equity ratio of 0.11, a current ratio of 3.44 and a quick ratio of 2.53.

ResMed (NYSE:RMD - Get Free Report) last posted its quarterly earnings data 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. The firm had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.33 billion. ResMed had a return on equity of 25.62% and a net margin of 27.22%. The business's revenue for the quarter was up 10.2% compared to the same quarter last year. During the same quarter last year, the company earned $2.08 earnings per share. On average, equities research analysts expect that ResMed Inc. will post 9.47 EPS for the current fiscal 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 paid a dividend of $0.60 per share. 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 dividend on an annualized basis and a dividend yield of 0.9%. ResMed's dividend payout ratio is presently 22.29%.

Wall Street Analyst Weigh In

Several research analysts recently commented on RMD shares. William Blair raised shares of ResMed to a "strong-buy" rating in a research note on Friday, August 1st. UBS Group raised their target price on ResMed from $285.00 to $325.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Stifel Nicolaus increased their price objective on ResMed from $240.00 to $270.00 and gave the stock a "hold" rating in a report on Friday, August 1st. JPMorgan Chase & Co. raised their price objective on shares of ResMed from $286.00 to $290.00 and gave the stock an "overweight" rating in a report on Thursday, April 24th. Finally, KeyCorp upped their target price on ResMed from $274.00 to $298.00 and gave the stock an "overweight" rating in a report on Friday, August 1st. One analyst has rated the stock with a sell rating, three have issued a hold rating, eleven have assigned a buy rating and two have assigned a strong buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $274.83.

Insider Activity at ResMed

In other ResMed news, Director Witte Jan De sold 2,000 shares of the stock in a transaction on Tuesday, May 20th. The stock was sold at an average price of $243.47, for a total value of $486,940.00. Following the completion of the sale, the director owned 5,806 shares in the company, valued at approximately $1,413,586.82. This represents a 25.62% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Michael J. Farrell sold 8,009 shares of ResMed stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $256.72, for a total value of $2,056,070.48. Following the sale, the chief executive officer directly owned 455,503 shares in the company, valued at $116,936,730.16. This trade represents a 1.73% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 19,054 shares of company stock worth $4,820,479. 0.71% of the stock is owned by corporate insiders.

ResMed 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.