Mizuho Forecasts Strong Price Appreciation for ResMed (NYSE:RMD) Stock

Key Points

• Mizuho has upgraded its price target for ResMed (NYSE:RMD) from $270.00 to $290.00, suggesting a potential upside of 3.84% from the current price, with an "outperform" rating.
• Other analysts have also upgraded their ratings and price targets, with Royal Bank of Canada raising its target to $294.00 and KeyCorp increasing theirs to $298.00.
• ResMed recently reported quarterly earnings of $2.55 per share, exceeding expectations and marking a 10.2% increase in revenue year-over-year.

ResMed (NYSE:RMD - Get Free Report) had its price target upped by investment analysts at Mizuho from $270.00 to $290.00 in a research note issued on Friday,Benzinga reports. The firm currently has an "outperform" rating on the medical equipment provider's stock. Mizuho's target price would suggest a potential upside of 3.84% from the company's current price.

Other equities research analysts have also issued reports about the company. Royal Bank Of Canada upgraded ResMed from a "sector perform" rating to an "outperform" rating and upped their price target for the company from $255.00 to $294.00 in a research report on Tuesday, July 15th. Wall Street Zen lowered ResMed from a "buy" rating to a "hold" rating in a research report on Saturday, May 24th. UBS Group dropped their price target on ResMed from $290.00 to $285.00 and set a "buy" rating for the company in a research report on Thursday, April 24th. Piper Sandler increased their price objective on ResMed from $248.00 to $270.00 and gave the stock a "neutral" rating in a research report on Friday. Finally, KeyCorp increased their price objective on ResMed from $274.00 to $298.00 and gave the stock an "overweight" rating in a research report on Friday. One research analyst has rated the stock with a sell rating, four have given a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, ResMed presently has a consensus rating of "Moderate Buy" and a consensus price target of $274.83.

ResMed Price Performance

NYSE:RMD traded up $7.34 during trading hours on Friday, hitting $279.28. 791,825 shares of the stock were exchanged, compared to its average volume of 989,910. ResMed has a 52-week low of $199.92 and a 52-week high of $281.90. The firm's fifty day moving average price is $255.87 and its 200 day moving average price is $239.97. The company has a current ratio of 3.41, a quick ratio of 2.49 and a debt-to-equity ratio of 0.12. The company has a market cap of $40.95 billion, a P/E ratio of 31.38, a P/E/G ratio of 1.72 and a beta of 0.77.

ResMed (NYSE:RMD - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.47 by $0.08. The business had revenue of $1.35 billion during the quarter, compared to analyst estimates of $1.33 billion. ResMed had a return on equity of 25.67% and a net margin of 26.15%. The business's revenue was up 10.2% compared to the same quarter last year. During the same period in the prior year, the business earned $2.08 earnings per share. As a group, equities research analysts anticipate that ResMed will post 9.47 EPS for the current fiscal year.

Insider Activity at ResMed

In related news, Director Peter C. Farrell sold 2,000 shares of the stock in a transaction on Wednesday, May 7th. The stock was sold at an average price of $242.25, for a total value of $484,500.00. Following the transaction, the director owned 71,218 shares of the company's stock, valued at $17,252,560.50. This represents a 2.73% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Director Witte Jan De sold 2,000 shares of the stock in a transaction on Tuesday, May 20th. The shares were sold at an average price of $243.47, for a total value of $486,940.00. Following the completion of the transaction, the director directly owned 5,806 shares in the company, valued at $1,413,586.82. This trade represents a 25.62% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 29,013 shares of company stock valued at $7,238,913 over the last quarter. 0.71% of the stock is owned by insiders.

Hedge Funds Weigh In On ResMed

Several large investors have recently bought and sold shares of RMD. Franklin Resources Inc. increased its holdings in ResMed by 13.9% in the fourth quarter. Franklin Resources Inc. now owns 198,372 shares of the medical equipment provider's stock valued at $45,366,000 after buying an additional 24,259 shares during the last quarter. Huntington National Bank grew its holdings in shares of ResMed by 9.3% during the fourth quarter. Huntington National Bank now owns 2,042 shares of the medical equipment provider's stock worth $467,000 after purchasing an additional 174 shares during the last quarter. World Investment Advisors grew its holdings in shares of ResMed by 50.3% during the fourth quarter. World Investment Advisors now owns 3,331 shares of the medical equipment provider's stock worth $762,000 after purchasing an additional 1,115 shares during the last quarter. Motley Fool Asset Management LLC grew its holdings in shares of ResMed by 15.0% during the fourth quarter. Motley Fool Asset Management LLC now owns 7,842 shares of the medical equipment provider's stock worth $1,793,000 after purchasing an additional 1,021 shares during the last quarter. Finally, Landscape Capital Management L.L.C. grew its holdings in shares of ResMed by 59.6% during the fourth quarter. Landscape Capital Management L.L.C. now owns 20,609 shares of the medical equipment provider's stock worth $4,713,000 after purchasing an additional 7,693 shares during the last quarter. Hedge funds and other institutional investors own 54.98% of the company's stock.

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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