Yarbrough Capital LLC Grows Stake in ResMed Inc. $RMD

Key Points

• Yarbrough Capital LLC increased its stake in ResMed Inc. by 73.8%, owning 3,252 shares valued at approximately $839,000 as of the latest SEC filing.
• Other notable investors such as GAMMA Investing LLC and OVERSEA CHINESE BANKING Corp Ltd significantly raised their positions, with GAMMA Purchasing an astonishing 23,982.6% in the first quarter.
• ResMed recently announced a quarterly dividend increase from $0.53 to $0.60 per share, representing a 0.9% yield, with a payout ratio of 25.24%.

Yarbrough Capital LLC lifted its stake in ResMed Inc. (NYSE:RMD - Free Report) by 73.8% in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 3,252 shares of the medical equipment provider's stock after buying an additional 1,381 shares during the period. Yarbrough Capital LLC's holdings in ResMed were worth $839,000 as of its most recent SEC filing.

Other large investors have also modified their holdings of the company. GAMMA Investing LLC lifted its position in ResMed by 23,982.6% during the 1st quarter. GAMMA Investing LLC now owns 733,556 shares of the medical equipment provider's stock worth $164,207,000 after acquiring an additional 730,510 shares in the last quarter. OVERSEA CHINESE BANKING Corp Ltd raised its stake in shares of ResMed by 1,168.5% during the first quarter. OVERSEA CHINESE BANKING Corp Ltd now owns 590,895 shares of the medical equipment provider's stock valued at $132,272,000 after purchasing an additional 544,311 shares during the period. Allianz Asset Management GmbH raised its stake in shares of ResMed by 334.0% during the first quarter. Allianz Asset Management GmbH now owns 455,124 shares of the medical equipment provider's stock valued at $101,880,000 after purchasing an additional 350,245 shares during the period. Swedbank AB lifted its position in shares of ResMed by 445.1% during the first quarter. Swedbank AB now owns 397,319 shares of the medical equipment provider's stock worth $88,940,000 after purchasing an additional 324,428 shares in the last quarter. Finally, Vanguard Group Inc. boosted its stake in shares of ResMed by 1.8% in the first quarter. Vanguard Group Inc. now owns 18,493,702 shares of the medical equipment provider's stock valued at $4,139,815,000 after purchasing an additional 320,240 shares during the period. Institutional investors and hedge funds own 54.98% of the company's stock.

ResMed Stock Up 0.5%

Shares of ResMed stock opened at $275.66 on Wednesday. The business has a 50-day moving average price of $276.87 and a 200 day moving average price of $250.97. ResMed Inc. has a fifty-two week low of $199.92 and a fifty-two week high of $293.81. The firm has a market cap of $40.36 billion, a P/E ratio of 28.99, a P/E/G ratio of 1.84 and a beta of 0.85. The company has a quick ratio of 2.53, a current ratio of 3.44 and a debt-to-equity ratio of 0.11.

ResMed (NYSE:RMD - Get Free Report) last issued its earnings results 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. ResMed had a return on equity of 25.62% and a net margin of 27.22%.The company had revenue of $1.35 billion during the quarter, compared to analyst estimates of $1.33 billion. During the same quarter last year, the firm earned $2.08 EPS. The business's revenue was up 10.2% on a year-over-year basis. On average, sell-side analysts forecast that ResMed Inc. will post 9.47 earnings per share for the current fiscal year.

ResMed Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 18th. Shareholders of record on Thursday, August 14th were paid a dividend of $0.60 per share. The ex-dividend date was Thursday, August 14th. This is a positive change from ResMed's previous quarterly dividend of $0.53. This represents a $2.40 annualized dividend and a yield of 0.9%. ResMed's payout ratio is presently 25.24%.

Analyst Ratings Changes

RMD has been the topic of several analyst reports. UBS Group raised shares of ResMed to a "strong-buy" rating in a research note on Tuesday, September 16th. Citigroup began coverage on ResMed in a research note on Thursday, September 18th. They set a "buy" rating and a $330.00 target price for the company. CLSA raised ResMed from a "hold" rating to an "outperform" rating in a research report on Tuesday, September 2nd. KeyCorp increased their price target on ResMed from $274.00 to $298.00 and gave the company an "overweight" rating in a report on Friday, August 1st. Finally, Stifel Nicolaus raised their price objective on ResMed from $240.00 to $270.00 and gave the company a "hold" rating in a research note on Friday, August 1st. Two research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, ResMed presently has an average rating of "Moderate Buy" and a consensus price target of $292.00.

Insiders Place Their Bets

In related news, Director Peter C. Farrell sold 945 shares of the stock in a transaction dated Wednesday, July 2nd. The shares were sold at an average price of $255.49, for a total transaction of $241,438.05. Following the sale, the director owned 68,273 shares in the company, valued at $17,443,068.77. This represents a 1.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director John Hernandez sold 2,575 shares of the firm's stock in a transaction dated Monday, August 18th. The stock was sold at an average price of $287.10, for a total transaction of $739,282.50. Following the completion of the transaction, the director directly owned 4,045 shares in the company, valued at $1,161,319.50. This represents a 38.90% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 19,588 shares of company stock valued at $5,289,241. Company insiders own 0.71% of the company's stock.

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.

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