Vanguard Personalized Indexing Management LLC Grows Position in ResMed Inc. $RMD

Key Points

• Vanguard Personalized Indexing Management LLC boosted its stake in ResMed Inc. by 16.8% in Q2, resulting in ownership of 30,730 shares valued at approximately $7.93 million.
• CEO Michael J. Farrell sold 8,009 shares of ResMed stock on October 7th, decreasing his holdings by 1.68% to approximately $132.31 million.
• ResMed's recent earnings report showed a year-over-year revenue growth of 10.2% and earnings per share of $2.55, exceeding analysts' expectations.

Vanguard Personalized Indexing Management LLC increased its position in ResMed Inc. (NYSE:RMD - Free Report) by 16.8% in the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 30,730 shares of the medical equipment provider's stock after purchasing an additional 4,424 shares during the quarter. Vanguard Personalized Indexing Management LLC's holdings in ResMed were worth $7,929,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its position in ResMed by 1.8% during the 1st quarter. Vanguard Group Inc. now owns 18,493,702 shares of the medical equipment provider's stock valued at $4,139,815,000 after buying an additional 320,240 shares in the last quarter. Northern Trust Corp grew its holdings in shares of ResMed by 2.5% in the first quarter. Northern Trust Corp now owns 1,744,541 shares of the medical equipment provider's stock worth $390,516,000 after acquiring an additional 41,951 shares during the period. Charles Schwab Investment Management Inc. grew its holdings in shares of ResMed by 4.3% in the first quarter. Charles Schwab Investment Management Inc. now owns 998,128 shares of the medical equipment provider's stock worth $223,431,000 after acquiring an additional 41,108 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in shares of ResMed by 2.4% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 977,401 shares of the medical equipment provider's stock worth $218,791,000 after acquiring an additional 22,789 shares during the period. Finally, Dimensional Fund Advisors LP lifted its position in ResMed by 6.9% during the first quarter. Dimensional Fund Advisors LP now owns 793,760 shares of the medical equipment provider's stock valued at $177,652,000 after purchasing an additional 51,348 shares in the last quarter. Institutional investors own 54.98% of the company's stock.

Insider Activity

In other news, CEO Michael J. Farrell sold 8,009 shares of the stock in a transaction on Tuesday, October 7th. The stock was sold at an average price of $282.85, for a total transaction of $2,265,345.65. Following the completion of the sale, the chief executive officer owned 467,792 shares in the company, valued at approximately $132,314,967.20. This represents a 1.68% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director John Hernandez sold 2,575 shares of the stock in a transaction on Monday, August 18th. The shares were sold at an average price of $287.10, for a total value of $739,282.50. Following the sale, the director owned 4,045 shares of the company's stock, valued at approximately $1,161,319.50. This represents a 38.90% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 18,743 shares of company stock worth $5,284,514. Insiders own 0.65% of the company's stock.

ResMed Stock Down 2.1%

ResMed stock opened at $271.96 on Monday. The business has a fifty day moving average of $278.51 and a two-hundred day moving average of $255.92. The company has a quick ratio of 2.53, a current ratio of 3.44 and a debt-to-equity ratio of 0.11. The firm has a market cap of $39.69 billion, a P/E ratio of 28.60, a P/E/G ratio of 1.83 and a beta of 0.83. ResMed Inc. has a twelve month low of $199.92 and a twelve month high of $293.81.

ResMed (NYSE:RMD - Get Free Report) last posted its earnings results on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share for the quarter, topping analysts' consensus estimates of $2.47 by $0.08. The company had revenue of $1.35 billion during the quarter, compared to analyst estimates of $1.33 billion. ResMed had a return on equity of 25.62% and a net margin of 27.22%.ResMed's revenue was up 10.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.08 earnings per share. On average, analysts forecast that ResMed Inc. will post 9.47 earnings per share for the current fiscal year.

ResMed Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 18th. Stockholders of record on Thursday, August 14th were issued a dividend of $0.60 per share. The ex-dividend date was Thursday, August 14th. This represents a $2.40 annualized dividend and a dividend yield of 0.9%. This is a boost from ResMed's previous quarterly dividend of $0.53. ResMed's dividend payout ratio (DPR) is currently 25.24%.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on RMD. Wall Street Zen downgraded ResMed from a "buy" rating to a "hold" rating in a research report on Sunday, August 10th. UBS Group upgraded ResMed to a "strong-buy" rating in a research report on Tuesday, September 16th. KeyCorp boosted their target price on ResMed from $274.00 to $298.00 and gave the stock an "overweight" rating in a research report on Friday, August 1st. Weiss Ratings reissued a "buy (b-)" rating on shares of ResMed in a research note on Wednesday, October 8th. Finally, CLSA raised ResMed from a "hold" rating to an "outperform" rating in a research note on Tuesday, September 2nd. Two equities research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $294.20.

About ResMed

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.

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