ResMed (NYSE:RMD) General Counsel Michael Rider Sells 400 Shares of Company Stock

Key Points

• ResMed General Counsel Michael Rider sold 400 shares at an average price of $255, generating $102,000; the transaction was conducted under a pre-arranged Rule 10b5-1 plan and reduced his ownership by 3.15%.
• ResMed shares recently traded near $253, while the company reported quarterly earnings of $2.95 per share, exceeding analyst expectations, and revenue rose 8.6% year over year.
• The company increased its quarterly dividend to $0.66 per share, or $2.64 annually. Analysts maintain a consensus “Hold” rating with an average price target of $243.23.

ResMed Inc. (NYSE:RMD - Get Free Report) General Counsel Michael Rider sold 400 shares of ResMed stock in a transaction that occurred on Friday, October 23rd. The stock was sold at an average price of $255.00, for a total transaction of $102,000.00. Following the transaction, the general counsel owned 12,318 shares in the company, valued at approximately $3,141,090. The trade was a 3.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

ResMed Stock Up 0.2%

Shares of RMD stock traded up $0.57 on Monday, hitting $253.43. The company's stock had a trading volume of 1,048,695 shares, compared to its average volume of 1,294,527. The company has a debt-to-equity ratio of 0.06, a current ratio of 3.10 and a quick ratio of 2.42. ResMed Inc. has a fifty-two week low of $180.26 and a fifty-two week high of $277.67. The firm's fifty day moving average price is $229.70 and its 200-day moving average price is $215.19. The stock has a market capitalization of $35.64 billion, a price-to-earnings ratio of 24.30, a P/E/G ratio of 1.55 and a beta of 0.75.

ResMed (NYSE:RMD - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share for the quarter, topping analysts' consensus estimates of $2.89 by $0.06. The firm had revenue of $1.46 billion for the quarter, compared to the consensus estimate of $1.46 billion. ResMed had a net margin of 26.94% and a return on equity of 25.58%. The business's revenue was up 8.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $2.55 earnings per share. Research analysts anticipate that ResMed Inc. will post 12.11 EPS for the current year.

ResMed Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 24th. Investors of record on Thursday, August 20th were issued a dividend of $0.66 per share. The ex-dividend date was Thursday, August 20th. This is a positive change from ResMed's previous quarterly dividend of $0.60. This represents a $2.64 annualized dividend and a yield of 1.0%. ResMed's dividend payout ratio is currently 25.31%.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on the company. Rothschild & Co Redburn initiated coverage on ResMed in a report on Wednesday, August 19th. They set a "neutral" rating and a $230.00 target price on the stock. Mizuho set a $240.00 price target on ResMed in a research note on Tuesday, October 13th. Jefferies Financial Group cut their price objective on shares of ResMed from $240.00 to $225.00 and set a "hold" rating for the company in a research report on Friday, July 10th. KeyCorp increased their price objective on shares of ResMed from $255.00 to $267.00 and gave the stock an "overweight" rating in a research note on Monday, August 31st. Finally, Citigroup reissued a "neutral" rating on shares of ResMed in a report on Thursday, September 10th. Seven investment analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. According to data from MarketBeat, ResMed has a consensus rating of "Hold" and a consensus price target of $243.23.

Institutional Investors Weigh In On ResMed

Institutional investors have recently added to or reduced their stakes in the business. Bell Investment Advisors Inc purchased a new stake in shares of ResMed in the 2nd quarter valued at $26,000. Trust Co. of Vermont purchased a new stake in ResMed during the second quarter valued at about $39,000. Kelleher Financial Advisors bought a new position in shares of ResMed during the second quarter valued at about $47,000. Ballast Advisors LLC bought a new position in shares of ResMed during the first quarter valued at about $84,000. Finally, Harbor Investment Advisory LLC increased its holdings in shares of ResMed by 82.6% in the second quarter. Harbor Investment Advisory LLC now owns 409 shares of the medical equipment provider's stock worth $80,000 after buying an additional 185 shares during the period. 54.98% of the stock is owned by hedge funds and other institutional investors.

About ResMed

ResMed Inc is a medical equipment and software company that develops solutions for sleep-disordered breathing, respiratory conditions and other chronic diseases. The company is best known for its positive airway pressure (PAP) devices used to treat obstructive sleep apnea, along with masks, accessories and related patient support services.

ResMed also provides cloud-connected health technology, including remote-monitoring platforms and software used by healthcare providers, medical equipment suppliers and care organizations.

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